From 1 July 2026, all new compensation and rehabilitation claims are decided under one Act, an improved Military Rehabilitation and Compensation Act 2004 (MRCA), whenever you served. The Veterans' Entitlements Act 1986 (VEA) and the Safety, Rehabilitation and Compensation (Defence-related Claims) Act 1988 (DRCA) closed to new claims; the last day to lodge under them was 30 June 2026. Payments you already receive under those Acts continue and are indexed as normal.
The change was made by the Veterans' Entitlements, Treatment and Support (Simplification and Harmonisation) Act 2025, which DVA calls the VETS Act.
What the VEA, DRCA and MRCA covered
Before 1 July 2026, the Act that covered a condition depended mainly on when and how you served. Many veterans had conditions accepted under more than one Act, each with different rules.
| Act | Type of scheme | Service it covered |
|---|---|---|
| VEA | Pension-based scheme | Operational, peacekeeping and hazardous service before 1 July 2004, and some other defence service, mostly between 1972 and 1994 |
| DRCA | Workers' compensation model | Non-operational service before 1 July 2004, and operational service between 1994 and 2004 |
| MRCA | Rehabilitation and compensation scheme | Service from 1 July 2004, and since 1 July 2026 all new claims |
All National Servicemen, including part-time Citizen Military Forces members, and all reservists can now claim under the MRCA.
Claims lodged before 1 July 2026
A claim DVA received before 1 July 2026 is decided under the Act you lodged it under, even if the decision comes later. The same applies to claims for costs incurred before 1 July, such as travel for treatment.
If DVA accepts a DRCA claim lodged before 1 July 2026, it assesses your impairment and decides your DRCA permanent impairment lump sum as part of that claim. If the condition gets worse later, the claim for increased impairment is decided under the MRCA.
What happens to payments you already receive
- VEA and DRCA compensation payments are "grandparented": they continue without interruption or reduction and are indexed as normal. This includes the Disability Compensation Payment at every rate, including the Special Rate (TPI) and Extreme Disablement Adjustment.
- DRCA incapacity payments are the exception. They moved automatically to MRCA incapacity payments on 1 July 2026 and weren't reduced by the move.
- Income support you were already receiving, such as the service pension, Income Support Supplement and Veteran Payment, continues as normal.
- If you hold a Gold Card, including a TPI Gold Card, you keep it without reapplying.
- Open VEA and DRCA rehabilitation plans moved to MRCA rehabilitation, and students on the Veterans' Children Education Scheme moved to the MRCA scheme (MRCAETS), without reapplying. Read about the education scheme.
Your accepted conditions carry over
Conditions accepted under the VEA or DRCA are treated as accepted under the MRCA, so you don't have to prove them again. Any new claim, for a new condition or for an accepted condition that has got worse, is decided under the MRCA.
For VEA veterans, this replaces the old Application for Increase. DVA converts the VEA or DRCA impairment ratings you were paid for into a baseline MRCA rating, and permanent impairment compensation is payable when your impairment rises at least 5 points above it. Read about impairment points.
What's new under the improved MRCA
- Presumptive liability: for claims lodged from 1 July 2026, DVA accepts listed conditions as service-related without you proving the link, if your service meets the criteria. The list includes 80 or more common service-related conditions. See which conditions.
- An injury, such as a heart attack or stroke, can be accepted because it happened while you were on duty, even if your duties didn't cause it.
- Conditions related to tobacco use before 1 January 1998 may be accepted.
- A new Additional Disablement Amount of up to $532.60 a week before offsets (DVA's rate from 20 September to 31 December 2026), similar to the VEA's Extreme Disablement Adjustment, for veterans over Age Pension age with at least 70 impairment points and a lifestyle rating of 6 or more.
- Household Services and Attendant Care are available for VEA-accepted conditions for the first time, and all new claims are assessed under the MRCA. Read about Household Services.
- The MRCA travel rate for private car use when travelling for treatment applies to all veterans, with no minimum distance. Read about travel for treatment.
- Funeral expenses are reimbursed up to $15,530.09 for a service-related death, and the automatic VEA funeral allowance is now $3,000.00.
Gold Card, TPI and SRDP
New Gold Card claims are assessed under the MRCA. The main pathways are 60 or more impairment points, eligibility for the Special Rate Disability Pension (SRDP), or eligibility for the Additional Disablement Amount. DRCA veterans can qualify for the first time, but only after a new condition is accepted under the MRCA or their overall impairment worsens by at least 5 points.
The VEA Special Rate (TPI) is closed to new claims. The MRCA equivalent is the SRDP, for veterans under Age Pension age who receive MRCA incapacity payments, have 50 or more impairment points, and whose treating specialists confirm they can't work more than 10 hours a week and rehabilitation is unlikely to help. It has no "alone test", and it comes with a Gold Card embossed "TPI". Read about the SRDP.
What didn't change
Veteran Card treatment, Veterans' Home Care and the Community Nursing Program are unchanged. War widow(er)'s and orphan's pensions under the VEA are still granted automatically in the same cases, with a Gold Card for eligible dependants.
Reviews and appeals
A single review pathway has applied since 21 April 2025. For decisions made from that date under any of the three Acts, you apply directly to the Veterans' Review Board (VRB), then can appeal to the Administrative Review Tribunal (ART). DRCA decisions now go to the VRB instead of internal reconsideration. Read about DVA reviews and appeals.
Getting advice on your situation
DVA can't give personal advice about how the changes affect you, but a free, trained advocate from an ex-service organisation can go through your claims history with you. Find a free advocate.
Read DVA's summary of the VETS Act
Rules that are easy to miss
DVA can't set your MRCA baseline, and so can't decide an MRCA permanent impairment claim, until every VEA and DRCA claim you have is final. A decision becomes final when the time to ask for a review has passed without one: 12 months after a DRCA permanent impairment decision or a VEA entitlement decision, or 3 months after a VEA increase decision. If DVA accepted a DRCA condition from a claim lodged before 1 July 2026, you can tell DVA you don't want a DRCA permanent impairment assessment for it. That claim is then final straight away, which can bring forward MRCA benefits such as a Gold Card assessment. Once the MRCA baseline is set you can't go back to the DRCA claim, so get advice before giving up a DRCA lump sum.
You can't lodge an MRCA claim for a condition while a VEA or DRCA claim for the same condition is still open, and a claim stays open until any review has finished or the time to ask for one has run out. If DVA refused the old claim, you can claim the same condition under the MRCA, but the new claim must include evidence DVA didn't have before.
Common questions
Can I take my VEA Disability Compensation Payment as a lump sum?
No. It continues as a fortnightly payment. Only MRCA permanent impairment compensation from a new claim, including a claim for worsening, can be converted to a lump sum, depending on your level of impairment. That choice is final.
Do I still get a Gold Card at 70 with qualifying service?
Yes, that rule didn't change. If DVA hasn't yet recognised your qualifying service, you can claim it in MyService or with form D0506.
I get a VEA Disability Compensation Payment. Can I also claim incapacity payments?
Yes, if you're under Age Pension age and your accepted conditions stop you working. Your VEA conditions count as accepted MRCA conditions. Incapacity payments reduce the part of your Disability Compensation Payment above the general rate, but not the general rate itself. Read about incapacity payments.
Read DVA's legislation reform questions and answers
Checked against DVA's website on 25 September 2026.