The FSB supervises the RAF in terms of the Financial Supervision of the Road Accident Fund Act, 1993, Act No. 8 of 1993). The Act subjects the Fund, in as far as possible, to the provisions of the Short-term Insurance Act, 1998 (Act No. 53 of 1998) which empowers the FSB to supervise it in line with the Fund’s insurance function. To this end the FSB identified those sections in the Short-term Insurance Act which, in a modified fashion, may apply appropriately to the RAF. These were drafted in a form of regulations, as well as prescribed returns and are contained in Directive 1 (RAF) – Application of the Short-term Insurance Act 53 of 1998 to the Road Accident Fund and matters related to the implementation of certain provisions of the Financial Supervision of the Road Accident Fund Act. The directive was issued on 15 February 2011, with an effective date of 1 April 2011.