South Africans will now be able to claim double the amount for loss of income per year if they are involved in an accident, as the Road Accident Fund (RAF) announces its now claims cap, this comes while the fund allegedly still has more than R17-million in unpaid claims.

According to a Government Gazette, the RAF has stipulated that claimants can claim a maximum of R289 957 for loss of income, compared to a previous R160 000 limit.

The original cap of R160 000 was first introduced in 2008 as part of an amendment to the Road Accident Fund law. Before 2008, there was no cap on loss of income. The new R289 957 cap falls in line with the increases in inflation since 2008.

The new number, however, does not include other damages such as medical and funeral expenses.

“The RAF’s business model remains fault-based. This means drivers at fault are excluded from claiming compensation,” RAF’s communications general manager Adriaan Taljaard told Business Insider South Africa.

Many are concerned as to how exactly RAF will be able to pay out their claims. Last month, 346 claimants waiting for their claims to be paid out took the Fund to court.

Picture: Pixabay

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