How the VETS Act Affects VEA Veterans from 1 July 2026

If you're a VEA veteran, the single most important thing to know is this: your existing payments, accepted conditions, and income support are safe. Nothing you're currently receiving goes down. The VETS Act changes how new claims are lodged from 1 July 2026, not what you're already getting. That said, there are decisions to make before 1 July 2026 — particularly if you're considering an EDA claim or have unclaimed conditions. Here's the full picture.

What stays the same for VEA veterans

What changes for VEA veterans

New claims go under MRCA from 1 July 2026

If you want to lodge a new initial liability claim, a new permanent impairment claim, or a new rehabilitation claim after 1 July 2026, it goes under the MRCA. You can no longer lodge new compensation or rehabilitation claims under VEA. This affects you if you have conditions you haven't yet claimed, or if existing conditions have worsened and you want a reassessment.

Your existing conditions can be claimed for worsening under MRCA

Because section 24A automatically recognises your VEA-accepted conditions as MRCA conditions, you can claim permanent impairment compensation under MRCA for worsening without a new liability application. The catch: you need at least a 5-point increase in impairment under GARP M from a translated baseline. DVA is developing a methodology to translate existing GARP V ratings (used under VEA) into GARP M equivalents. Only ratings from conditions under which compensation was actually paid count toward the baseline.

EDA is replaced by the Additional Disablement Amount

The Extreme Disablement Adjustment (EDA) was a VEA benefit for severely impaired veterans over pension age with incapacity. From 1 July 2026, the replacement is the Additional Disablement Amount (ADA) under MRCA. The ADA mirrors the EDA in most respects, but with different offsetting: Commonwealth-funded military superannuation is offset at 60 cents per dollar, while permanent impairment compensation and VEA DCP are offset dollar-for-dollar. For some veterans — particularly those with significant Commonwealth-funded military superannuation — the ADA may result in a lower net payment than EDA would have.

This is the one area where lodging before 1 July 2026 could be advantageous. EDA claims lodged up to 30 June 2026 will be assessed under the existing VEA framework. After that date, the ADA applies.

Incapacity payments become available

VEA veterans — including TPI recipients under pension age — can newly claim MRCA incapacity payments from 1 July 2026 based on pre-injury wages. In many cases, MRCA incapacity payments are higher than TPI because they're calculated from your actual pre-injury earnings rather than a fixed rate. This doesn't replace your TPI. It's an additional option. The no-reduction guarantee applies: you won't receive less than you're currently getting.

PI assessment moves to GARP M

New permanent impairment claims from 1 July 2026 are assessed under GARP M rather than GARP V. Both guides use impairment points on a similar scale, but the assessment methodology differs in some areas. If you're concerned about how a specific condition might be assessed differently under GARP M compared to GARP V, consider lodging before 1 July 2026.

Permanent impairment payment options expand

Under VEA, permanent impairment compensation was paid as a periodic (fortnightly) payment only. Under MRCA, you can choose: weekly amounts (paid fortnightly), convert to an age-adjusted lump sum, or a combination of both. This flexibility becomes available for new claims from 1 July 2026.

What VEA veterans should do now

Frequently asked questions

Will my VEA TPI pension change?

No. Your Special Rate (TPI) payments continue unchanged with normal indexation. From 1 July 2026, you may also be able to claim MRCA incapacity payments if they would be higher based on your pre-injury earnings. Your TPI won't be reduced — the no-reduction guarantee applies.

Do I need to refile my VEA claims under MRCA?

No. Section 24A of the MRCA automatically recognises all conditions previously accepted under VEA as MRCA service-related conditions. You don't need to do anything to your existing accepted conditions.

Can I still get a VEA Gold Card at age 70?

Yes. If you have Qualifying Service, the VEA Gold Card pathway at age 70 remains open. This provision is not affected by the VETS Act. From 1 July 2026, there is also a new MRCA Gold Card pathway at 60 impairment points, which may be available to you if you have worsened conditions.

What happens to VEA Service Pension?

Nothing changes. Service Pension, Income Support Supplement, Veteran Payment, and Energy Supplement all remain under VEA. Income support provisions are not closing. If you're receiving Service Pension, that continues exactly as is.

Should VEA veterans lodge claims before 1 July 2026?

It depends on your situation. The main reason to lodge before 1 July 2026 is if you're seeking the Extreme Disablement Adjustment (EDA), which is being replaced by the ADA with different superannuation offsetting. You may also prefer assessment under GARP V for specific conditions. For most other claims, the MRCA framework from 1 July 2026 offers equivalent or better outcomes.

What is the difference between GARP V and GARP M?

GARP V is the VEA's impairment assessment guide. GARP M is the MRCA's guide. Both use impairment points on a similar scale, but the assessment methodology differs in some areas. From 1 July 2026, all new PI assessments use GARP M. DVA is developing a translation methodology to convert existing GARP V ratings into GARP M baselines for the purpose of assessing worsening.

Will my VEA dependant benefits change?

Existing automatic dependant grants — War Widow(er)'s Pension, Gold Cards for dependants of certain deceased VEA veterans — continue unchanged. From 1 July 2026, new dependant benefits for MRCA-eligible veterans are consolidated into the MRCA framework, which in some cases expands eligibility (for example, education scheme access for children of veterans meeting MRCA criteria).