The Motor Vehicle Accidents Fund (MVA Fund) commenced operations under the fuel levy system on the 1st January 1988.
The MVA Fund was established by an Act of Parliament under the Motor Vehicle Accidents Act No. 13 of 1991 as the instrument by which the Government of Swaziland compensates road accidents victims who have suffered bodily injuries or loss of support following the death of breadwinners. Between 1973 and 1986, compensation to road victims was operated by the Insurance Industry under Third Party premiums. Due to the horrendous and escalating accidents rate, the Insurance Industry was compelled to increase Third Party premiums by percentages that were high.
The Government of Swaziland became concerned that most people would not afford Third Party cover and road victims could be left without compensation, hence the establishment of the MVA Fund as a fuel.
The fuel levy Fund has the same concept of Third Party insurance in that there are three people (parties) involved in this type of compensation. The MVA Fund is the first party who enters into contract with the driver/owner of the motor vehicle who is the second party. The second party (driver/owner) will pay to the first party, through a fuel levy, and the MVA Fund will then indemnify the second party against claims of Third Parties (road victims) who are injured or killed through fault of the second party.
The mandate of the MVA Fund is therefore defined clearly in the Act as being “to provide for compensation for certain loss or damage caused unlawfully by means of motor vehicles and for matters incidental thereto”.Compensation under the fuel levy system is therefore a legal right deriving from the law of delict and founded on the juristic notion that if X commits a wrong against Y, which results in Y suffering damages (either by an act or by omission), then X is obliged by law to restore Y to his/her original position, or in other words, to compensate him or her.
“Our mission is to effectively provide compensation for Motor Vehicle Accident Victims and to collaborate with Stakeholders in the prevention of road traffic accidents through implementing global best practices.” .
“To be the most effective self sustaining road accident fund regionally”..
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