Crippled RAF Promises Revival

Written by on 7 June, 2021

By: Sthulile Mdletshe

The Road Accident Fund (RAF) is reportedly bleeding money as it has spent R10.6 billion on legal cost and only R2 billion on the actual beneficiaries.

Transport Minister Fikile Mbalula has briefed the media on the struggles of the agency, and says he plans to turn it around with new strategies.

Currently the RAF is sitting on a debt of over R3 billion with mounting claims that are still waiting to be payed out.

Mbalula says the current status and the strategies of this entity are not sustainable.

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Furthermore, RAF’s Chief Executive Officer, Collins Letsoalo, says the new model at the entity is aimed at minimising administrative costs.

Letsoalo says they have established that the root cause of the delay in claims, is due insufficient information on the paperwork.

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