Compensation Fund overwhelmed by Covid-19 claims



The Compensation Fund (CF) has released a statement saying it has been inundated after 5986 Covid-19 related claims were lodged by workers who contracted the virus at work.

3 782 of those claims were submitted directly to the fund while Rand Mutual received 2009, and the remaining 195 claims submitted to Federated Employees.

Rand Mutual, which operates under licence as granted by the Employment and Labour Minister, covers mainly workers in the mining and iron and steel industry and has recorded a sharp increase in these claims leading to them paying out R3.3 million in dependent benefits so far; it also disbursed R18 251.00 to cover burial costs.

The CF paid another R419 000 in medical aid claims. “Of the 3 782 claims received by the CF, 2074 come from the Western Cape followed by Eastern Cape with 666, Gauteng with 481, KwaZulu-Natal with 435, Mpumalanga 74, North West 29, Northern Cape with 20 and Limpopo 3,” said the Fund.

The Compensation Fund accepted legal responsibility to 2 296 of the claims, equalling 60.7% of the total documents received. 544 Applications (14.4%)  were denied leaving 942 claims (24.9% of the total number of claims received) to await a final decision.

Of the 2009 claims received by Rand Mutual, 1 530 claims were in Gauteng, 154 in the Eastern Cape, 83 in KwaZulu-Natal, 64 in the Western Cape, 36 in North West, 19 in Limpopo, 56 in the Free State and 64 are unknown.

Of the total amount of claims received so far, 1 869 or 93% is still awaiting a final decision.

Federated employers who mostly represent construction workers also received a total of 195 claims – mostly from Gauteng (110), Western Cape (31), Kwazulu-Natal (12), Northern Cape (10), North West (9), Free State (4) and (3) in Mpumalanga.

Compensation Fund Commissioner, Vuyo Mafata, said that in cases such as this where the claims have been rejected, the claim could still be approved, and the Fund will accept liability if better data is provided. 

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