Generally, a claim for the acceptance of liability under the MRCA can be made in respect of:

• clinical onset of a condition (see paragraphs 27(a), 27(b), 27(c), 27(e), and subsection 29(1); and
• aggravation of a pre-existing condition (see paragraph 27(d), subsection 29(2), and section 30.

However, changes effective on 1 July 2026 that were introduced by the Veterans’ Entitlements, Treatment and Support (Simplification and Harmonisation) Act 2025 (VETS Act) resulted in a ‘single-Act’ model whereby the MRCA applies to all claims for injuries, diseases and deaths from that date, irrespective of whether that service occurred before or after the MRCA commencement date of 1 July 2004. 

Consequently, the transitional provisions only remain relevant to claims that were lodged before 1 July 2026 under the former tri‑Act system, ensuring that a person’s entitlements are preserved, that dual payments do not arise, and that other rules relating to aggravations and/or material contribution across multiple Acts are resolved.

This section explains when a determination of compensation payable on death may proceed without establishing the precise medical cause of death, having regard to transitional arrangements applying to deaths and claims under the VEA, the DRCA and the MRCA post 1 July 2026.

Note this guidance applies only to claims for death-related compensation that require the acceptance of liability. It does not apply to bereavement payments or funeral assistance, which do not require cause of death to be established in all circumstances.

Meaning of ‘automatic grant’ for death claims

Certain death claims can be determined without establishing the cause of death where the deceased veteran met specified eligibility thresholds during their lifetime. These arrangements are referred to as ‘automatic grant’ cases.

These arrangements will continue to apply to the dependants of deceased veterans receiving certain payments under the VEA after 1 July 2026, including:

• Ex-prisoners of war,

• Extreme Disablement Adjustment (EDA),

• Special Rate (TPI & TTI) of Disability Compensation,

• Intermediate Rate of Disability Compensation,

• Specific disability rate.

Case Scenarios - VEA veterans

VEA veteran died before 1 July 2026 (and a claim is made before 1 July 2026)

Where a veteran died before 1 July 2026 and a claim for death-related compensation was made under the VEA before that date, the claim will continue to be determined under the VEA.

Note - No additional compensation is available under the MRCA if compensation in respect of the death has already been provided under the VEA.

VEA veteran died before 1 July 2026 (and a claim is made on or after 1 July 2026)

Where a VEA veteran died before 1 July 2026 but the claim for death-related compensation is made on or after 1 July 2026, the claim is to be determined under the MRCA.

In these cases:

• Automatic grant entitlements continue to apply, and
• Dependants also have the option to claim under the MRCA.

VEA veteran who died on or after 1 July 2026

Where a VEA veteran died on or after 1 July 2026, the claim is to be determined under the MRCA (and automatic grant provisions will continue to apply).

Case Scenarios - DRCA veterans

DRCA veteran died before 1 July 2026 (and a claim is made before 1 July 2026)

Where a DRCA employee died before 1 July 2026 and a death claim was made before that date, the claim is determined under the DRCA.

Note - No additional compensation is available under the MRCA if compensation in respect of the death has already been provided under the DRCA.

DRCA employee died before 1 July 2026 (and a claim is made on or after 1 July 2026)

Where a DRCA veteran died before 1 July 2026 but the claim for death-related compensation is made on or after 1 July 2026, the claim is to be determined under the MRCA.

DRCA employee died on or after 1 July 2026

Where a DRCA employee died on or after 1 July 2026, the claim is to be determined under the MRCA.

This page applies for consideration of claims lodged before 1 July 2026.  For claims lodged on or after 1 July 2026, the MRCA applies regardless of when the condition occurred.

For claims lodged before 1 July 2026, for the MRCA to apply the condition must occur on or after 1 July 2004.  Delegates should use the date of clinical onset as the date a condition occurred (see 3.4.3 of Chapter 3: Liability).  Therefore, it will be vital for delegates to establish a date of clinical onset based on the medical evidence, with particular weight given to the specialist medical report (SMR).  Assistance can be sought from a Departmental Medical Officer (DMO) if required.  If the date of clinical onset is before 1 July 2004 the MRCA does not apply to that condition

Example 1:

On 4 August 2006 a member submits a claim for osteoarthrosis (OA) of the right knee.  The member enlisted in the Army in 1995 and is still serving.  The delegate confers with the DMO regarding the medical evidence on file and establishes the date of clinical onset to be 11 May 2004, when x-rays were conducted following complaints from the member regarding right knee pain.  The MRCA does not apply to the member's condition because the condition occurred before 1 July 2004.

Example 2:

On 30 March 2007 a former member submits a claim for diabetes.  The former member enlisted in Army in 1999 and was discharged in December 2005.  The former member started suffering symptoms such as excessive urination and excessive thirst, accompanied by weight loss, in August 2005.  The former member underwent a diabetes screening test in February 2006 and was diagnosed with diabetes mellitus.  After conferring with the DMO, the delegate decides that clinical onset of this condition was in August 2005, when the former member first started displaying symptoms of the condition.  

As the date of clinical onset is after the 1 July 2004, the MRCA may apply to this claim, but only if the condition also relates to service rendered on or after the 1 July 2004, as discussed below.

The Repatriation Commission has approved the following forms for the purposes of making a claim for the acceptance of liability under section 319 of the MRCA:

• Form D2051 – Claim for Liability and/or Reassessment of Compensation.

Note, this page applies only in relation to claims lodged prior to 1 July 2026.

In the case of aggravation of diseases, subsection 4AA of the DRCA specifies that delegates should not use any of the following as the date the aggravation occurred (see subsection 7(4) of the DRCA):

• the day when the employee first sought medical treatment for the aggravation of the disease; or
• the day when the aggravation of the disease resulted in the death of the member;
• the day when the aggravation of the disease first resulted in the incapacity for work of the member;
• the day when the aggravation of the disease first resulted in the impairment of the member.

Instead, delegates should establish, on the balance of probabilities, the date aggravation occurred by reference to the appropriate medical evidence (see 3.4.3 Establishing a diagnosis | CLIK). If this date is before 1 July 2004 the MRCA does not apply to that aggravation.

Example:

On 7 August 2006 a member submits a claim for an aggravation of osteoarthrosis (OA) of the left knee.  The member enlisted in the Army in 1999 and continues to serve.  Liability for OA was accepted under the SRCA on 23 February 2002.  The DMO advises the delegate that the first signs of aggravation of OA was on 21 April 2004, where an x-ray shows a marked deterioration in the member's OA beyond the normal progression of the disease.  On the balance of probabilities the delegate determines this to be the date the aggravation occurred, regardless of the date the member first sought medical treatment for the aggravation of her OA, or the aggravation resulted in her incapacity or impairment. Therefore, the MRCA does not apply to this aggravation as it occurred before 1 July 2004.

Note, this page only applies to claims lodged prior to 1 July 2026.

The aggravation must relate to defence service rendered on or after 1 July 2004 (see 3.2 of Chapter 3: Liability).  However, it is not necessary for the aggravation to relate solely to defence service rendered on or after the 1 July 2004.  The MRCA will also apply to an aggravation that relates to defence service rendered before the 1 July 2004, but only if the aggravation also relates to defence service rendered on or after 1 July 2004.  In other words, the MRCA will apply if the aggravation relates to service before and on or after 1 July 2004.  Defence service taken into account can span 1 July 2004 or be rendered during separate periods (including periods of service separated by a period of non-service)..

Example 1:

On 19 May 2006 the member submits a claim for aggravation of chondromalacia patellae (CMP) of the left knee.  The member enlisted in the Army in 1998 and is still serving.  Liability for CMP was accepted under the DRCA on 18 August 2003.  The DMO confirms from the medical evidence on file a further breakdown in the underlying pathology of the member's CMP following clinical onset in 2003.  The delegate takes a look at the Repatriation Medical Authority (RMA) Instrument No.34 of 2001 and notes that the only factors relating to the clinical worsening of CMP involve a direct trauma to or abnormal tracking of the patellae, or meniscal damage or permanent ligamentous instability.  The delegate reviews all evidence including service medical records looking for evidence that service rendered after 1 July 2004 has aggravated the member's condition.  The only evidence is of a trauma on 12 April 2004 when the member fell on her left knee.  The delegate decides MRCA does not apply to the member's aggravation because the aggravation only relates to defence service rendered before the 1 July 2004.  He phones the member to discuss the matter with her.  The member agrees that the claim should be assessed under the DRCA.

Example 2:

On 9 August 2006 a member submits a claim for 'hearing loss' (no diagnosis on claim form).  The member enlisted in the Navy on 4 May 1999 and is still serving.  The member's claim form contends high noise levels on HMA warships as the cause of his hearing loss.  A diagnosis of bilateral sensorineural hearing loss (SNHL) is obtained and the delegate refers the member for an audiogram to confirm a permanent hearing threshold shift of 25 decibels (dB) to confirm the application of RMA Instrument No.30 of 2001.  The member has not previously claimed SNHL.

Periodic audiograms contained in the members service and medical documents show a gradual deterioration from about early 2000 to date.  As this was the time medical evidence indicates that the member was first suffering symptoms which indicate that SNHL was present, the delegate, after conferring with the DMO, establishes this as the date of clinical onset.  An audiogram conducted in March 2004 shows significant deterioration in hearing.  Based on this medical evidence, it cannot be said that clinical onset of the member's SNHL occurred after 1 July 2004, or that clinical onset of the member's SNHL relates to service rendered on or after 1 July 2004.  Therefore, the MRCA does not apply to any claim for clinical onset of SNHL.  Instead, compensation coverage is available under the SRCA (assuming the member has no eligible VEA service) for hearing loss up to March 2004.

An audiogram in September 2004 shows a further deterioration from March 2004.  Based on this medical evidence it could be said that an aggravation has occurred after  1 July 2004.  Compensation coverage may be available under the MRCA for any hearing loss suffered after March 2004, because this is considered an aggravation which relates to service rendered (before and) on or after 1 July 2004.

This page only applies in relation to claims made prior to 1 July 2026.  All claims for aggravations lodged after 1 July 2026 are considered under the MRCA.

For a service-related “aggravation” of an accepted VEA disability to be considered under the MRCA, the aggravation must relate to service rendered on or after 1 July 2004.  Delegates should establish on the balance of probabilities the date the aggravation occurred by reference to the appropriate medical evidence (see 3.4.3 Establishing a diagnosis | CLIK).  If this date is before 1 July 2004, the MRCA does not apply to that aggravation.  However, as noted at the beginning of this Chapter, only those claims where an election was made prior to 1 July 2013 can be determined as aggravations under the MRCA.

Example 1

On 11 July 2013, a former member submits a claim under the MRCA for an aggravation of a pre-existing lumbar spondylosis (LS) condition.  The former member enlisted in the Army in 1985 and was discharged on 10 July 2005.  LS was accepted under the VEA on the basis of operational service in East Timor during 2000.  The LMO finds that a slight deterioration in the member's LS has occurred but believes this is simply due to a natural progression of the disease.  The delegate checks the former member's medical documents and does not find any evidence of an aggravation prior to her discharge.  The delegate decides that (on the balance of probabilities) no aggravation has occurred on or after 1 July 2004.  The delegate phones the former member and explains the situation to her.  The former member agrees to withdraw her MRCA claim and lodge an AFI of her accepted disability under the VEA.  The delegate ensures that an “informal claim” under the VEA is registered with the original receipt date, noting that a formal AFI claim must be lodged by the client prior to any determination under the VEA.

Example 2

On 4 May 2013, a member lodges a claim for “degenerative changes to the right ankle”.  The delegate notes that the underlying right ankle injury is a VEA AD relating to an incident on operational service in East Timor in June 2004.  The member contends that there has been an aggravation of the condition during a training exercise in March 2012.  The Medical Officer supports the member's contention and attaches copies of service medical documents describing the incident.  The delegate notes that the last VEA assessment of the right ankle awarded the member a Disability Compensation Payment at 10% of the General Rate.  Irrespective, this assessment was conducted in mid-2004 and the delegate is still not reasonably satisfied as to whether this claim is related to a MRCA aggravation of a pre-existing injury or a recurrence (or natural worsening) of the previous injury.  In order, to clarify, the delegate requests Unit Medical Records (UMRs).  When the UMRs arrive, the delegate consults with a DMO and decides that the incident in March 2012 aggravated the underlying VEA AD.

On 20 June 2013, the delegate invites the claimant to lodge an election under section 12 but the claimant fails to make an election prior to 1 July 2013.  As no choice had been made to pursue a claim under the MRCA prior to 1 July 2013, the claim must be considered as an AFI of the VEA claim.

The following table is a quick reference guide to assist delegates in determining which methodology applies for MRCA PI claims received before and after 1 July 2013.

Note: Please see the Compensation Claims Procedures manual for the methodology to apply in relation to PI claims made:

• before 1 July 2013, and
• on and after 1 July 2013.

Note: Please see chapter 12.7.2 for more information about each of the steps contained within chapter 25 of GARP M (to apply in relation to PI claims made on and after 1 July 2013).

Chapter 23 of GARP M

Chapter 23 of GARP M provides the methodology for converting medical impairment and lifestyle effects to compensation factors, which are then multiplied by the maximum weekly permanent impairment amount under the MRCA, to find the amount of permanent impairment compensation payable to a veteran. 

A different methodology in Chapter 23 applies when veterans have conditions arising from a combination of both peacetime and warlike/non-warlike service, which frequently arises in transitional cases, when veterans have conditions accepted under the MRCA as well as under the VEA/DRCA.

In determining the relevant compensation factor in these situations, the ‘Combined Ratings’ formula in Chapter 23 of GARP M is applied.  This formula is commonly referred to as the weighted compensation factor.

The service type for VEA and DRCA conditions

When applying the weighted compensation factor formula in Chapter 23 of GARP M: 

• conditions accepted under the VEA should be treated as if they relate to warlike/non-warlike service, and
• conditions accepted under the DRCA should be treated as if they relate to peacetime service, or

• where a condition is accepted under both the VEA and the DRCA, treat the condition as if it were related to warlike/non-warlike service.

Multiple conditions arising out of the service type/s

For transitional veterans with service-related conditions arising from different service types, the amount of MRCA PI compensation payable is a weighted average between:

• the amount payable if all conditions arose from warlike/non-warlike service (‘A’ in the formula), and
• the amount payable if all conditions arose from peacetime service (‘B’ in the formula).

Where there are multiple impairment ratings at ‘A’ and ‘B’, they are arithmetically added.  The following example illustrates this.

Example

When applying the formula in Chapter 23:

• The total impairment at (A) is 30 (20+10 impairment points).

• The total impairment at (B) is 20 (10+10 impairment points).

• The lifestyle rating (L) from these conditions is 4.

• The combined impairment rating (C) is 42.

Under Table 23.1, the compensation factor that would be applied if all 4 conditions (i.e. using 42 impairment points at C above) had resulted from warlike service would be 0.461.

Under Table 23.1, the compensation factor that would be applied if all 4 conditions (i.e. using 42 impairment points at C above) had resulted from peacetime service would be 0.258.

The weighted average compensation factor (CF final) is worked out using the formula, as follows:

(30 * 0.461 + 20 * 0.258) / (30 + 20) = 0.380

The maximum compensation payable (as at the date of determination) is multiplied by the weighted compensation factor to work out the person’s entitlement of periodic payment (i.e. the MRCA PI weekly amount). 

For more information about the maximum compensation payable under the MRCA, please visit the DVA website (current payment rates) at: www.dva.gov.au/get-support/financial-support/payment-rates/compensation-payment-rates-mrca#permanent-impairment.

For an example calculation using the 7-steps in Chapter 25 of GARP M, please see Chapter 12.7.2.8 of the MRCA Transitional Provisions Policy Manual.

Apportionment

In bringing across VEA and DRCA conditions, it may be necessary to apply apportionment under Chapter 20 of GARP where the client has two or more conditions accepted under two different Acts which affect the same body system.  As per a single Act situation, apportionment is used to establish the separate contribution each condition makes to the overall functional impairment.  It may be required in some cases to determine the appropriate impairment rating and the relevant compensation factor to be applied.

History of policy changes 

Historically, it has not been explicit in Chapter 23 (or Chapter 25) of GARP M: 

• that impairment from service-related conditions under the VEA and the DRCA are to be treated a particular way when determining the weighted compensation factor for the purpose of applying Chapter 25 and working out the amount of MRCA PI compensation payable, 

• how multiple conditions arising at ‘A’ and/or ‘B’ in the formula should be treated.

Instead, policy guidelines provided delegates with these instructions.

The Guide to Determining Impairment and Compensation Amendment Instrument 2025 (the GARP M amending instrument) commenced from 3 March 2025 and clarified and reinforced the existing policy guidelines. 

The GARP M amending instrument did not change the process for how Chapter 23 has been applied to calculate weighted compensation factors.

Application of the GARP M

To ensure clarity, the version of the GARP M in force at the time of the original assessment leading to the original determination must continue to apply until the claim is finally determined, including internal reconsiderations and external appeals.

For example, if the original assessment and original determination was undertaken based on the GARP M in force prior to the GARP M amending instrument on 3 March 2025, then any flow on reconsiderations or appeals in relation to that original determination must also apply the version of the GARP M in force prior to 3 March 2025. This ensures consistent and unambiguous outcomes for veterans in relation to the calculation of their permanent impairment entitlement under the MRCA.

The exceptions to the 10 impairment points requirement are impairments of the fingers, the toes, the sense of taste and smell, and hearing loss.

For these impairments, section 69(2) of the MRCA requires that a claimant is only eligible for PI compensation where the impairment suffered as a result of one of those conditions alone constitutes 5 impairment points.  In other words, impairment points from more than one other condition cannot be combined to meet the 5 impairment point requirement.  Once the claimant meets the 5 point threshold for one of these conditions alone, impairment from other conditions can be combined in order to calculate the amount of PI payable, provided the relevant threshold of 10 impairment points is met.

In circumstances where it appears the client will not meet the threshold requirements for payment of compensation for loss of hearing under either the DRCA or MRCA individually due to apportionment under GARP M, it should be referred to Benefits & Payments Policy for advice specific to the individual circumstances of the case.