The Road Accident Fund (RAF), a supposed lifeline for victims of road accidents in South Africa, has devolved into a national disgrace. Mismanagement, inefficiency, and alleged corruption have created a system that not only fails those it is meant to serve but actively inflicts more suffering on them. At Gert Nel Attorneys, we are witnessing firsthand the devastating impact of this systemic failure on a daily basis, and we are openly asking the question: “What will it take for the truth to be revealed and the system to be run as it should?”
For anyone who may not be familiar with the RAF, it is a state-supported insurer that was established to provide compensation to the victims of road accidents, along with their families, that is funded through the fuel levy. The national fuel levy that funds the RAF that all road users pay is R2.18, which may not sound like a lot in writing. Still, if one considers that in 2023, South African motorists used close to 60 million litres of fuel daily that cost generated over R1.4 billion, we suddenly get perspective. Another staggering statistic that the public has no choice but to come to terms with is that since 2000, contributions towards the RAF have skyrocketed – a 1400% increase for petrol users and a 2016% increase for diesel users. For the average citizen already contending with a cost of living crisis, this isn’t simply a tax; it’s a financial chokehold.
Figures presented recently by the Minister of Transport, Barbara Creecy, showing income vs. payouts since 2022 paint a picture of apparent financial stability, with revenue and payouts being relatively aligned (see below).
| Year | Revenue Raised (Net Fuel Levies) | Payouts (Claims Paid Out) |
|---|---|---|
| 2022 | R47,931,888,000 | R48,595,700,000 |
| 2023 | R48,471,534,000 | R48,635,041,000 |
| 2024 (31 March) | R48,610,265,000 | R45,099,844,000 |
| Total | R145,013,687,000 | R142,330,585,000 |
However, these numbers are masking a much more chilling reality. Although the volume of levies collected over the last few years, totalling over R145 billion, should guarantee claimants a seamless payout via an efficient (and apparently financially positive) system, more and more news stories and social media coverage have highlighted harrowing stories of claimants who have been left waiting for years for their claims to be settled because of a system consistently plagued by delays, denials, and a disregard for human suffering.
With the reality on the ground in stark contrast to the official narrative, claimants, who are often the country’s most vulnerable, are left in limbo for years with their lives on hold, facing mounting medical bills. More often than not, these claimants have severe injuries which affects their ability to work, leaving both them and their families struggling financially. We even hear stories of individuals dying before their claims are settled, their loved ones left to grapple with the aftermath of both tragedy and resounding bureaucratic indifference.
The RAF CEO, Collins Letsoalo, consistently claims that the fund is short of money while, on the other hand, we are bombarded with billboards (which don’t come cheap) advertising the benefits of the RAF. More recently, the fund has set up a new call centre to reach out directly to claimants. I can’t help being left with questions: What does it cost to set up such a call centre, and to what end? Where is the accountability? Why are funds being diverted from their primary purpose – compensating victims – to initiatives that appear to be more about lip service than genuine service?
In another mind-boggling turn of events, Letsoalo pronounced at the end of 2024 that the “rich” should be excluded from the fund’s benefits, a morally reprehensible and legally dubious statement. Firstly, who exactly will be deeming the so-called ‘rich’? Secondly, to suggest excluding certain individuals based on their wealth is a blatant disregard for the law and simply another indication of the chaotic decision-making that seems to be defining the breakdown of the fund.
The Special Investigating Unit(SIU) is involved in an ongoing investigation into “serious maladministration” and “irregular, improper or unlawful conduct” within the RAF. However, the sheer scale of alleged corruption, fraud, and mismanagement could mean that we are only seeing the tip of the iceberg that could sink this ship. We need urgent and transparent action avoid a Titanic-sized catastrophe caused by the entities bleeding the RAF dry.
It is clear that the RAF, funded by the hard-earned money of every South African motorist (yes, even the rich), is failing dismally to deliver on its mandate. Road accident victims who have already suffered immeasurable loss are consistently victimised by the very system designed to protect them. Why? The answer is simple: a fundamental failure of governance and accountability. The reality is a lot harder to swallow.
At Gert Nel Attorneys we are committed to fighting for justice for road accident victims. We understand the complexities of dealing with the RAF, and we are determined to hold them accountable.
The time for empty rhetoric and bureaucratic excuses is over. The people of South Africa deserve a Road Accident Fund that is efficient, transparent, and compassionate. They deserve a system that prioritises the needs of victims, not the self-preservation of a failing institution, but what will it take to dismantle this culture of impunity and restore the RAF to its intended purpose?
It will take a collective effort – from the media, from civil society, and from legal professionals – to demand accountability and transparency. AND it will take a commitment to exposing corruption to make sure that those responsible are held accountable.
As a nation, we must stand together and demand answers. We simply cannot allow the RAF to continue operating with impunity. It is our fundamental right to have a system that serves the people, not one that bleeds them dry making the fight for justice is not just a legal battle; but also a moral imperative.
We will never stop fighting for the rights of road accident victims, and we will not rest until the RAF is transformed into a system that truly serves the people of South Africa.
If you need assistance with a RAF claim, contact us today and let us walk this journey with you.