Road Accident Fund (RAF) South Africa: Latest News, Crisis & Reform Updates – August 2026

The Road Accident Fund (RAF) in South Africa continues to dominate headlines in August 2026, with mounting unpaid claims, sweeping legal reforms, leadership instability, and fierce political debate over how to fix — or replace — the embattled state entity. Here is a comprehensive roundup of the latest developments every South African motorist, accident victim, and legal professional needs to know.

1. R21.7 Billion in Unpaid Claims: The Scale of the Crisis

Transport Minister Barbara Creecy has confirmed in a parliamentary reply that the RAF is sitting on a staggering R21.76 billion in finalised but unpaid claims as at 28 June 2026. According to the RAF’s internal Requested Not Yet Paid (RNYP) Claims Register, a total of 37,622 claims involving 47,949 payment transactions remain outstanding.

The main reasons cited for the payment delays include:

• Outstanding compliance checks – affecting claims worth nearly R11 billion
• Verification delays – affecting claims worth more than R9.1 billion
• Missing documentation – affecting claims worth approximately R1.7 billion

Alarmingly, 36,442 of these claims date back to the period between 2007 and 2026, highlighting the chronic nature of the backlog. The revelation came after ActionSA MP Alan Beesley questioned whether the RAF maintained an accurate record of all finalised but unpaid claims.

2. Legal Reforms: Tackling Default Judgments and Staffing Gaps

In a presentation to Parliament’s Portfolio Committee on Transport on 12 August 2026, RAF Acting CEO Radikwena Phora outlined a series of urgent legal reforms aimed at stemming the tide of default judgments.

Default Judgments at Crisis Levels

The RAF recorded 1,775 default judgments in the first quarter of its 2026/27 financial year (April–June 2026), representing 29% of the 6,079 matters enrolled during the period. The problem is heavily concentrated in Gauteng — Pretoria accounted for 1,084 and Johannesburg for 673, together making up 99% of all defaults.

Root Causes

The RAF has been grappling with severe legal capacity problems since its 2020 decision to dissolve its panel of private attorneys. The Office of the State Attorney, which took over the work, has substantially less capacity. Close to 85% of positions in the RAF’s legal division remain vacant, with more than 385 posts unfilled.

Reform Measures Underway

The RAF is implementing a multi-pronged response:

• Hybrid legal model: Supplementing state attorneys with a private defence team to handle overflow work
• Expanded mediation: 252 mediations completed in Q1 2026/27, with a 76% success rate — up from 25 matters per month to 84 per month
• Upgraded legal management system: Providing deadline alerts and integrated tracking
• Backlog eradication project: Dedicated professionals being recruited to work through historic claims, starting in Pretoria
• Default-judgment prevention framework: Guiding categorisation and handling of matters within required timeframes

Staffing Crisis

The overall vacancy rate at the RAF stands at 57% across 353 posts. If current recruitment is completed, the vacancy rate is expected to fall to approximately 40%. The Fund has also gone through four CEOs in seven months between August and December 2025, and a permanent CEO has yet to be appointed. Deputy Transport Minister Mkhuleko Hlengwa told Parliament that Cabinet memoranda dealing with CEO and board appointments are being finalised.

3. Clean Audit — But Financial Picture Remains Dire

In a rare piece of positive news, the RAF has received an unqualified audit opinion from the Auditor-General — its first clean audit after three consecutive adverse outcomes. This follows the resolution of a costly legal battle over accounting standards.

The dispute dated back to 2021, when the RAF controversially switched from the prescribed GRAP framework to IPSAS 42, which reduced reported liabilities from approximately R327 billion to R34 billion. Courts repeatedly ruled against the RAF’s accounting treatment, and the litigation cost the Fund more than R11.2 million in legal fees. The interim board, appointed after Minister Creecy dissolved the previous board in July 2025, withdrew the Constitutional Court application, ending the accounting dispute.

The RAF’s September 2026 financial statements — due by 30 September — will provide the first audited picture of the Fund’s true financial position under the correct accounting standard. The RAF 1 Form judgment adds further pressure: claimants whose submissions were rejected under the unlawful 2022 form have until 30 September 2026 to resubmit, with the RAF expecting close to 160,000 claims to be resubmitted — a potential liability of approximately R40.9 billion.

4. Proposed “Settlement Hub” to Clear the Backlog

The Association for the Protection of Road Accident Victims (Aprav) has proposed a bold solution: the creation of a national Settlement Hub to fast-track the approximately 100,000 claims ready for payment.

Aprav vice chair Pieter de Bruyn, speaking at the National Press Club in Pretoria, said the hub would:

• Sort claims into those ready to settle, those needing more information, and those genuinely disputed
• Consolidate all legal, medical, and financial evidence into a single complete file per claim
• Place experienced claims professionals and RAF representatives with real settlement authority in the same room
• Pay out undisputed portions immediately, sending only genuine disagreements to court
• Track every case until the claimant is actually paid

The proposal would require R16 billion from National Treasury — but De Bruyn stressed this is “not really a bailout”, as the money goes directly to victims who have been waiting up to 10 years. He noted that less than 5% of RAF claims are in dispute and less than 1% go to trial, yet 90% of RAF claims end up in court — generating a legal bill of R6 billion.

Scopa chair Songezo Zibi acknowledged that the RAF is chronically underfunded, and that even once governance problems are resolved, there will not be enough money to meet all claim obligations without structural reform.

5. Funding Model Under Review: New Vehicle Levy on the Table

The RAF is currently funded primarily through a fuel levy of approximately R2.27 per litre. With the Fund receiving as little as R4 billion in a month while its payment queue exceeds R20 billion, the government is urgently reviewing the funding model.

Options under consideration include:

• A new fee linked to annual vehicle licence renewals or initial vehicle registrations
• A hybrid funding model combining the fuel levy, an optional insurance top-up, and private sector involvement
• The revival of the Road Accident Benefit Scheme (RABS) Bill — a no-fault social insurance scheme originally rejected by Parliament in 2020

Deputy Minister Hlengwa confirmed that a cost-benefit analysis is being finalised to examine the sustainability of the Fund and its revenue model, including the impact of electric vehicles on fuel-based revenue. The RABS Bill is described as “materially complete”, with the cost-benefit analysis the outstanding component before it goes to Cabinet and Parliament.

6. Political Pressure: DA Fights to Scrap the RAF

The Democratic Alliance (DA) has ramped up its campaign to replace the RAF entirely, opposing any new taxes or levies on motorists. The DA argues that the RAF is in crisis not because of insufficient funding, but because of years of mismanagement, corruption, waste, and poor governance.

The party is engaging Minister Creecy with legislative proposals to replace the RAF with a sustainable, efficient, and affordable alternative system. The DA has consistently opposed the proposed vehicle licence fee, arguing that South Africans already pay a fuel levy and should not be further burdened for government’s failures.

7. RAF Community Outreach and Settlement Drives

On the operational front, the RAF has been conducting community outreach campaigns and settlement drives across South Africa. In February 2026, the Fund hosted a Settlement Drive at Ngwelezane Hospital, and in August 2026, a community outreach campaign was launched in Kokstad. These initiatives aim to bring RAF services directly to claimants and reduce the backlog of unresolved claims at a grassroots level.

Key Takeaways for RAF Claimants and Motorists

• If you have a finalised RAF claim that has not been paid, check whether your claim is on the RNYP register and ensure all compliance documents are in order.
• If your claim was rejected under the unlawful RAF 1 Form, you have until 30 September 2026 to resubmit using the 2008 form.
• The RAF’s statutory cap for loss of income and loss of support claims was increased as of 31 January 2026.
• Mediation is increasingly being used to resolve RAF disputes — a faster and more cost-effective route than litigation.
• Monitor developments around the RABS Bill and the proposed vehicle licence fee, as these could significantly affect how road accident compensation works in South Africa.

Conclusion: Reform or Replace — The RAF’s Crossroads

The Road Accident Fund stands at a critical crossroads in August 2026. While there are genuine signs of operational improvement — a clean audit, increased payment volumes, and expanding mediation — the structural challenges remain immense. With R21.7 billion in unpaid claims, a 57% vacancy rate, a looming R40.9 billion RAF 1 liability, and a funding model under strain, the pressure on government to deliver meaningful reform has never been greater.

Whether through the proposed Settlement Hub, the revived RABS Bill, a new vehicle levy, or a wholesale replacement of the RAF, one thing is clear: the status quo is unsustainable, and South Africa’s road accident victims cannot afford to wait much longer.

Stay updated on the latest Road Accident Fund news by bookmarking this page. If you need assistance with an RAF claim, consult a qualified attorney who specialises in road accident compensation.