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RAF financial strain deepens amid R23.3 billion claims from foreign nationals

South Africa’s Road Accident Fund (RAF) is under mounting operational and financial pressure following new revelations in Parliament regarding foreign national claims.

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In a written response to parliamentary questions posed by uMkhonto weSizwe Party MP Sanele Mwali, Transport Minister Barbara Creecy disclosed that foreign nationals lodged 13,127 claims totalling R23.32 billion between April 2021 and March 2026.

The data highlights a significant upward trajectory over the five-year window. Claim values stood at R5.05 billion in the 2021/22 financial year, rose to R5.49 billion in 2022/23, dipped to R1.35 billion in 2023/24, climbed to R2.89 billion in 2024/25, and ultimately surged to a record R8.53 billion in the 2025/26 financial period alone.

Understanding claimed figures versus actual disbursements

Minister Creecy emphasised that the R23.32 billion figure represents claimed amounts rather than final compensation disbursements. In essence, the R23.3 billion reflected the gross sum that claimants hoped to receive from the fund based on initial submissions.

Picture: Instagram/@dotransport

During that same five-year period, actual payments processed by the fund for foreign-related claims totalled R6.33 billion. The payout breakdown revealed R2.10 billion paid out in 2021/22, R1.96 billion in 2022/23, R834.3 million in 2023/24, R595.9 million in 2024/25, and R839.0 million in 2025/26.

The Minister further explained that the RAF’s internal claims management system does not differentiate between documented and undocumented foreign nationals. Consequently, the reported metrics encompass all foreigner-related claims submitted to the entity over the specified timeframe.

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The legal precedent: “Any person” and the Supreme Court ruling

The eligibility of non-citizens has been a major point of legal friction. In mid-2022, the RAF issued an administrative directive requiring foreign claimants to provide proof of legal entry and status in South Africa at the time of an accident to lodge a claim.

That directive was challenged in the Pretoria High Court, where a full bench set it aside as unlawful. The decision was subsequently affirmed by the Supreme Court of Appeal (SCA).

The SCA ruled that Section 17(1) of the Road Accident Fund Act obliges the entity to compensate “any person” injured as a result of negligent driving on South African roads. The court concluded that the statute acts as broad social security protection and does not exclude individuals based on citizenship or immigration status.

Picture: Instagram/@dotransport

Government response and public debate

The Department of Transport has sought further legal intervention regarding the SCA ruling. Departmental representatives indicated to the Portfolio Committee on Transport that appealing the decision is necessary to manage fiscal exposure and prevent unsustainable financial demands on public funds.

The release of the parliamentary data has fueled intense public debate across South Africa. Legal experts and human rights advocates point out that the fuel levy, which finances the RAF, is collected indiscriminately at the pump from every motorist driving on South African roads.

Conversely, local claimants continue to express concern over administrative backlogs, payout delays, and the fund’s long-term solvency. As legal challenges proceed, balancing constitutional mandates with fiscal viability remains a central policy challenge for the transport sector.

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