Road Accident Fund South Africa: Key News & Updates – June 2026

The Road Accident Fund (RAF) in South Africa continues to dominate headlines in 2026, with a wave of landmark court rulings, a looming financial crisis, and long-awaited reform plans reshaping the future of road accident compensation in the country. Here is a comprehensive roundup of the most important RAF news and developments as of June 2026.

1. Supreme Court Orders RAF to Revive Hundreds of Thousands of Rejected Claims

In one of the most significant rulings of the year, the Supreme Court of Appeal (SCA) found that the RAF’s controversial RAF 1 Form — introduced in July 2022 — unlawfully raised the bar for road accident victims to lodge valid claims. The court ruled that the stricter documentation requirements were unfair and ordered the RAF to allow claimants whose submissions were rejected under the new rules to re-lodge their claims by the end of September 2026.

According to RAF law expert and attorney Gert Nel, an estimated 600,000 claims were rejected under the new claim form and will now need to be re-lodged and registered. He also warned of “phantom” claims — claims lodged in full compliance with the RAF Act but not acknowledged by the fund — that have since secured default judgments now immediately payable, estimated at R4.8 billion.

Acting CEO of the RAF, Radikwena Phora, said the fund welcomes the judgment as it provides clarity on the RAF 1 Form matter, and that the RAF is committed to its full implementation. The fund will engage with the Minister of Transport to adopt and publish a revised RAF 1 Form within six months.

“The RAF needs to start paying — some of these victims had already died in the process of waiting.” — Gert Nel, RAF Law Expert

2. RAF Faces Massive Claims Surge and Financial Fallout from the RAF 1 Form Debacle

A SCOPA (Standing Committee on Public Accounts) draft oversight report, discussed in April 2026, warned that the RAF could face a “massive influx of claims” — liabilities it has not recognised and may not be able to meet — following the court’s ruling on the RAF 1 Form.

The data tells a stark story: claim registrations dropped from nearly 2,000 a week to just over 300 following the introduction of the new form. Between July 2022 and March 2025, of 105,039 RAF 1 claims pre-assessed, only 29,049 (28%) were compliant, while 75,990 (72%) were rejected for missing required documentation.

The SCOPA report also raised serious concerns about the RAF’s Integrated Claims Management System (ICMS) — a R881.3 million IT project designed around the now-contested RAF 1 Form. If the form is ultimately set aside, the system will need costly reconfiguration, and the committee warned that expenditure on the system could be classified as fruitless and wasteful.

Contingent liabilities have already increased from R656.6 million to R1.7 billion, driven in part by litigation linked to the claims process.

3. RAF Ordered to Pay R2.23 Million to Pedestrian — Punitive Cost Order Issued

In a damning Western Cape High Court judgment handed down in May 2026, the RAF was ordered to pay R2.23 million to road accident victim Catherine Yiannakis, who has been living in a long-term care facility for nearly eight years following a motor vehicle collision in February 2018.

The RAF had refused to compensate Yiannakis for past hospital and medical expenses on the grounds that her medical aid (Discovery Health) had already covered a portion of the costs — despite binding full court judgments and SCA confirmation of the RAF’s liability to pay these costs.

Acting Judge M Louw issued a punitive cost order against the RAF, finding that its opposition was “frivolous” and that its conduct — “reflected in a flimsy defence, refusal to accept binding court decisions, and total disregard for established obligations” — warranted the punitive order.

“It is wholly unacceptable that the RAF persists in defending these hopeless matters, thereby wasting public resources, driving up legal costs for both the RAF and claimants, and compelling claimants to incur unnecessary expenses to enforce rights already established.” — Acting Judge M Louw

4. RAF’s Financial Crisis: R518 Billion in Liabilities and a Shrinking Funding Base

The RAF’s financial situation remains dire. The fund’s liabilities have soared past R518 billion, while its primary funding source — a fuel levy of R2.25 per litre of petrol and diesel — is under increasing pressure.

The rapid global rise of electric and hybrid vehicles that do not rely on taxed liquid fuel means the RAF’s tax base is structurally shrinking just as its risk pool and liabilities are exploding. The RAF’s own management has acknowledged that “the growing use of alternative energy vehicles will inevitably reduce fuel levy revenue.”

Adding to the crisis, the abrupt and disastrous cancellation of the RAF’s panel of attorneys led to R15.7 billion in default judgments, and the recent SCA ruling reviving hundreds of thousands of unlawfully rejected claims threatens to compound the fund’s financial woes further.

5. Minister Creecy Unveils Reform Plan: Road Accident Benefit Scheme (RABS) Back on the Table

Transport Minister Barbara Creecy has signalled a major policy shift for the RAF, reviving a two-decade-old legislative proposal: the Road Accident Benefit Scheme (RABS). Speaking during the 2026/27 Transport Budget Vote Debate, Creecy acknowledged that the RAF’s fuel levy funding model is unsustainable.

Deputy Transport Minister Mkhuleko Hlengwa confirmed: “We intend to introduce the Road Accident Benefit Scheme (RABS) Bill to Parliament this year… the proposed framework provides for defined structured benefits on a no-fault basis.”

The department is also researching a hybrid funding model that will include both private and public contributions to lessen the burden on the fiscus. Key elements of the proposed reform include:

• A no-fault compensation system replacing the current fault-based model
• Standardised, structured benefits instead of lump-sum payouts
• A hybrid funding model combining public and private contributions
• Reduced reliance on the fuel levy as the primary funding source

However, the proposed shift is not without controversy. The Law Society of South Africa (LSSA) has previously argued that a no-fault scheme would deprive innocent road accident victims of their common law rights and could be anti-poor, replacing lump-sum compensation with capped monthly pensions.

6. Parliament Debates RAF Payouts for Foreign Nationals

Parliament has been debating whether foreign nationals — including undocumented individuals — should be entitled to RAF compensation. The African Transformation Movement (ATM) has called for RAF payouts to be limited to South African citizens only.

However, the Transport Committee Chairperson welcomed an Appeal Court ruling confirming that foreign nationals are entitled to claim and receive benefits from the RAF, noting that the RAF’s funding is intended for all victims of road accidents, regardless of nationality.

7. Transport Committee: RAF Shows Signs of Recovery

Despite the ongoing challenges, the Chairperson of the Portfolio Committee on Transport, Mr Donald Selamolela, expressed cautious optimism in February 2026, stating that the RAF is “on the road to recovery.”

“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 noted.

The RAF also hosted a Settlement Drive at Ngwelezane Hospital in February 2026, aimed at settling outstanding claims directly with claimants — part of a broader effort to reduce the backlog and improve service delivery.

What This Means for RAF Claimants

If you have a pending or previously rejected RAF claim, here is what you need to know:

• Previously rejected claims: If your claim was rejected due to the stricter RAF 1 Form requirements, you may be eligible to re-lodge your claim. The deadline for re-submission is end of September 2026.
• Proof of original submission: When re-submitting, ensure you have proof that your original claim was submitted within three years of the accident.
• Medical aid claimants: The courts have consistently ruled that the RAF cannot refuse to pay past medical expenses simply because your medical aid already covered them.
• Seek legal advice: Given the complexity of the current claims environment, it is strongly advisable to consult a qualified RAF attorney.

Looking Ahead: The Road to RAF Reform

The RAF stands at a critical crossroads. With liabilities exceeding R518 billion, a structurally shrinking funding base, hundreds of thousands of claims to be re-processed, and a major legislative overhaul on the horizon, 2026 is shaping up to be a defining year for road accident compensation in South Africa.

The introduction of the RABS Bill to Parliament, if it proceeds as planned, will trigger a national debate about the future of road accident compensation — balancing the rights of victims, the sustainability of the fund, and the burden on South African taxpayers and motorists.

We will continue to monitor and report on all developments relating to the Road Accident Fund. Bookmark this page and check back regularly for the latest RAF news and updates.

Disclaimer: This article is for informational purposes only and does not constitute legal advice. If you have a RAF claim, please consult a qualified attorney.