Road Accident Fund RAF Crisis August 2026 Update

The Road Accident Fund (RAF) continues to face serious challenges in August 2026. Here is a summary of the latest news and developments.

R21.7 Billion in Unpaid Claims

Transport Minister Barbara Creecy confirmed that the RAF holds R21.76 billion in finalised but unpaid claims as at 28 June 2026. The Requested Not Yet Paid (RNYP) Claims Register shows 37,622 claims involving 47,949 payment transactions remain outstanding. Delays are caused by outstanding compliance checks affecting nearly R11 billion in claims, verification delays affecting R9.1 billion, and missing documentation affecting R1.7 billion. Over 36,000 of these claims date back to 2007.

RAF Pays R8.9 Billion in Q1 2026/27

The Fund paid R8.9 billion across 80,665 claims between April and June 2026, a 54 percent increase year-on-year. Despite this, the RNYP balance grew from R18.56 billion to R22.18 billion as R12.57 billion in new claims entered the pipeline. The average payment per claim was R283,595.

New Vehicle Licence Fee Proposed

The government has proposed a new mandatory fee on vehicle licence disc renewals to fund the RAF. This is driven by the growing electric vehicle market reducing fuel levy income and by potential RAF liabilities of up to R500 billion. The proposal has been fiercely opposed by the DA, PSA, and motoring groups.

Calls to Scrap the RAF

AA CEO Bobby Ramagwede called the new fee idea laughable and questioned whether the RAF should be replaced with a compulsory third-party insurance system. The RAF collects approximately R45 billion per year from fuel taxes yet remains technically insolvent. The SIU has flagged over R340 million in duplicate payments to law firms.

Statutory Cap Increase

As of 31 January 2026, the RAF increased the statutory cap for loss of income and loss of support claims. Accident victims may now be entitled to higher compensation payouts.

Dedicated RAF Tribunal Proposed

The State Attorney has called for a dedicated Road Accident Fund tribunal to relieve pressure on South African courts, which are clogged with thousands of RAF cases.

Signs of Recovery

Portfolio Committee Chairperson Donald Selamolela stated in February 2026 that the RAF is on the road to recovery. The RAF has launched a community outreach programme with events at Ngwelezane Hospital and Kokstad on 14 August 2026.

Road Safety

The RAF receives approximately 100,000 new claims per year with an average value of R328,000. The WHO rates South Africa road traffic law enforcement at just 30 percent. Experts argue that sustainable reform requires both structural changes to the RAF and genuine investment in road safety.

Advice for Claimants

Check your claim status by contacting the RAF or attending a community outreach event. Ensure all documents are complete as missing documentation is a top cause of payment delays. Review the new statutory cap with your attorney. Report unscrupulous attorneys to the RAF. Plan your finances carefully given payment delays.

Key Statistics August 2026: Unpaid finalised claims R21.76 billion covering 37,622 claims. Q1 2026/27 payouts R8.9 billion covering 80,665 claims. Annual fuel levy income approximately R45 billion. Open claims book 301,203 claims. Annual new claims approximately 100,000. Average claim value approximately R328,000. Estimated total liabilities approximately R500 billion. Fuel levy per litre R2.25.

The Road Accident Fund stands at a critical crossroads. Urgent action is needed to fix RAF finances, improve governance, and make South African roads safer.