Funds, Serious Funds

Subsequent to the amendments of the Road Accident Fund Act (56 of 1996) the judiciary is slowly making headway into the interpretation and application of the Regulations, specifically those pertaining to general damages, as governed by s17(1A). There are already crucial implications for the Fund and for practitioners.

In terms of s17(1A), read together with Regulation 3 of the Act, the Fund is only liable to compensate a third party for non-pecuniary loss if the injuries sustained are "serious", that is, a 30% or more impairment of the Whole Person as provided for in the AMA Guides. However, the injury may still be assessed as serious if it has resulted in a serious long term impairment or loss of body function, constitutes a permanent serious disfigurement, resulted in severe long term mental or severe long term behavioural disturbance or disorder, or has resulted in loss of a foetus (the "narrative test").