Gauteng Health pays R220m collection fee for RAF claims
2 September 2020
The Gauteng Health Department has paid R220 million to a company to do the investigative and administrative work to claim from the Road Accident Fund (RAF) in the past three years.
This is revealed by Acting Gauteng Health MEC Jacob Mamabolo in a written reply to my questions in the Gauteng Legislature.
According to Mamabolo, Batsumi Claims Management Solutions was paid R220 million and collected R524 million from the RAF. This amounts to an exorbitant 42% collection fee as the Department only received R304 million of the RAF money.
Mamabolo says that the Gauteng Health Department has outsourced the collection of accident information “because of its legal nature and lack of internal capacity to collect information and get accident reports from the South African Police Services and Metro police.”