Claim lodged prior to 1 July 2026
MRCA PI compensation is payable under section 68 of the MRCA from:
the date the claim for liability was lodged; or
the date on which the delegate determines the impairment became permanent and stable and the required degree of impairment exists.
Note: The required degree of impairment under section 68 of the MRCA is 10 impairment points, or 5 impairment points for hearing loss, loss of the use of a finger or toe, or a loss of taste or smell.
Change in arrangements from 1 July 2026 following commencement of the VETS Act – section 68 claims
Claim lodged after 1 July 2026
MRCA PI compensation is payable under section 68 of the MRCA from the later of:
the date the claim for liability was lodged; or
The date on which the impairment became permanent and stable (as estimated by the medical practitioner) and the required degree of impairment exists.
If (b) is the later date, then the date of effect is the first day of the calendar month of that date.
Note: The required degree of impairment under section 68 of the MRCA is 10 impairment points, or 5 impairment points for hearing loss, loss of the use of a finger or toe, or a loss of taste or smell.
Claim lodged after 1 July 2026 for exclusive DRCA/VEA veterans with no DRCA/VEA impairment ratings
If an exclusive VEA or DRCA veteran has never received impairment compensation under those Acts, or the predecessor Acts (and is making their first claim for MRCA PI compensation), their claim under the MRCA will be a section 68 claim. MRCA PI compensation is payable from the later of:
The date of the written or oral request for compensation under the MRCA; or
The date on which the impairment became permanent and the condition stable (as estimated by the medical practitioner) and the required degree of impairment exists.
If (b) is the later date, then the date of effect is the first day of the calendar month of that date.
Example 1
A veteran with only MRCA service after 1 July 2004 makes a claim for liability for a condition under the MRCA on 1 May 2026. Following acceptance of liability for the condition, the veteran makes a claim for MRCA PI compensation on 2 September 2026. The medical practitioner estimates that the veteran’s impairment became permanent and the condition stable on 13 June 2026.
In this instance, the delegate compares the date of the liability claim with the date of the medical practitioner’s estimation, and takes the later of the two dates, being 13 June 2026. As the later date is the estimation of the date the impairment became permanent and the condition stable, the delegate determines that permanent impairment compensation is payable from the first day of the calendar month i.e. 1 June 2026.
Example 2
A veteran with old DRCA accepted conditions only makes a claim for MRCA PI compensation on 30 July 2026. The veteran has never received DRCA PI compensation and has not made a liability claim for a condition under the MRCA. The medical practitioner estimates that the veteran’s impairment became permanent and the condition stable on 26 August 2026.
In this instance, the delegate compares the date of the MRCA PI claim with the date of the medical practitioner’s estimation, and takes the later of the two dates, being 26 August 2026. As the later date is the estimation of the date the impairment became permanent and the condition stable, the delegate determines that permanent impairment compensation is payable from the first day of the calendar month i.e. 1 August 2026.
Example 3
A veteran with only a DRCA accepted condition of tinnitus (who has never received impairment compensation under the DRCA), makes a claim for initial liability under the MRCA for lumbar spondylosis on 2 July 2026. Following acceptance of liability under the MRCA for lumbar spondylosis, the veteran makes a claim for MRCA PI compensation on 20 November 2026. This claim is considered a section 68 claim. The medical practitioner estimates that the veteran’s impairment became permanent and the condition stable on 30 July 2026.
The delegate compares the date of the MRCA PI claim with the date of the medical practitioner’s estimation, and takes the later of the two dates, being 20 November 2026. As the later date is the date of the MRCA PI claim, permanent impairment compensation is payable from 20 November 2026.