24 Feb 2020

Motor Vehicle Accident Fund (MVA) Palapye branch MVA Fund manager Mr John Bunga has explained the fund’s operations to the Palapye Administration Authority (PAA).

Briefing PAA councilors,during a meting, Mr Bunga said the mandate of the fund was to provide compensation in the form of benefits as defined by the act, together with third party insurance cover to drivers and owners of motor vehicles and to promote road safety and accident prevention.

He said the source of funds was fuel levy of 9.5 thebe per liter of fuel, third party levy foreign vehicle P50 for any vehicle other than bus or minibus, P100 for a minibus and P200 for a bus. 

He outlined the benefits offered by the funds as funeral expenses at maximum of P7 500, medical and rehabilitation expenses incurred at private hospitals, clinics or doctors, loss of support by dependents for parents, spouses or children who had lost a breadwinner, loss of income, incidental expenses and payments of visitor’s medical expenses.

Mr Bunga said MVA fund was a secondary insurer, while primary insurers are medical aid providers, social security schemes and Workers Compensation, noting that primary insurers covered the initial medical costs, then the funds takes over after their benefits are exhausted. 

He informed councllors that all documents that proved that what was claimed was authentic must be availed and cautioned that claims had prescription period of three years from date of accident, and said such was however not applicable to minors and persons suffering from mental disorder.

He said the total maximum claimable amount per injured person was P1 million, but each case was judged according to its merit and after further investigation on the cause of the accident, and such applied to both drivers and passengers.

He said MVA Fund had right of recovery, saying that  following fund disbursed to beneficiaries the fund had a right to sue for recovery of benefits paid for drunken, reckless, unlicensed, defective vehicles, stolen vehicles drivers and even for owners who had permitted use of their cars, and this was mentioned under Right Of Recovery (ROR).

Mr Bunga said a driver/vehicle owner who was subject of ROR shall not be entitled to any benefits or payment of loss of income and incidental expenses.

For their part councilors opined that funeral expenses of P7 500 was too little to cover all funeral cost and as such needed to be reviewed.

They said there was a need for MVA to reach out to communities and teach them the fund’s mandate, and voiced concern over poor customer service by MVA officers.

In responding to the comments Mr Bunga said they assisted victims with all medication as prescribed and agreed that P7 500 must be reviewed.

He said councilors should not wait for such forums to express their concerns, but visit the office.

ENDS