Road Accident Fund South Africa: Key Updates, Crisis & Reform – October 2026

The Road Accident Fund (RAF) in South Africa continues to dominate headlines in October 2026, as the embattled state entity faces a deepening financial crisis, new leadership, legislative reform, and growing scrutiny over payments to foreign nationals. Here is a comprehensive roundup of the latest RAF news and what it means for South African motorists, accident victims, and taxpayers.

1. No Additional Government Funding for the RAF

In one of the most significant announcements of the month, Transport Minister Barbara Creecy confirmed that the Road Accident Fund will not receive any additional funding from the government. Speaking to Parliament, Creecy rejected the RAF’s proposal to increase the fuel levy to R3.00 per litre, citing the already severe financial pressure on South African motorists.

“Obviously, it’s very easy to break an institution, it takes a very long time to fix it and this is a complicated one because there’s a lot of contingent liability,” Creecy said. “It not only requires better management — we’ve just appointed a new CEO and we’re in the process of appointing a permanent board — but it also requires a legislative change so that we have a defined schedule of benefits.”

The minister emphasised that the priority is to fix the institution’s management and financial challenges from within, rather than injecting more public funds.

2. RAF’s R439 Billion Shortfall Raises Solvency Fears

A damning opinion piece published in Business Day on 22 October 2026 highlighted that the RAF faces a staggering R439 billion shortfall, raising serious solvency concerns. The fund’s board chair has also acknowledged that the RAF is unlikely to overcome its R43 billion claims load, and that more than half of all open RAF claims are now older than five years — a figure confirmed in the fund’s latest annual report.

As of July 2026, Transport Minister Creecy revealed that the RAF is sitting with more than R21.7 billion in finalised claims that have not yet been paid out to claimants. These are claims that have been approved and are awaiting payment — leaving thousands of accident victims in financial limbo.

3. New CEO Appointed: Waseem Carrim Takes the Helm

In a move signalling a new chapter for the troubled fund, Cabinet approved Mr Waseem Carrim as the new Chief Executive Officer of the Road Accident Fund in September 2026. The appointment comes as the government simultaneously works to appoint a permanent board, replacing the interim board that has been steering the organisation through its current crisis.

The interim board, led by chair Kenneth Brown, had previously committed to aggressively paying down nearly R19 billion in outstanding claims older than 180 days and modernising the RAF’s entire claims system — describing the need to fix the organisation “piece by piece.”

4. RAF Act Amendments on the Table: Foreign Nationals, Capped Claims & More

The Portfolio Committee on Transport heard on 6 October 2026 that amendments to the Road Accident Fund Act are being finalised and will soon be tabled before Parliament. The Department of Transport’s acting Director-General Mokonyama Mathabatha confirmed that four key areas are being addressed:

• Capped claims — introducing defined benefit limits to make the scheme financially sustainable
• Rehabilitation — improving support for injured claimants
• Mediation and conciliation — reducing costly litigation
• Claims by foreign nationals — resolving the contentious issue of payments to undocumented foreigners

“All these issues are in the amendment Act that we are finalising. The Act in its current form makes the scheme not sustainable,” Mathabatha told the committee.

5. Foreign Nationals Claim R23 Billion from the RAF

One of the most controversial topics in recent RAF news is the scale of claims lodged by foreign nationals. According to Transport Minister Creecy, over the past five financial years (2021–2026), foreign nationals lodged claims totalling more than R23.3 billion against the RAF, of which R6.3 billion was actually paid out.

The breakdown of claims by foreign nationals per financial year is as follows:

The Department of Transport is currently appealing a Supreme Court of Appeal ruling that allowed undocumented foreign nationals to claim from the RAF. Deputy Minister Mkhuleko Hlengwa stated: “We believe it was a wrong ruling, and the court could have applied laws of restriction.”

Parliament’s Portfolio Committee on Transport has also called for urgent legislative changes to prevent payments to undocumented individuals, with committee member Thalente Kubheka stating: “We should change that; we need to change that. The Minister and DG should look into how we are going to change the RAF Act in such a way that it benefits South Africans.”

6. SCOPA Flags RAF Security Spending

A draft report from the Standing Committee on Public Accounts (SCOPA) released in October 2026 has flagged concerns over the RAF’s security spending, adding to the list of governance and financial management issues facing the fund. The report was highlighted in SABC News coverage on 19 October 2026.

7. Hybrid Funding Model Under Consideration

With the rise of electric vehicles (EVs) threatening to erode the RAF’s primary revenue source — the fuel levy — Minister Creecy has called for South Africa to consider a hybrid funding model for the RAF. The current model relies almost entirely on a levy charged per litre of fuel sold, meaning EV drivers contribute nothing to the fund.

“We probably would have to have a hybrid system in the short-term because there would be those who would not be buying fuel and those who would be, but in the medium-term, we can expect that less and less contribution would be coming from the fuel levy. So, we’ve now got to get our heads around how we do this,” Creecy explained.

This is a critical long-term challenge: as South Africa’s EV market grows, the RAF’s funding base will shrink unless a new model is implemented.

8. RAF Extends Claimant-Centred Services Across South Africa

On a more positive note, the RAF has been expanding its claimant-centred services to more regions. In October 2026, the fund extended these services to Bloemfontein (10 October) and is set to extend them to Mthatha (24 October 2026), bringing direct support closer to accident victims in underserved communities.

What Does This Mean for RAF Claimants?

If you have a pending RAF claim or are considering lodging one, here is what the current situation means for you:

• Delays are likely to continue — with R21.7 billion in unpaid finalised claims and more than half of open claims older than five years, the backlog remains severe.
• Legislative changes are coming — the RAF Act amendments could cap the value of claims, which may affect the amount you are entitled to receive.
• New leadership brings hope — the appointment of a new CEO and the move toward a permanent board signals a commitment to reform, though meaningful change will take time.
• Seek legal advice — given the complexity of the RAF claims process and the evolving legal landscape, it is advisable to consult a qualified attorney who specialises in RAF claims.

Conclusion: A Fund at a Crossroads

The Road Accident Fund is at a critical juncture. With a R439 billion shortfall, over R21.7 billion in unpaid claims, a new CEO, pending legislative reforms, and a looming funding crisis driven by the EV transition, the RAF faces challenges on multiple fronts simultaneously.

The government’s refusal to inject additional funds places the burden of reform squarely on new management and legislative change. For the millions of South Africans who depend on the RAF for compensation after road accidents, the coming months will be crucial in determining whether the fund can be stabilised and made fit for purpose.

Stay tuned to this blog for daily updates on the Road Accident Fund and other important South African legal and transport news.

Sources: EWN, Parliament of South Africa, TopAuto, IOL Business, AllAfrica, Business Day, Moneyweb, SABC News (October 2026)