RAF model unrealistic, unviable
YOUR thought-provoking editorial “Broke RAF needs fixing” (The Star, August 7) refers.
The Road Accident Fund (RAF) is not capable of being fixed because the model is simply not viable, workable or realistic if only (apart from any incompetence or the like) in regard to the voluminous number of claims that have to be dealt with countrywide.
I suggest that a study be undertaken to consider the reintroduction of the Third Party Act in terms of which all vehicle owners were obliged to purchase annually third party insurance cover from a shortterm insurer and to display on their windscreen a disc issued by the insurer.
It was an offence not to purchase such cover or if so, not to display the disc on the windscreen.
The insurers engaged many competent and efficient attorneys countrywide to deal with the claims.
The system worked because the burden was spread.
The RAF should be retained to deal only with accidents in which the vehicle owners were in breach of the act and had no cover.
This will drastically reduce the workload and result in a large reduction of costs of the RAF and claims against it.
The resultant large reduction in the fuel levy and the price of petrol and diesel will far exceed the annual premium payable.
Just a subject which needs consideration. Joburg