BATTLE OF BRITAIN ‘LACE’
All new claims for compensation and rehabilitation will now be determined under an improved version of the Military Rehabilitation and Compensation Act 2004 (MRCA) as the single ongoing Act for veterans’ entitlements from 1 July 2026.
The simplification of the veterans’ compensation system from 3 Acts to one delivers on a key recommendation from the Royal Commission into Defence and Veteran Suicide.
“Grandparenting” of existing payments from 1 July 2026
Veterans can be assured that payments already being received under the Veterans’ Entitlements Act 1986 (VEA) and the Safety, Rehabilitation and Compensation (Defence-related claims) Act 1988 (DRCA) will continue uninterrupted and be indexed as normal.
There is an exception for veterans who previously received incapacity payments under the DRCA who will now receive the more beneficial MRCA incapacity payment.
Eligibility for various entitlements that had operated differently across the 3 Acts will also now be standardised.
This will provide students already receiving support for education as well as veterans with open rehabilitation plans with coverage under the MRCA from 1 July 2026.
Determination of existing claims from 1 July 2026
All claims for compensation and rehabilitation received before 1 July 2026 will be determined under the previous tri-Act system of the VEA, DRCA and MRCA.
This includes those indicating an intent to claim for compensation under the DRCA, as well as claims for travel for treatment where trips occurred before 1 July 2026.
Useful information
While DVA cannot provide individualised claims advice, a range of resources are available on the DVA website to help the veteran community understand the changes from 1 July.
This includes:
- An information booklet
- more than 20 fact sheets and summaries for particular groups, including VEA veterans and their partners, DRCA veterans, and the children of veterans
- scenarios that demonstrate how the improved MRCA may impact individual circumstances
- frequently asked questions.
Story courtesy of Department of Veterans’ Affairs