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RAF reports record R5.5bn in October claim payouts after 100 days in turnaround

4th November 2025

By: Darren Parker

Deputy Editor Online

     

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The Road Accident Fund (RAF) has paid out a record R5.5-billion in October, its highest monthly payout for the 2025/26 financial year, as the newly appointed board marks its first 100 days in office and reports progress in stabilising the troubled institution.

According to the RAF, the October figure followed on the R4.2-billion paid in September, continuing an upward trend in claim settlements.

From April to October, the fund disbursed R20.2-billion in compensation to road accident victims, compared with R16-billion over the same seven-month period in each of the previous two financial years.

The monthly payments for the 2025/26 financial year were R1.6-billion in April, R2.4-billion in May, R1.8-billion in June, R2.1-billion in July, R2.6-billion in August, R4.2-billion in September and R5.5-billion in October.

“I am [pleased with] the dedication and extra effort of RAF staff in processing and paying claims faster than before. This milestone demonstrates the progress we are making in delivering justice and dignity to road accident victims,” RAF interim chairperson Kenneth Brown said on November 4.

The RAF board, appointed on August 8, said it assumed office amid severe governance, financial and human resource (HR) challenges that had weakened the fund’s ability to fulfil its mandate.

Upon taking office, the board found a dysfunctional organisation affected by weak financial controls, adverse audit findings, noncompliance and governance failures.

The RAF also faced default court judgments totalling R13-billion over the past four years, systemic fraud and corruption under investigation by the Special Investigating Unit (SIU) and instability caused by frequent suspensions and dismissals.

In its first 100 days, the board said it has focused on restoring governance and oversight, rebuilding financial discipline, stabilising HR and strengthening relationships with stakeholders.

It has reconstituted governance committees, launched an independent assessment of governance failures and prioritised implementation of recommendations by the SIU and the Auditor-General. The board said consequence management would be applied to employees found to have committed fraud, financial irregularities or other forms of misconduct.

An audit action plan has been initiated to address control weaknesses and improve financial management, while a recovery strategy is being developed to enhance liquidity and transparency in the use of public funds.

A review of suspensions, dismissals and HR disputes was also underway to ensure fairness and compliance with due process. The RAF said a recruitment plan was being implemented to fill critical management and executive vacancies with suitably qualified professionals.

As part of its first 100 days, the board conducted regional roadshows to engage with employees across the country. Insights gathered during these sessions were informing corrective measures to improve working conditions, morale and performance. The board acknowledged the efforts of staff who had continued to perform their duties under difficult circumstances, describing them as vital to maintaining the RAF’s operations.

The RAF said it was also engaging with the Department of Transport, the National Treasury and other oversight bodies to rebuild cooperation and public confidence, while strengthening relationships with claimants, healthcare providers and the legal community through transparent communication.

The board said the next phase of its work would focus on finalising and implementing a turnaround strategy that addressed governance, financial management and service delivery. It planned to execute consequence management for proven cases of misconduct, fill leadership vacancies, and implement digital and operational reforms to improve claims processing and customer service.

The RAF said it remained committed to working with government partners, law enforcement agencies, employees and the public to restore the fund’s integrity and ensure that it fulfilled its social security mandate.

Edited by Chanel de Bruyn
Creamer Media Senior Deputy Editor Online

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