The Road Accident Fund (RAF) has already disbursed R3.3bn in the past three weeks, which is just a small portion of the R20bn needed to be made out to claims older than 180 days, the RAF board says.
This comes after the interim board announced in early September to aggressively begin paying after a high court ruling that dismissed RAF’s request to extend its payment moratorium.
According to the board, this is to prevent future backlog claims, with expectations of monthly payments exceeding R4bn for the remainder of the year.
“This initiative forms part of the broader turnaround programme aimed at tackling systemic delays and restoring confidence in the fund’s claims environment. This should become the norm as part of the RAF’s reviewed business model. These payments are expected to substantially reduce the claims backlog in the months ahead,” the board said.
The board is acutely aware of the financial and emotional strain that delayed payments have caused for claimants and their families.
— RAF board
According to the RAF, new measures have been introduced to ensure the process remains consistent.
“Controls have been embedded to ensure supporting documentation is reviewed promptly to avoid any further administrative delays. Strengthened monitoring systems to track both paid and outstanding claims to ensure compliance, accountability and transparency are in place,” the board explained.
On Friday, parliament’s Standing Committee on Public Accounts (Scopa) said it was going to investigate allegations that the judiciary is possibly corrupt in the way it deals with RAF claims and is colluding with lawyers.
Songezo Zibi, the chairperson of Scopa, said during a committee meeting that they have launched a full inquiry into allegations of maladministration, financial mismanagement, wasteful and reckless expenditure and related financial misconduct at the RAF.
Meanwhile, the board said as part of its accountability framework, RAF stated that it will issue bimonthly reports to the claimants' attorneys and all other suppliers and also make them publicly available.
“These include detailing amounts paid and the progress in clearing outstanding claims. The board acknowledges there will be a need for direct engagement for possible disputes and clarity on some claims, especially as it relates to non-compliant ones.
“The board is acutely aware of the financial and emotional strain that delayed payments have caused for claimants and their families. We reaffirm our responsibility to resolve this matter with urgency and transparency.”
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