The transport department says remodelling the Road Accident Fund RAF system to pay only small monthly sums to claimants, exclude illegal foreigners, and limit claims from hit-and-run crash victims can stabilise the funds cash flow.
The department told parliaments standing committee on public accounts yesterday that it supports the Road Accident Benefit Scheme RABS Bill aimed at overhauling how victims of road accidents are compensated.
The new scheme would scrap the existing method of paying a one-off lump sum to victims in favour of smaller monthly payments. It also limits payments to South Africans and legal foreigners with insurance and would limit claims for loss of income to people under 60.
