Road Accident Fund South Africa: Key News, Court Rulings & Reform Updates – May 2026

Road Accident Fund South Africa: Key News, Court Rulings & Reform Updates – May 2026

The Road Accident Fund (RAF) in South Africa continues to make headlines in 2026, with a wave of significant court rulings, financial warnings, and calls for systemic reform dominating the news cycle. From hundreds of thousands of rejected claims being revived by court order to expert proposals for a hybrid compensation model, here is a comprehensive roundup of the latest RAF news as of May 19, 2026.

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

In one of the most impactful rulings of the year, the Supreme Court of Appeal (SCA) found that stricter RAF claim requirements — introduced via a new RAF1 claim form published by the Minister of Transport in July 2022 — unlawfully raised the bar for road accident victims to lodge their claims.

The SCA ruled that the RAF must allow claimants whose submissions were rejected under these unlawful requirements to re-lodge their claims by the end of September 2026. The RAF’s Acting CEO, Radikwena Phora, confirmed the fund welcomes the judgment and is committed to its full implementation. The RAF will also engage with the Minister of Transport to adopt and publish a revised RAF1 Form within six months.

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

“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 Ordered to Pay 209 Victims R47 Million in 30 Days

The Klerksdorp Regional Court compelled the RAF to comply with all valid and existing court orders granted in favour of 209 road accident victims, ordering the fund to pay a combined total of more than R47.3 million within 30 days.

The ruling, handed down by Regional Court Magistrate MB Mamana, came after law firm Theron, Jordaan & Smit Inc launched an application to enforce multiple final court orders that the RAF had failed to honour. The RAF’s defence — that it could not process payments because claims were “not registered” on its internal system — was firmly rejected by the court.

Magistrate Mamana stated that “internal administrative errors, omissions or system issues with the RAF cannot override valid court orders”, and that the fund’s conduct “reflects a systemic failure to discharge its obligations.”

This ruling followed closely on the heels of the Supreme Court of Appeal ordering the RAF to pay Sunshine Hospital (Newnet Property Pty Ltd) over R92 million within seven days — a further sign of mounting judicial pressure on the fund.

3. RAF Drops Legal Fight Against the Auditor-General

In a notable development, the RAF has dropped its long-running legal battle against the Auditor-General over which accounting standards the fund should use. Acting CEO Radikwena Phora confirmed the RAF is no longer pursuing the matter and is awaiting confirmation from the Constitutional Court and the Auditor-General’s office. This signals a shift toward greater transparency and accountability within the organisation.

4. Former RAF CEO and Board Face Possible Criminal Charges

The Standing Committee on Public Accounts (SCOPA) has initiated a process to criminally charge the former RAF CEO, Collins Letsoalo, along with former board members. Letsoalo, whose contract ended after being suspended, has referred a dispute with the fund to the CCMA. The developments underscore deep governance concerns at the RAF that have contributed to its operational and financial difficulties.

5. RAF Technically Bankrupt: A R400 Billion Fiscal Crisis Looms

The Department of Transport has officially warned that the RAF is technically bankrupt, with mounting debt threatening a R400 billion hole in the national budget. The fund, which is financed through the fuel levy paid by South African motorists, faces an imminent financial crisis driven by:

• A massive backlog of unresolved claims — some dating back more than 20 years
• Escalating legal costs from litigation
• Systemic administrative failures leading to non-payment of valid court orders
• The potential re-lodgement of up to 600,000 previously rejected claims

In 2025 alone, more than 11,000 lives were lost on South African roads, with many more people suffering serious injuries — all of whom are entitled to RAF compensation.

6. Actuarial Society Calls for Hybrid Compensation Model

The Actuarial Society of South Africa (ASSA) has released a landmark research paper proposing a hybrid compensation system to replace the current RAF model. The study, released in April 2026, evaluated three systems:

1. The current RAF fault-based system
2. The proposed no-fault Road Accident Benefit Scheme (RABS)
3. Compulsory third-party insurance offered by private insurers

ASSA concluded that none of these systems are viable on their own and recommends a hybrid solution combining elements of all three. One proposed model would provide basic no-fault benefits for medical care and rehabilitation, supplemented by fault-based liability insurance for additional damages — delivered through a public-private partnership under strong regulatory oversight.

Actuary George Schwalb, part of the ASSA research team, emphasised: “We conclude that none of these general systems are viable on their own, but that we do need a hybrid solution.”

7. Parliament Calls for Urgent RAF Act Reform After Foreign Nationals Ruling

The Portfolio Committee on Transport has called for the expedited reform of the RAF Act following a court ruling related to claims by foreign nationals. The committee chairperson welcomed an Appeal Court ruling on RAF claims for foreign nationals, noting that it highlights the long-overdue need to review and update the legislation governing the RAF. The ruling has reignited debate about who qualifies for RAF compensation and under what conditions.

8. RAF Settlement Drive at Ngwelezane Hospital

On a more positive note, the RAF hosted the second instalment of its Settlement Drive at Ngwelezane Hospital on 20 February 2026. These settlement drives are part of the RAF’s new operating model, which aims to fast-track the payment of claims and settle all new claims within 120 days, while also reducing legal costs.

What Does This Mean for RAF Claimants?

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

• Rejected claims can be re-lodged: If your claim was rejected due to the new RAF1 form requirements, you have until the end of September 2026 to re-submit. Ensure you have proof that your original claim was submitted within three years of the accident.
• Seek legal advice: Given the complexity of the current landscape, consulting a qualified RAF attorney is strongly recommended.
• Court orders are enforceable: If you have an existing court order against the RAF that remains unpaid, courts have confirmed that mandamus (judicial command) relief is available to compel payment.
• Stay informed: The RAF’s operating model and legislation are under active review. Changes to the RAF Act and the claim form are expected in the coming months.

Key Takeaways: RAF News Summary – May 2026

Conclusion

The Road Accident Fund is at a critical crossroads in 2026. While courts are increasingly holding the fund accountable for non-payment of valid claims, the underlying financial and structural challenges remain severe. The push for legislative reform, a hybrid compensation model, and improved governance signals that meaningful change may be on the horizon — but for the hundreds of thousands of South Africans waiting for compensation, the road ahead remains long and uncertain.

Stay updated with the latest RAF news and developments by bookmarking this page. If you need assistance with an RAF claim, consult a qualified legal professional.

Sources: IOL, Moneyweb, Eyewitness News (EWN), Parliament of South Africa, Road Accident Fund official website, Actuarial Society of South Africa (ASSA)