The driver, who was taken to Whangarei Hospital in a serious condition, was cut from the car by firefighters. He had severe leg injuries and lacerations to his head.
Mr Steel said the man was very lucky to be alive as his car was a "complete right-off".
The bus was travelling towards Ngunguru to pick up students, while the car was travelling in the opposite direction.
Police said the driver of the bus did well not to roll it.
After colliding with the vehicle the bus went dangerously close to coming off the left-hand side of the road before the driver managed to steer it on to the opposite side of the road and into a ditch.
While it was unclear what speed the car was travelling, the bus was going well below the recommended 45km/h for the corner, Mr Steel said.
The road was blocked for two hours, though was partially opened at times.