The Road Accident Fund Amendment Act came into effect on the 1 August 2008. In South Africa third party claims are made to the Road Accident Fund (RAF). A third party claim can be made by a person or his dependants who sustained injuries or died as a direct result of a car accident caused by a negligent driver. The RAF takes over the responsibility of the negligent driver.

A claimant will not have the right to sue the guilty party, which is a removal of a common law right. This is an emotional issue that will probably still be tested in court. The removal will restrict the victim’s claim to full compensation and the only option is to ensure you have sufficient income protection, medical aid and disability cover. (should you earn more than the limit of R160 000 per year.)

The new act removed certain inequalities to ensure that all road users are able to claim for loss of income and medical treatment. To ensure the sustainability of the RAF caps were introduced for loss of earnings, support and general damages. Claims are limited to a maximum of R160 000 per year for income loss or loss of support where previously no limits applied.

General Damages will compensate for pain and suffering, disfigurement, loss of pleasures of life, life expectancy and emotional shock. The RAF’s obligation for general damages is limited to serious injuries as determined by certain laid-down rules. Passengers in the car of the guilty driver were limited to R25,000 previously, but this limitation has now been removed.

No claims for any property damage can be made.