Road Accident Fund (RAF) South Africa: Key Updates, Reforms & Challenges – October 2026

The Road Accident Fund (RAF) continues to dominate South African headlines as the entity navigates a perfect storm of surging claims, leadership changes, financial pressures, and long-overdue reforms. Here is a comprehensive roundup of the most important RAF developments as of October 2026.

1. New CEO Appointed: Waseem Carrim Takes the Helm

In one of the most significant leadership developments at the RAF in recent years, Cabinet has approved Mr Waseem Carrim as the new Chief Executive Officer of the Road Accident Fund. The appointment, confirmed in September 2026, signals a fresh chapter for the embattled entity, which has been operating under acting leadership following the departure of former CEO Collins Letsoalo.

Letsoalo’s tenure ended amid controversy, with Parliament’s Standing Committee on Public Accounts (SCOPA) moving to lay criminal charges against him over allegations of financial mismanagement, maladministration, and wasteful expenditure. The new appointment is widely seen as a critical step in restoring public confidence in the Fund.

2. RAF Faces Surge of Nearly 160,000 Claims After Landmark SCA Ruling

The RAF is bracing for a massive influx of claims following a landmark Supreme Court of Appeal (SCA) judgment handed down on 30 April 2026. The ruling set aside the 2022 RAF 1 Form regime — which had imposed strict documentation requirements at the point of lodgement — and reinstated the original 2008 RAF 1 Form.

The court found that the RAF did not have the authority to impose the additional binding requirements, and that the Minister’s approval of the revised form was unlawful due to a failure to conduct the required public participation process.

What This Means for Claimants

• Claimants whose submissions were previously rejected under the 2022 regime were given until 30 September 2026 to resubmit using the 2008 RAF 1 Form.
• Successfully resubmitted claims are treated as having been lodged on the original submission date, protecting them from prescription.
• By 1 July 2026, the RAF had already received 62,643 claims in this post-judgment stream.
• The RAF projected a total of 159,591 claims by the 30 September deadline.

Financial Exposure

Applying the RAF’s average payment of R283,595 per claim to the projected 159,591 RAF 1 Form claims produces a potential liability figure of approximately R45.3 billion — though this is not a formal forecast, as individual claim values will vary significantly.

The RAF has responded by bringing in additional contractors and interns, introducing overtime, reorganising staff, and reconfiguring its Integrated Claims Management System (Bokamoso) to accommodate the reinstated 2008 form.

3. RAF Pays Out R8.9 Billion in Just Three Months

Despite the challenges, the RAF has demonstrated a significant improvement in its payout performance. During the first quarter of the 2026/27 financial year (April to June 2026), the Fund paid out R8.9 billion across 80,665 claims — a 54% increase compared to the same period in the previous year, when R5.8 billion was paid.

RAF board secretary Mokete Daniel Penane told Parliament: “For the quarter to date, we’re sitting at R8.9bn being paid versus performance of the prior year being R5.8bn, which shows that we’re paying quite well.”

Breakdown of Payouts:

• Loss of income: ~R4.8 billion
• Plaintiff legal costs: ~R2 billion
• General damages: ~R1.1 billion

The Fund registered approximately 31,000 claims, made around 16,000 offers, and finalised about 17,000 claims during the quarter.

4. R21.7 Billion in Unpaid Finalised Claims

Despite the improved payout rate, a massive backlog of finalised but unpaid claims remains a serious concern. Transport Minister Barbara Creecy revealed in a parliamentary reply that as of 28 June 2026, the RAF’s Requested Not Yet Paid (RNYP) Claims Register showed:

• 37,622 finalised claims awaiting payment
• Total value: R21.76 billion
• Involving 47,949 payment transactions
• Many claims dating back as far as 2007

Reasons for Delayed Payments:

• Outstanding compliance checks: Affecting claims worth ~R11 billion
• Verification delays: Affecting claims worth ~R9.1 billion
• Missing documents: Affecting claims worth ~R1.7 billion

The scale of the backlog has prompted calls for urgent systemic reform and more efficient payment processes.

5. RAF Funding Model Under Review: New Vehicle Licence Fee on the Cards?

The RAF’s long-term financial sustainability is under the spotlight, with the Department of Transport reviewing the Fund’s funding model. Currently, the RAF is primarily funded through a fuel levy on petrol and diesel.

Minister Creecy has indicated that a mandatory fee linked to annual vehicle licence renewals or initial vehicle registrations is among the options being considered. This potential new charge has already drawn criticism from motoring associations and consumer groups concerned about the additional financial burden on South African motorists.

“The Department of Transport, in collaboration with the Road Accident Fund (RAF), has initiated a structured review of the RAF funding framework, guided by a formal business case. Once this process is completed, it will be communicated publicly,” Creecy said.

6. Parliament Calls for Accelerated Reforms

The Portfolio Committee on Transport has expressed cautious optimism about the RAF’s trajectory. Committee Chairperson Donald Selamolela acknowledged that the Fund is “on the road to recovery” but stressed that reform efforts must accelerate.

“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,” Selamolela said.

Deputy Minister of Transport Mkhuleko Hlengwa likened the reform process to “fixing an aeroplane while airborne,” emphasising the complexity of overhauling a functioning entity without disrupting service delivery.

The committee has also called on the Department to move swiftly to review RAF legislation to close existing loopholes.

7. DA Proposes Dedicated Settlement Hub to Cut Legal Costs

Democratic Alliance (DA) MP Patrick Atkinson has proposed the creation of a dedicated settlement hub for processing RAF claims. The proposal, put forward as part of SCOPA’s final recommendations to the National Assembly, aims to:

• Significantly reduce legal fees paid to plaintiff attorneys
• Decrease the number of matters going to court
• Speed up the resolution of claims for accident victims

The proposal comes as legal costs continue to consume a significant portion of RAF payouts — approximately R2 billion in the first quarter of 2026/27 alone.

8. RAF Assets Attached and Court Orders Mounting

The RAF continues to face legal pressure from claimants and their attorneys. Recent court orders include:

• The RAF was ordered to pay R3.7 million to a brain-damaged street vendor.
• A crash victim whose career hopes were shattered was awarded R4.8 million.
• RAF assets were attached in a R5 million lawsuit.

These cases highlight the human cost of road accidents and the critical role the RAF plays in compensating victims — even as the Fund struggles with its financial and operational challenges.

What Does This Mean for RAF Claimants?

If you have a pending RAF claim or are considering lodging one, here are the key takeaways:

1. The 30 September 2026 resubmission deadline has passed. If you had a claim rejected under the 2022 RAF 1 Form regime and did not resubmit by 30 September 2026, your claim may have prescribed. Consult a legal professional immediately.
2. Payout times remain slow. Despite improved performance, the R21.7 billion backlog means many claimants are still waiting. Ensure your compliance documents are in order to avoid further delays.
3. Legal representation matters. Given the complexity of RAF claims, working with an experienced attorney remains advisable.
4. Stay informed about funding changes. Proposed changes to the RAF’s funding model could affect future levies and fees for all South African motorists.

Conclusion: A Fund at a Crossroads

The Road Accident Fund stands at a critical juncture in October 2026. On one hand, there are genuine signs of improvement — record payouts, a new CEO, and parliamentary oversight driving accountability. On the other hand, the Fund faces an unprecedented surge in claims, a multi-billion-rand backlog, and deep structural questions about its long-term financial viability.

The coming months will be decisive. The success of the new CEO’s leadership, the outcome of the SCOPA investigation, the proposed funding model review, and the processing of nearly 160,000 resubmitted claims will all shape the RAF’s future — and the lives of thousands of South Africans who depend on it.

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

Sources: Moonstone Information Refinery, Sowetan, IOL Business, SABC News, Africa24 TV, Road Accident Fund (raf.co.za)