Road Accident Fund (RAF) South Africa: Latest News, Updates and Key Developments – August 2026

The Road Accident Fund (RAF) in South Africa continues to make headlines in August 2026, with major developments spanning unpaid claims, governance reforms, legal battles, funding model reviews, and parliamentary scrutiny. Here is a comprehensive roundup of the latest news and trends surrounding the RAF.

1. R21.7 Billion in Unpaid Claims: Accident Victims Still Waiting

One of the most alarming revelations in recent weeks came from Transport Minister Barbara Creecy, who confirmed in a parliamentary reply that the RAF is sitting with more than R21.7 billion in finalised claims that have not yet been paid out to accident victims.

According to the RAF internal Requested Not Yet Paid (RNYP) Claims Register, as at 28 June 2026, there were 37,622 unpaid claims totalling R21.76 billion, involving 47,949 payment transactions. The main reasons cited for the delays include:

• Outstanding compliance checks affecting claims worth nearly R11 billion
• Verification delays affecting claims worth more than R9.1 billion
• Missing documents affecting claims worth approximately R1.7 billion

Many of these claims date back as far as 2007, with 36,442 claims spanning the period from 2007 to 2026. The revelation has intensified calls for urgent reform of the Fund payment processes.

2. RAF Moves to Curb Default Judgments and Strengthen Legal Capacity

In a presentation to Parliament Portfolio Committee on Transport on 12 August 2026, the RAF Acting CEO Radikwena Phora outlined a series of measures to address the Fund mounting legal challenges.

The RAF recorded 1,775 default judgments in the first quarter of its 2026/27 financial year (April to June 2026), representing 29% of the 6,079 matters enrolled during the period. The bulk of these defaults were concentrated in Gauteng, with Pretoria accounting for 1,084 and Johannesburg for 673, together making up 99% of all defaults.

Key Legal Reforms Being Implemented

• Hybrid legal model: Supplementing the Office of the State Attorney with a private defence team to handle overflow litigation
• Expanded mediation: 252 mediations completed in Q1 2026/27, with a 76% success rate, up from 25 matters per month to 84 per month
• Upgraded legal management system: Providing deadline alerts and integrated tracking to prevent future default judgments
• Backlog eradication project: Dedicated professionals being recruited to work through historic claims, starting in Pretoria

The RAF legal capacity crisis stems from its 2020 decision to dissolve its panel of private attorneys, leaving the State Attorney office with substantially less capacity to absorb the workload. At one point, close to 85% of positions in the RAF legal division were vacant.

3. Governance Crisis: Leadership Instability and Staffing Vacancies

The RAF has faced severe leadership instability, cycling through four CEOs in just seven months between August and December 2025. The Fund currently has no permanent CEO, with Radikwena Phora serving as Acting CEO since 1 December 2025.

The overall vacancy rate stands at 57% across 353 posts. Deputy Transport Minister Mkhuleko Hlengwa told Parliament that Cabinet memoranda dealing with CEO and board appointments are being finalised. The head of legal services post also remains vacant, with the RAF targeting completion of the recruitment process by end of August 2026.

4. SCOPA Inquiry: Accountability for Past Failures

Parliament Standing Committee on Public Accounts (SCOPA), chaired by Songezo Zibi, has been conducting a wide-ranging inquiry into the RAF governance failures, procurement irregularities, and financial mismanagement. Key outcomes include:

• Criminal charges against former CEO Collins Letsoalo: SCOPA voted in June 2026 to lay criminal charges against Letsoalo, who refused to appear before the committee in November 2025.
• Recovery of unaccounted funds: SCOPA recommended that previous RAF executives and board members personally pay back unaccounted money spent during their tenure.
• The inquiry described the RAF as chronically underfunded and plagued by governance failures and operational dysfunction.

The Association for the Protection of Road Accident Victims (APRAV) has called for urgent reforms before the SCOPA findings are tabled in the National Assembly.

5. Clean Audit But Financial Picture Remains Complex

In a rare piece of positive news, the RAF has received an unqualified audit opinion from the Auditor-General, its first clean audit after three consecutive adverse outcomes. The dispute dated back to 2021, when the RAF switched from the prescribed GRAP accounting framework to IPSAS 42, reducing reported liabilities from approximately R327 billion to R34 billion. Courts ruled this change was unlawful. The accounting litigation cost more than R11.2 million in legal fees. The RAF September 2026 financial statements will provide the first audited picture of the Fund true financial position in years.

6. RAF 1 Claim Form Ruling: Up to 160,000 Claims to Be Resubmitted

Following a Supreme Court of Appeal ruling in April 2026, claimants whose submissions were rejected under the unlawful 2022 RAF 1 claim form have until 30 September 2026 to resubmit using the original 2008 form. Successful claims will be treated as having been lodged on the original date. The RAF expects almost 160,000 claims to be resubmitted, with financial implications estimated at approximately R40.9 billion.

7. Funding Model Under Review: New Vehicle Licence Fee Proposed

Currently funded through a fuel levy of approximately R2.27 per litre of petrol and diesel, the RAF faces a structural challenge as the rise of electric vehicles reduces fuel consumption and levy income. Transport Minister Creecy has confirmed the Department of Transport is reviewing the funding model, with a vehicle owner contributory scheme, a fee attached to annual vehicle licence renewals, among the options being considered.

The Democratic Alliance (DA) has strongly opposed any new fees, arguing the RAF crisis stems from mismanagement and corruption, not insufficient funding. The DA is pushing for the RAF to be fundamentally reformed or replaced with a more sustainable system.

8. Road Accident Benefit Scheme (RABS) Bill Revived

The government has revived the Road Accident Benefit Scheme (RABS) Bill, originally introduced in 2017 and rejected by Parliament in 2020. The RABS framework proposes replacing the RAF fault-based compensation system with a no-fault social insurance scheme based on defined benefits. Deputy Minister Hlengwa says the Bill is materially complete and will be taken to Cabinet and then Parliament. The original proposal attracted substantial opposition due to concerns about capped benefits and the removal of common-law rights to sue negligent drivers.

9. National Settlement Hub Proposed to Clear Claims Backlog

The Association for the Protection of Road Accident Victims (APRAV) has proposed a National Settlement Hub, funded by National Treasury, to fast-track the approximately 100,000 claims ready for payment without waiting for the RAF broader structural problems to be resolved. SCOPA chair Songezo Zibi has acknowledged that the RAF is chronically underfunded and that even once governance problems are resolved, there may not be enough money to meet all claims.

10. RAF Payments Accelerating But Cash Flow Remains Under Pressure

Despite the challenges, the RAF has been increasing the pace of its payments in Q1 2026/27:

• April 2026: R4.6 billion paid, up from R1.6 billion in April 2025
• May 2026: R6.2 billion paid, up from R4 billion in May 2025
• June 2026: Total quarterly payments reached R8.9 billion, covering 70,000 claims

However, the RAF can receive as little as R4 billion in a month while its payment queue exceeds R20 billion, placing enormous pressure on its cash flow.

Key Takeaways for RAF Claimants

1. If your claim was rejected under the 2022 RAF 1 form, resubmit using the 2008 form before 30 September 2026. Act urgently.
2. Ensure all compliance documents are in order to avoid payment delays.
3. Consider mediation as the RAF programme has a 76% success rate and is expanding nationally.
4. Seek qualified legal advice given the complexity of ongoing reforms.
5. Monitor the RABS Bill as it could fundamentally change road accident compensation in South Africa.

Conclusion

The Road Accident Fund remains one of South Africa most complex and contested public institutions. While there are genuine signs of progress including a clean audit, accelerating payments, and new legal reforms, the scale of the challenges is immense: R21.7 billion in unpaid claims, a 57% vacancy rate, up to 160,000 claims to be resubmitted, and a funding model under threat from the electric vehicle revolution. The coming months will be critical, with the RABS Bill heading to Cabinet, the September financial statements due, and the 30 September deadline for RAF 1 claim resubmissions. South Africans, whether accident victims, motorists, or taxpayers, have a significant stake in how these developments unfold.

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