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Rajesh Tyagi & Ors. vs Jaibir Singh & Ors. on 21 December, 2009

17. South African Model (Road Accident Fund by way of Cess on fuel) In Rajesh Tyagi v. Jaibir Singh, II (2010) ACC 864, this Court suggested the Government to examine law relating to Motor Accident Claims in South Africa which provides that all vehicles on road are insured for third party risk and the owners of the vehicles are not required to take the insurance policy for third party liability. A surcharge is added to the cost of petrol/diesel and the FAO 82/2003 & MAC. APP. No.422/2009 Page 32 of 101 amount so collected is sent to Road Accident Fund which is managed by Road Accident Fund Commission. The Road Accident Fund Commission manages and disburses the Road Accident Fund. The Commission also enquires into and makes recommendations regarding the system for computation and disbursement of compensation to the victims of road accident. The Commission also examines the factors responsible for the accidents such as excessive speed, influence of alcohol, vehicle fitness, overloading, poor brakes and road environmental conditions including poor maintenance of road surface and inadequate signs and markings. The Commission also makes contribution of Fuel Levy Fund for campaign/programmes to promote road safety. The South African model system shall also save the cost of manpower used by Insurance Companies to issue policies.
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