Road Accident Fund in Crisis: Key Developments, Reforms & What South Africans Need to Know (October 2026)

The Road Accident Fund (RAF) continues to dominate South African headlines as October 2026 draws to a close. From a landmark High Court ruling on a CEO appointment to sweeping calls for legislative reform, the fund which carries an estimated R450 to R500 billion in liabilities is at a critical crossroads. Here is a comprehensive roundup of the most important RAF developments this month.

1. High Court Dismisses Urgent Bid to Halt RAF CEO Appointment

In a significant legal development on 30 October 2026, the RAF welcomed a High Court ruling that dismissed an urgent application seeking to halt the appointment of its new Chief Executive Officer. The court found no grounds to interdict the appointment, allowing the RAF leadership transition to proceed.

This ruling is particularly noteworthy given the turbulent leadership history of the fund. Transport Minister Barbara Creecy dissolved the RAF board in July 2025 following persistent governance failures, litigation over accounting standards, institutional instability, and frequent default judgments. The appointment of new leadership is seen as a critical step in stabilising the organisation.

2. RAF Act Amendments on the Table: Foreign Nationals, Capped Claims and More

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

• Capped claims to limit the financial exposure of the fund
• Rehabilitation improving support for accident victims
• Mediation and conciliation reducing costly litigation
• Claims by foreign nationals addressing court-ordered payments to undocumented residents

Committee member Thalente Kubheka raised concerns about the fund paying claims to people living in South Africa illegally, calling it a burden on taxpayers. Mathabatha acknowledged that the Act in its current form makes the scheme not sustainable and that the amendments aim to restore long-term viability.

3. No Additional Government Funding for the RAF

Transport Minister Barbara Creecy has firmly ruled out any additional government bailout for the Road Accident Fund. Reported on 13 October 2026, the Minister stated that motorists are already under severe financial pressure and that the priority must be addressing the fund management and financial challenges, not injecting more public money.

This position aligns with growing public sentiment that the RAF problems are structural and managerial, not simply a matter of insufficient funding.

4. Unpaid Claims Backlog Reaches R21.76 Billion

As of 28 June 2026, the RAF had 37,622 finalised claims awaiting payment, totalling a staggering R21.76 billion. This backlog represents thousands of accident victims, many of them severely injured, who are waiting for compensation they are legally entitled to.

The backlog is a direct consequence of years of financial mismanagement, bloated administrative costs, and a claims liability that has ballooned from approximately R46 billion in 2010 to around R450 to R500 billion today.

5. RAF Requests 75-Cent Fuel Levy Increase: DA Pushes Back Hard

The RAF has asked National Treasury to raise the fuel levy by 75 cents per litre, from R2.25 to R3.00 per litre, at a time when fuel prices have already hit a record R30 per litre. This request has drawn fierce criticism from the Democratic Alliance (DA).

DA spokesperson Dr Chris Hunsinger MP pointed out that the RAF has spent:

• R12.8 million on legal costs for just seven disciplinary hearings
• Close to R30 million on salaries for at least 16 suspended executives, some sitting at home on full pay for nearly two years

The DA stated that more money will not fix the RAF. Its problem is not that motorists pay too little. It is how the money is managed, calling for immediate reform rather than additional revenue extraction from already-strained South African motorists.

6. Expert Analysis: Reform the Institution, Not the Invoice

In a widely-read Daily Maverick opinion piece published on 9 October 2026, civil activist and OUTA head Wayne Duvenage made a compelling case for structural reform over new revenue streams. Key points from his analysis include:

The RAF Has Not Been Starved of Money

RAF revenue grew from approximately R12.5 billion in 2010 to more than R50 billion in 2024/25. Yet performance deteriorated dramatically. Employee costs ballooned from R590 million to R2.47 billion, while general and administrative costs rose from R240 million to R1.5 billion, far outpacing inflation.

The Fuel Levy Remains the Best Collection Mechanism

Duvenage argues that the fuel levy is among the simplest and most equitable ways to fund road-accident compensation, collected automatically without a separate bureaucracy, and approximating a user-pays model. Replacing it with a compulsory third-party insurance scheme, which South Africa tried and abandoned in 1986, would revive enforcement nightmares and leave vulnerable road users unprotected.

What Needs to Happen

• Establish the RAF true liabilities and develop a Treasury-backed plan to address the backlog
• Restore credible financial reporting and independent actuarial expertise
• Appoint qualified insurance professionals to rebuild claims management and fraud prevention
• Modernise systems and settle valid claims before they become expensive court cases
• Revisit the Road Accident Benefit Scheme (RABS) as a properly designed no-fault alternative

7. RAF Expands Claimant-Centred Services Across South Africa

On a more positive note, the RAF has been actively expanding its direct service delivery to accident victims across the country. Recent outreach initiatives include:

• 31 October 2026 – Claimant-Centred Services extended to Polokwane
• 24 October 2026 – Services extended to Mthatha
• 10 October 2026 – Services extended to Bloemfontein
• A new Hospital Service Centre opened in the North West province
• Community outreach campaigns in Ulundi and George in September 2026

These initiatives are part of the RAF strategy to bring services directly to claimants, reducing their reliance on attorneys and ensuring they understand their rights, including important information about contingency fees and legal costs.

8. Supreme Court of Appeal: RAF Reverts to 2008 RAF 1 Form

A Supreme Court of Appeal judgment on 30 April 2026 directed the RAF to revert to the original 2008 RAF 1 Form for claims processing. This ruling reversed a controversial change introduced under previous management and is seen as a step toward restoring procedural integrity in the claims process.

What This Means for South African Road Users and Claimants

If you have been involved in a road accident in South Africa, here is what the current RAF landscape means for you:

• You are entitled to claim – The RAF compensates victims of motor vehicle accidents for injuries, loss of income, and funeral costs, regardless of fault.
• Delays are likely – With over R21 billion in unpaid claims, expect processing delays. However, the RAF expanded service centres aim to speed up direct settlements.
• Know your legal rights – Be aware of contingency fee arrangements with attorneys. The RAF has warned claimants to understand what they are signing.
• Legislative changes are coming – Proposed amendments to the RAF Act may affect how claims are processed, particularly for foreign nationals and capped claims.
• Use the RAF 1 Form (2008 version) – Following the Supreme Court ruling, ensure your claim is submitted on the correct form.

Key Takeaways: The Road Ahead for the RAF

The Road Accident Fund stands at a pivotal moment. With new leadership being appointed, legislative amendments in the pipeline, a firm no to additional government funding, and mounting pressure from civil society and opposition parties, the pressure for genuine reform has never been greater.

The consensus among experts, opposition parties, and civil society is clear: the RAF does not need more money, it needs better management. Until the fund can demonstrate fiscal discipline, transparent governance, and efficient claims processing, South African motorists and accident victims will continue to bear the cost of institutional failure.

Stay tuned to this blog for daily updates on the Road Accident Fund and other developments affecting South African road users.

Sources: Parliament of South Africa (6 October 2026), AllAfrica / EWN (13 October 2026), RAF Media Statements (October 2026), Democratic Alliance (October 2026), Daily Maverick / Wayne Duvenage (9 October 2026), RAF Facebook / Break the Silence About South Africa (June 2026). Published: 31 October 2026.