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12.7.11 Reconsiderations, reviews, and appeals

Reconsiderations, reviews or appeals of a pension assessment under the VEA and/or a DRCA lump sum do not provide sufficient grounds for delegates to refuse to process a MRCA PI compensation claim.  This is notwithstanding the fact that the rate of DCP or lump sum awarded might be increased (or decreased) with retrospective effect upon review by the VRB, the AAT or the Federal Court.

If a VEA pension assessment, DRCA liability and/or compensation decision is retrospectively backdated upon review, it is open to another delegate to revisit a MRCA PI determination via section 347, providing the VRB and/or AAT have not made a decision relating to that MRCA PI determination.  If an overpayment has resulted, the delegate can recover it under section 415 of the MRCA.  Where a delegate is aware that a claimant has a VEA and/or DRCA condition or related payment that is the subject of a review, they should inform the claimant that if the amount of DCP or lump sum payable is subsequently increased, they may be asked to repay any overpayment that results under the MRCA.


Delegates may wish to insert the following paragraph into their determination letter:


“Please note, the amount contained within this determination was calculated using your current **[insert relevant] rate of Disability Compensation Payment under the VEA or lump sum under the DRCA]**.  As this amount is the subject of a review, should the amount of **[insert relevant] DCP or lump sum** payable subsequently be increased as an outcome of that review, you may be asked to repay any resulting overpayment under the MRCA.  This is to ensure that you do not receive compensation twice for the same condition.”