The Road Accident fund offered assistance to a journalist after an inquiry was raised pertaining to claims to the fund for funeral claims:
INQUIRY
I would like to ask a couple of questions on a matter that was highlighted by The National Funeral Practitioners Association of South Africa – Nafupa SA. The Association alleges that previously a funeral service provider could be contracted by a family who has a legitimate claim over a victim of an accident, to conduct the burial. Thereafter having the power to go claim for the service at RAF.
Thank you very much for considering my questions.
RESPONSE
Is this panel prioritising the business interests of minority funeral businesses?
The Road Accident Fund’s (RAF) appointment of a Panel of Funeral Parlours is an attempt to level the playing field for all potential service providers in this sector.
The panel began operations in November 2015 after the RAF conducted an open and competitive procurement process as part of its ongoing efforts to assist claimants and families with funerals arrangements. The procurement, conducted in line with National Treasury regulations, was above board and a nationwide open and thorough tender process was conducted which included the tender’s advertisement on the RAF website, Government Gazette and in a national newspaper.
Briefing sessions with interested parties were held thereafter, during which potential service providers raised questions and these were addressed. Evaluations and appointments were ultimately approved by the RAF Board.
The tender was sound and internal controls were tested and verified by auditors.
The reasons for the panel’s appointment were as follows:
- The previous system was open to abuse.
- The lack of a service level agreement with funeral parlours also meant standards could not be enforced, and several instances were reported of sub-standard services being provided.
- Another drawback was the lack of a service level agreement and therefore the RAF had no certainty with regards to the cost of these funerals.
The formalisation of a relationship between the RAF and funeral parlours through a tender has ensured that the aforementioned issues are addressed. Through this arrangement, the RAF does not intend undermining any of the local businesses as the choice of a funeral parlour still rests entirely with the deceased’s family.
It is noteworthy to note that in the 2016/2017 financial year, the RAF paid 9 238 funeral claims to the value of approximately R140 million. Of these funerals, only 14% were handled through the panel. The remainder thereof was handled by parlours that were not part of the RAF panel.
- The association says that the panel that has been put in place has not only stifled the claimants’ choice, but that funding has been reserved for a few businesses. Is this an accurate reflection of how the processes were envisaged?
The allegation that the panel deprives family members of their rights to choose a funeral parlor is inaccurate. At any time families have the option to use a funeral parlour of their choice, including one not on the panel. In this instance, the funeral parlour’s services must then be paid by the family before a claim can be lodged with the RAF. If they use the panel, the RAF assigns a parlour from the panel on a rotational basis. At no point does the RAF discredit any parlours that are not on its panel.
A total of 24 funeral parlours have been appointed and between them, they have a presence in all 9 provinces, i.e. in 242 cities, towns or suburbs. Should the family accept the panel’s services; the service provider will take care of the funeral and then submit an invoice to the RAF for the services rendered. Should the family not accept the RAF’s panel service, they may use their own funeral parlour, in which case they must pay the funeral parlour and claim the cost back from the RAF.
In both instances, the RAF only pays for the following funeral expenses:
- Transportation of the deceased body;
- Provision of the coffin or burial shroud;
- Preparation of the deceased body (including embalming);
- Storage of the deceased’s body;
- Arranging for issuing of a death certificate;
- Burial or cremation of the deceased’s body;
- Hiring of equipment to lower the coffin into the grave; and
- Grave fees.
The following is excluded:
- Catering;
- Flowers;
- Tombstone;
- Family transport; and
- Funeral programs.
Aggrieved funeral parlours have asked to meet with the RAF and consultations are currently on-going addressing various concerns and suggestions for future consideration.
Any queries regarding funeral claims can be addressed through the RAF Call Centre on 0860 23 55 23, Monday to Friday, between 07:45 – 16:00. Assistance is provided in any of the 11 official languages.
View: How to Claim from the Road Accident Fund
Issued by the Road Accident Fund’s Media and Public Relations Unit
Linda Rulashe: Senior Manager Media & Public Relations. Tel: (012) 621-1605.
Mobile: 083-386-3929. Email: LindaR@raf.co.za
Thandeka Ngwenya: Media and Public Relations Specialist. Tel: (012) 649-2163.
Mobile: 084-719-0989. Email: ThandekaNg@raf.co.za
Also view:
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The Funeral Industry and Assistance to Families of Crash Victims https://t.co/4uCh8Oe5vn #ArriveAlive pic.twitter.com/lvKKa3TUGv
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