- The Mpumalanga High Court ordered the Road Accident Fund (RAF) to pay R1,078,409 plus interest to a Zimbabwean widow and her three children, following a fatal 2021 car crash near Barberton.
- Despite the deceased being self-employed at the time of his death, the court accepted actuarial loss calculations based on payslips from his previous formal job, dismissing the RAF’s attempt to avoid liability.
- The RAF must also cover all legal and expert costs, with the court emphasising fairness for families facing unemployment and socio-economic challenges.
In a landmark decision, the Mpumalanga High Court in Mbombela ordered the Road Accident Fund (RAF) to pay a Zimbabwean widow and her three children over R1 million for loss of support following her husband’s death in a 2021 head-on collision near Barberton.
Judge A Ngwenya found that although the deceased was self-employed at the time of the accident, his income could not be conclusively proven. Instead, the court accepted actuarial calculations based on payslips from his previous employment at a forestry company, where he earned between R9,000 and R14,000 per month between 2016 and 2018.
No evidence to counter the widow’s account
The RAF argued that the widow had not proven her late husband’s income, and that testimony from a friend, combined with the lack of invoices, made the alleged R15,000 monthly earnings speculative. The fund further claimed that past payslips should not count because the deceased was no longer formally employed. However, Judge Ngwenya ruled that the RAF had not called any witnesses to counter the widow’s evidence or to challenge the claim that the accident was caused by the insured truck driver’s negligence.
Relying on guidance from the Quantum Yearbook, the court found actuarial reliance on the deceased’s last known income reasonable, especially in cases involving the self-employed or unemployed.
The court also adopted the actuary’s recommended contingency deductions: 5% for past loss and 10% (widow) and 5% (children) for future loss. Judge Ngwenya emphasised that unemployment should not be held against the claimant, especially given the high unemployment rate and socio-economic struggles in South Africa.
The RAF is required to pay R1 078,409 in damages plus interest, along with all legal and expert costs, including those of actuary Dr JJC Sauer. The widow’s testimony highlighted that her husband provided between R3 000 and R4 000 per month to support the family, leaving them financially vulnerable after his death.
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