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OUT WITH THE OLD Road Accident Fund act, IN WITH THE NEW Rabs!

The Department of Transport published a revised Road Accident Benefit Scheme (RABS) which was open to public comment during 2014. The Bill should now be scrutinized by the Law makers having regard to the comments made and received.

The Bill provides for the new RABS scheme and a new Administrator.

The Scheme will replace the current Road Accident Fund (RAF) which is an insurance based system aimed at compensating the victim of a road accident as opposed to RABS which will provide for a structured benefit based upon a so called “no fault” system.

The Administrator will simply replace the current RAF taking on the current outstanding claims while at the same time having to administrate a structured “no fault” benefit system.

This begs the question how will the Administrator be able to cope with the workload if they cannot cope with the current amount of work the RAF needs to deal with.

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Why the RABS system will work

Further, by introducing a “no fault” system benefits will have to be reduced in order to maintain affordability.

Having regard to the detail and implementation of the Bill, RABS is clearly aimed at discouraging a victim from claiming ensuring more cash recourses will be channelled to the general fiscus allowing Government to tap into recourses that would otherwise be allocated to road accident victims.

At this point in time there seem to more questions than answers regarding the proposed new RABS.

Our aim is to objectively inform, compare and enlighten the South African public to the realities of the new Scheme and have you make up your own mind as to whether you as a taxpaying South African will feel comfortable in knowing that you will have a proper safety net should you ever be confronted by a life changing event like an accident.


The Road Accident Fund (RAF) is insurance based aimed at providing the widest possible cover to the road accident victim of a road accident on South African roads.

This RAF is financed by fuel levies known as the so called “magic tax” to which each and every South Africa road user contributes when he or she fills up at a fuel station.

Currently R 1,54.00 of each litre of petrol or diesel paid for at the fuel station is contributed to the RAF.

It still remains the cheapest form of indemnity insurance paid for to protect any road accident victim against the disastrous results of an accident.

The RAF’s administrative woes are well documented and unattended claims have ballooned to millions. The new RABS will, when it takes effect, will be taking over the current workload of the RAF and adding a no fault system on top of the already top heavy RAF.

Taking into account that the RAF is already pleading poverty it is incomprehensible how Government could envisage supporting both systems on a parallel basis.

The only way this could possibly be done would be to drastically reduce the benefits the RABS will offer the public. If one interprets the proposed RABS Bill it becomes quite clear that this is indeed what will be installed for road accident victims i.e. drastically reduced or no cover whatsoever.


If the new RABS goes ahead as planned, we will see one of the most discriminating Bills yet passed by Parliament.

Not only will many people be excluded from the policy and have no right to claim, it will mean that the poor and destitute will suffer the most.

Find out more about the Road Accident Benefit Scheme (RABS) and sign our petition today.

Your right to an attorney will be severely impacted!

Comparison of the current Road Accident Fund (RAF) and the proposed Road Accident benefit Scheme (RABS)

Road Accident Fund
Road Accident Benefit Scheme
Provides full compensation paid in lump sum amount. Provides reviewable structured benefits defined small payments (no long term financial security).
Fault-based system: certain victims are excluded from claiming if you caused the accident. No-fault system: all victims can claim, even if you caused the accident.
Claims could be settled in 120 days A victim will have to wait 240 days to receive confirmation of a possible benefit.
Compensation forms part of the estate. Benefits are forfeited upon death of beneficiary.
Career pathing allowed. No career pathing allowed.
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The Frightening Cost of Car Accidents

The Frightening Cost of Car Accidents December 7, 2015 by Truth About RABS in Road Accident Benefit Scheme In 2014, the Road Accident Fund paid out R22.2 billion, with up

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