As from April 2018, motorists can expect to pay an additional 52c/litre of fuel due to an increase in fuel levies. Of this, 30c/litre will go to the Road Accident Fund (RAF) in an attempt to stabalise the liabilities of the fund. The RAF has a massive backlog of claims which actuaries estimate will be at R355 billion by 2020/21.
The RAF is important and a major life-changer for those whose lives have been drastically changed following a crash. Yet, it might be time to consider another way to lessen the financial strain on the institution. “It is time for various stakeholders in the road safety sphere to come to together and find a way to reduce the number of crashes that occur in the first place.
“Many organisations engage with MasterDrive to reduce their driver’s risks on the roads both for work and personally. Together with various corporates, we have seen reductions of up to 50% in crashes in each organisation ,” says Herbert.
Economic consequence of crashes
This is another area where real change depends on collective effort. “Instead of forcing innocent victims to wait lengthy time periods for payouts, which they depend on for adequate quality of life, prevention rather than cure, needs more extensive consideration. Various organisations have the potential to contribute positively to this challenge. Rather than decry the inadequacies of a system, under great pressure, we can start rectifying the root of the issue before we even need to claim.”
The economic difficulties created by South Africa’s high crash statistics also extend far beyond the RAF. “Just one example is the insurance industry. Reducing the number of crashes on our roads can impact large portions of this industry. Not only short-term insurance can benefit from initiatives like training. Long-term insurance, such as life protection, can benefit as well,” says Herbert.
The number of industries which will greatly benefit from a reduction in road fatalities and injuries are innumerable. The Road Accident Fund’s challenge echo in many organisations in varying degrees. If corporate and training bodies tackle this challenge together, the difference we will see will also be innumerable.
MaterDrive offers advanced road-craft training programs to corporates on all vehicle types – from light to HCVs. Do not hesitate to give them a call, on 086 110 0618, if you require more information.
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