Road Accident Fund (RAF) in Crisis: No New Funding, New CEO & 160,000 Claims Surge – October 2026 Update

Road Accident Fund South Africa: Key Developments in October 2026

The Road Accident Fund (RAF) in South Africa continues to dominate headlines as the embattled social security fund faces a perfect storm of financial pressure, legislative reform, leadership changes, and a massive surge in claims. Here is a comprehensive roundup of the most important RAF news and developments as of October 2026.

1. Transport Minister Rules Out 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. The RAF had previously pushed for a fuel levy increase to R3.00 per litre, but Minister Creecy rejected the proposal, citing the financial pressure already faced by 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. It not only requires better management, and 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,” said Creecy.

The Minister emphasised that the priority is to fix the institution’s management challenges rather than inject more money into a structurally broken system. Currently, motorists pay R2.25 per litre of petrol to the RAF as part of the fuel pricing structure.

A Hybrid Funding Model on the Horizon

Minister Creecy also raised the prospect of a hybrid funding model for the RAF, acknowledging that revenue from the fuel levy is expected to decline over the medium term as more South Africans transition to electric vehicles (EVs). A hybrid system would ensure that both petrol/diesel motorists and EV drivers contribute to funding the RAF.

“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 do we do this,” Creecy explained.

2. RAF Board Chair: The Fund Will “Never Catch Up” on R43-Billion Claims Load

RAF Board Chairperson Kenneth Brown delivered a sobering assessment to Parliament’s Transport Portfolio Committee, stating that it is unlikely the RAF will ever overcome its R43-billion claims backlog.

Key figures paint a dire picture:

• Outstanding claims: 422,477 cases currently open
• Liabilities exceeding assets by a staggering R439.5 billion
• Only R4 billion in the bank, while monthly claims ready for payment run between R20 billion and R25 billion
• More than half of all open RAF claims are older than 5 years
• As of 28 June 2026, 37,622 finalised claims were awaiting payment, totalling R21.76 billion in unpaid obligations

“The reality we sit with is we’ve got R4 billion in our bank account; our claims that are ready to be paid basically run on a month-to-month basis between R20bn and R25bn. So, we will never catch up if I’m honest,” said Brown.

Parliament’s Transport Committee expressed ongoing concern about the fund’s liquidity challenges, while the Democratic Alliance (DA) has argued that abolishing the RAF — which receives approximately R48 billion annually from petrol sales — could ease the burden on motorists and commuters.

3. New CEO Appointed: Waseem Carrim Takes the Helm

In a significant leadership development, Cabinet has approved the appointment of Mr Waseem Carrim as the new Chief Executive Officer of the Road Accident Fund. The appointment comes as the RAF’s interim board, which was put in place following a parliamentary inquiry into years of leadership turmoil, is set to conclude its term.

The process of appointing a permanent board is also currently underway, signalling a new chapter in the RAF’s governance journey. Minister Creecy has indicated that strong leadership is central to the fund’s recovery strategy.

4. RAF Act Amendments in the Pipeline: Foreign Nationals, Capped Claims, and Mediation

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’s Acting Director-General, Mokonyama Mathabatha, outlined four key areas under review:

1. Capped claims – introducing defined benefit limits to reduce open-ended liability
2. Rehabilitation – improving support for injured claimants
3. Mediation and conciliation – reducing costly litigation
4. Claims by foreign nationals – addressing court-ordered payments to illegal residents

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

Committee member Mr Thalente Kubheka raised concerns about RAF benefits being paid to undocumented foreign nationals, calling for legislative changes to ensure the fund primarily benefits South African citizens. The ATM party has similarly called for RAF payouts to be limited to South Africans.

5. SCA Ruling Triggers Surge of Nearly 160,000 New Claims

One of the most consequential developments of 2026 for the RAF has been the Supreme Court of Appeal (SCA) judgment of 30 April 2026, which set aside the 2022 RAF 1 Form regime and reinstated the original 2008 version. This ruling has triggered a massive wave of resubmitted claims.

Key statistics from the claims surge:

• By 1 July 2026, the RAF had already received 62,643 post-judgment claims
• The RAF projected a total of 159,591 claims by the 30 September 2026 deadline
• The potential financial exposure is estimated at approximately R40.9 billion to R45.3 billion
• The RAF paid R8.9 billion on 80,665 claims in Q1 of 2026/27 (April–June)
• The average payment per claim during this period was R283,595

The SCA found that the RAF had unlawfully imposed additional documentation requirements that created barriers to lodging claims. Claimants whose submissions were previously rejected under the 2022 regime were given until 30 September 2026 to resubmit, with their claims backdated to the original submission date to protect against prescription.

The RAF has responded by bringing in additional staff, contractors, and interns, introducing overtime, and reconfiguring its Bokamoso IT system to handle the surge.

6. RAF Extends Claimant-Centred Services Across South Africa

Despite its financial challenges, the RAF has been expanding its direct service delivery footprint. Recent initiatives include:

• A Settlement Drive at Ngwelezane Hospital (February 2026)
• Extension of claimant-centred services to Bloemfontein (October 2026)
• Opening of a new RAF Hospital Service Centre in North West
• Planned extension of services to Mthatha on 24 October 2026

These outreach efforts are part of the RAF’s strategy to bring services directly to claimants, particularly in underserved communities, and to reduce the reliance on attorneys for straightforward claims.

7. Signs of Recovery? Parliament Cautiously Optimistic

Earlier in 2026, the Chairperson of the Portfolio Committee on Transport, Mr Donald Selamolela, expressed cautious optimism about the RAF’s trajectory. “We are satisfied that indeed there is work happening to improve governance and stabilise the operation of RAF. The committee accepts that RAF is a challenged entity of government, besieged by historical factors that unnecessarily frustrated the work of the entity,” he said.

Deputy Minister of Transport Mr Mkhuleko Hlengwa likened the reform process to “fixing an aeroplane while airborne” — a challenging but necessary undertaking. The committee has called on the department to move swiftly to close legislative loopholes and accelerate reform.

What Does This Mean for RAF Claimants?

If you are a current or prospective RAF claimant, here is what the latest developments mean for you:

• Payment delays are likely to continue given the fund’s severe liquidity constraints and the massive backlog of claims.
• Legislative changes are coming that may cap the value of claims and introduce new mediation processes — potentially affecting how much you can claim.
• Direct claims are being encouraged — the RAF is actively promoting its direct claims service to reduce attorney involvement and speed up settlements.
• If your claim was rejected under the 2022 RAF 1 Form, the 30 September 2026 resubmission deadline has now passed. If you missed it, consult an attorney urgently.
• New outreach centres are being opened across the country — check the RAF website (www.raf.co.za) for the nearest service point.

Conclusion: The RAF at a Crossroads

The Road Accident Fund stands at a critical crossroads in October 2026. With a new CEO at the helm, legislative amendments in the pipeline, a hybrid funding model under consideration, and a massive claims surge to manage, the coming months will be decisive for the fund’s future.

For millions of South Africans who depend on the RAF for compensation following road accidents, the stakes could not be higher. Stakeholders — from Parliament to motorists to accident victims — will be watching closely to see whether the promised reforms translate into meaningful relief.

Stay updated on the latest RAF news by bookmarking this page. We publish daily updates on Road Accident Fund developments in South Africa.

Sources: Eyewitness News (EWN), Parliament of South Africa, AllAfrica, Moonstone Information Refinery, Africa24 TV, Road Accident Fund official media releases.