On 13 February 2025, the Parliament passed the Veterans’ Entitlements, Treatment and Support (Simplification and Harmonisation) Act 2024 (the VETS Act).
The Government developed the improved legislation in response to the Interim Report of the Royal Commission into Defence and Veteran Suicide, which recommended the Government simplify and harmonise the framework for veteran rehabilitation, compensation and other entitlements.
The legislation means that from 1 July 2026, the Veterans’ Entitlements Act 1986 (VEA) and the Safety, Rehabilitation and Compensation (Defence-related Claims) Act 1988 (DRCA) will close to new compensation claims. All claims received on or after 1 July 2026 will be determined under an improved Military Rehabilitation and Compensation Act (MRCA).
Payments being received under the VEA and DRCA prior to 1 July 2026 will be grand-parented, meaning that those payments will continue uninterrupted.
The start date of the new arrangements gives veterans, families and advocates time to familiarise themselves with the new system.
The benefits to veterans and families
Consolidating the legislation into one Act will result in a system that is easier for veterans to navigate and ensure more consistent compensation outcomes. A single Act will also be simpler to administer, benefiting veterans and families over time through more consistent and timely claim outcomes.
The Act will implement a range of improvements:
- A new Additional Disablement Amount (ADA), similar to the Extreme Disablement Adjustment (EDA) available under the VEA, will be introduced. Like the EDA, the ADA will compensate veterans who are of Age Pension age or older and who have a high degree of incapacity due to service-related conditions.
- The Repatriation Commission will be able to specify injuries and diseases that can be accepted on a presumptive basis where they are known to have a common connection with military service.
- Eligibility for household services and attendant care will be expanded.
- The higher travel reimbursement amount, regardless of kilometres, will be available to all veterans when a private vehicle is used to travel for treatment.
- The automatic granting of VEA funeral benefits will be retained, with the benefit increasing to $3,000, and funeral expenses up to $14,062 for all service-related deaths will be reimbursed.
- Allowances and other payments will be standardised, including acute support packages, education schemes, and additional compensation for children of severely impaired veterans.
- The Repatriation Commission’s ability to grant special assistance to veterans and their dependants will be enhanced.
- Veterans receiving DRCA incapacity payments will automatically transition to MRCA incapacity payments on the date of commencement.
- Where the Repatriation Medical Authority updates a Statement of Principles (SOP) between the veteran’s primary and reviewable decision, the version of the SoP which is most beneficial to the veteran’s circumstances will be applied.
- The Repatriation Commission will be able to determine circumstances where a veteran must receive financial advice before receiving a lump sum payment, helping you make the right decisions.
The VETS Act – more information
We are committed to making it easier for you to navigate the veterans’ compensation system. A range of resources and scenarios can be found on the dedicated Legislation Reform page on the DVA website (www.dva.gov.au/legislationreform).
You may also wish to seek the advice of a compensation claims advocate or email any questions to legislation.reform@dva.gov.au
You can also stay up to date by following our social media channels and subscribing to our regular monthly newsletter, e-news, (go to www.dva.gov.au/vetaffairs-and-e-news-subscriptions)