RAF reports R45.1bn claims have been paid out

The Road Accident Fund (RAF) paid out R45.1 billion in 2023/24 — relief for thousands of road accident victims, especially those unable to return to work. But with 79,000 claims lodged and 63,000 finalised, concerns remain over backlogs, missing paperwork, and whether victims are truly getting their fair share.

Breaking Down the Numbers

The RAF’s 2023/24 performance report shows how compensation was distributed:

• R12.7 billion for general damages
• R2.6 billion for loss of support
• R1.7 billion for medical compensation
• R47 million for funeral costs

While these figures show the scale of support provided, RAF CEO Collins Letsoalo highlighted concerns about the broad classification of general damages, suggesting that it is often misused.

Challenges Still Facing the RAF

Despite progress, the RAF continues to face serious challenges, particularly around legal costs, backlogs, and outstanding debt:

• Legal Costs: Once ballooning at R9.4 billion in 2019, legal fees have been cut significantly to R3.8 billion in 2024.
• Outstanding Debt: In 2019/20, the RAF owed victims R16.2 billion. This has since been reduced to R8.3 billion.
• Backlogs: The RAF has missed its backlog reduction targets for two consecutive years, with the backlog increasing by 1.2% in 2023/24.
• Claims Quality: Almost 80% of claims submitted lack sufficient information or documentation, slowing down investigations and delaying settlements.

Letsoalo also confirmed that R1.5 billion is owed to foreign nationals, adding another layer of complexity to the fund’s obligations.

The Road Ahead

While the RAF has made measurable progress in reducing debt and curbing legal expenses, it is still far from financial stability.

Letsoalo admits the RAF is “not out of the woods yet” but says the 2020–25 strategy is the best chance to stabilise the fund. For now, progress is clear — but victims still need faster, fairer, and more reliable payouts.