The Road Accident Fund in South Africa, better known as QPR, is a state-owned insurance company established under the law. It provides insurance coverage for all motorists in South Africa in respect of any liability arising or damage caused as a result of a traffic collision. Liabilities arising in connection with property damage (such as damage to vehicles, buildings, vehicle contents) are exempt from closing. The Road Accident Fund operates a system in which the plaintiff is assigned a percentage of liability for the accident, and the Outpatient Accident Fund pays the claimant a percentage of the full settlement based on a percentage that is not considered their responsibility. Insurance premiums are collected by Road Accident Fund through levies on motor vehicle fuel.
Video Road Accident Fund
RAF at a glance
1.1 Organizational Overview
1.1.1 Mandate
The RAF is a legal person established by the Law of the Parliament, namely, the Road Accident Fund Act, 1996 (Law No. 56 of 1996), as amended ("RAF Act"). Commenced operations on May 1, 1997, with the assumption at the time, all rights, obligations, assets and liabilities of the Multilateral Motor Vehicle Accident Fund. The RAF is responsible for providing compulsory social insurance to all South African road users; to rehabilitate and compensate the injured persons as a result of negligent motorists in a timely and caring manner; and to actively promote the safe use of all South African roads. Section 3 of the RAF Act provides that "the object of the Fund shall be the payment of compensation in accordance with this Act for wrongful loss or damage caused by motorists". The RAF customer base, therefore, consists not only of South African society, but all foreigners within the borders of the country. RAF provides two types of cover, ie personal insurance for accident victims or their families, and compensation for people who make mistakes.
1.1.2 Predecessor
Prior to 1997, the motor vehicle accident insurance system shall be governed by the following laws: o Motor Vehicle Insurance Law, 1942 (Act No. 29 of 1942); o Compulsory Motor Vehicle Insurance Act, 1972 (Law Number 56 Year 1972); o Motor Vehicle Accident Act, 1986 (Act No. 84 of 1986); and o Multilateral Motor Vehicle Accident Act, 1989 (Act No. 93 of 1989).
1.1.3 Government Structure
The RAF, as defined by the RAF Act, is owned by the South African public. It is registered as a national public entity pursuant to schedule 3A of PFMA. Governance oversight of the RAF includes:
o (National Assembly) through the relevant Portfolio Committee and the Standing Committee on Public Accounts ("SCOPA"); Executive Authority, o Venerable Transportation Minister; and o RAF Board.
The National Assembly has legislative powers and retains oversight of the National Executive Authority and RAF as the State's organs. In addition, Parliament oversees the Executive Authority which is required to provide the Parliament with complete and regular reports on matters under its control. Parliament carries out RAF oversight through the Portfolio Transport Committee and through SCOPA. The Portfolio Committee oversees the delivery of services and performance in accordance with the RAF's mandate and its corporate strategy. It reviews financial and non-financial information, such as efficiency and effectiveness measures in delivering services to company goals. The Transport Minister is the RAF Executive Authority and concerned with the financial viability and risk of the organization, as well as policy-making and monitoring of policy implementation to ensure that the RAF effectively meets its mandate. The board of directors acts as the RAF Accounting Authority and is accountable to the Executive Authority for the performance and affairs of the entity. The RAF Board is responsible for determining the overall direction of the RAF, formulating and implementing the policies necessary to achieve the RAF's strategic objectives, and maintaining good corporate governance.
1.1.5 Main Activities
The RAF provides compulsory protection to all South African road users, whether citizens or foreigners, to injuries sustained or deaths arising from accidents involving motor vehicles on the South African border. This protection is in the form of compensation insurance against the people who caused the accident, as well as personal injury and death insurance for victims of motor vehicle accidents and their families.
1.1.6 Economic Role
Land transportation is an important element that supports and directly contributes to any economic growth. Road accidents, unfortunately, are a negative consequence of this economic growth, affecting our economically active members and other citizens. Free markets, and especially the private sector, do not fully address the impact of road accidents on society and the economy. The RAF provides a social security safety net for the state and economy by providing compulsory social insurance to all South African road users. Contributions to the RAF are conducted through a fuel levy used for road transport. Close includes all members of the community including, but not limited to, the poor, children, legal and illegal immigrants, foreigners, owners and drivers of motor vehicles, as well as their passengers. However, social insurance coverage does not extend to motorists who are considered negligent.
1.1.7 Social Role
The RAF's socio-economic role is to reintegrate victims of road accidents into society, from a health and economic perspective, and to protect the wrong drivers and their families from financial ruin. This is done by the RAF which pays the medical and related services costs necessary to restore the accident victims to health, compensate victims or their families for income or lost support as a result of accidents, and provide compensation to the guilty person of liability answer. In addition, the RAF pays general compensation to victims of accidents as compensation for pain and suffering, loss of living facilities, disabilities and disabilities, as well as funeral expenses to families in circumstances where the accident victims suffered fatal injuries.
1.1.8 Vision
The RAF's vision is "to provide the highest standard of care to accident victims on the road to restore balance in social systems".
1.1.9 Missions
The RAF mission is "to provide appropriate protection for all road users on the South African border, to rehabilitate injured persons, to compensate for injury or death and to indemnify the perpetrators of mistakes as a result of motor vehicle accidents in a timely manner, concern and sustainable, and to support the security of our road use ".
2. Funding
The RAF can obtain funding from several sources as outlined below:
o Fuel levy revenue; o Government grants, paid by the National Treasury when there is an urgent need such as an acute cash shortage; o Loans/loans, which are the sources of funding that are permitted under the RAF Act. This option has not been used until now; and o Investment income, derived from invested funds that sometimes occur when RAF's operational capacity prevents it from paying all funds.
2.1 RAF Fuel Levies
The main source of income for the RAF compensation scheme is the levy raised from fuel. Levies are measured in units of cents per liter in gasoline and diesel sold in South Africa and are part of public fuel taxes regulated by the government. The fuel levy per liter is set by the National Treasury each year, while total fuel sales are influenced by a number of macroeconomic factors. Annually, the RAF requested the National Treasury to increase RAF Fuel Levies, based on the financial model and cost calculations for the coming year. The full level of RAF Fuel Levies is rarely provided. This is because the National Treasury has historically set levies on a pay-as-you-go basis rather than with the goal of establishing fully funded positions for the RAF. During the 2012 financial year, RAF Fuel Levies are set at 80 cents per liter.
The RAF is not involved in collecting its fuel levy. South African Revenue Service ("SARS") regulates collection of fuel collection and paying it to the RAF, in accordance with the provisions of the Customs and Excise Act, 1964 (Law No. 91 of 1964) and RAF Law. The two main variables that determine RAF revenue are the annual volume of gasoline and diesel sold and the rate of retribution. The RAF Fuel Levies can be seen as a compulsory contribution to social security benefits that are only used for certain purposes as defined by law.
2.2 Financial Position
RAF is influenced by general economic conditions and other environmental factors, and the extent to which it manages costs effectively.
The connection of all these factors is the road activity in South Africa:
o The number of vehicles on the road affects the amount of fuel sold, which in turn affects the revenue provided to the RAF by the National Treasury. This revenue consists of fuel charges along with an ad hoc government grant and a small income from investments to match the RAF's total revenue. o The number of vehicles on the road also affects the number of accidents, although many other factors influence these statistics, especially the relative severity of the accident. The volume and severity of an accident affect the volume and average value of claims made against the RAF. Claims, combined with third party costs, such as lawyers and medical/legal experts, and RAF administrative costs, equal to the total cost of RAF.
Location
Head Office
2 Eco Glades Office Park, 420 Witch-Hazel Avenue, Centurion, P/Bag X178, Centurion, 0046 Tel: 27 12 621 1600/1622
Kantor Menlyn
Road Accident Fund Building, 38 Ida Street, Menlo Park, Pretoria, 0081 P/Tas X2003, Menlyn, 0063 Tel: 27 12 429 5000
Pretoria
Road Accident Fund Building, 38 Ida Street, Menlopark, Pretoria, 0081 PO Box 2743, Pretoria, 0001 Tel: 27 12 429 5000
Pretoria (Customer Service Center)
Johannesburg
Marble Tower, 29th Floor, Jalan 212 Jeppe (Cnr Jeppe & Von Wielligh Street), Johannesburg, 2001 P/Tas X02, Johannesburg, 2000 Tel: 27 11 223 0000
East London
Metropolitan Building, 4th Floor, Cnr Drury Lane & amp; Caxton Street, East London, 5200 P/Bag X9000, East London, 5200 Tel: 27 43 702 7800
Durban
Embassy Building, 12th Floor, 199 Anton Lembede Street (formerly Smith Street), Durban, 4001 P/Bag X54371, Durban, 4000 Tel: 27 31 565 2800
Cape Town
1 Thibault Square, 7th Floor, Long Street, Cape Town, 8001 PO Box 2443, Cape Town, 8000 Tel: 27 21 408 3300
Maps Road Accident Fund
External links
- http://www.iol.co.za/business/personal-finance/lawyers-fees-accident-victims-win-court-victory-1.1471445
References
Source of the article : Wikipedia
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