What changed on 1 July 2026
The DVA legislative reform that took effect on 1 July 2026 is the most significant structural change to veteran compensation in Australia since the MRCA was first introduced in 2004. Here is what it means in plain English.
The most important thing to understand
From 1 July 2026, all new DVA claims must be lodged under the Military Rehabilitation and Compensation Act (MRCA). You cannot lodge a new claim under the VEA or DRCA after this date.
This does not affect claims already lodged. Existing claims continue under the act they were originally lodged under.
What is different from before 1 July 2026
Before this date, veterans could lodge new claims under three separate acts depending on when they served and the nature of their condition:
- The Veterans' Entitlements Act 1986 (VEA) — primarily for service before 1 July 2004
- The Defence-Related Claims Act 1988 (DRCA) — for occupational injury from ADF service 1 July 1988 to 30 June 2004
- The Military Rehabilitation and Compensation Act 2004 (MRCA) — for service on or after 1 July 2004
From 1 July 2026, only MRCA remains open for new lodgements. The VEA and DRCA are now closed to new claims.
What has not changed
- Existing claims — Claims already lodged under VEA or DRCA are not affected and continue under the act they were lodged under
- Existing entitlements — Payments and treatment entitlements already in place continue unchanged
- Treatment access — Veterans with existing accepted conditions continue to access DVA-funded treatment as before
- The review pathway — The VRB and AAT remain available for reviews of existing decisions
- Open Arms — Mental health support through Open Arms remains available regardless of claim status
Three acts operating simultaneously
New claims could be lodged under VEA, DRCA or MRCA depending on service dates and condition type.
Single act for all new claims
All new DVA claims lodge under MRCA. VEA and DRCA are closed to new lodgements. Existing claims continue unchanged.
MRCA as the primary framework
Rehabilitation, compensation, treatment and liability all assessed under the MRCA framework for new claims.
What is MRCA and what does it cover?
MRCA stands for the Military Rehabilitation and Compensation Act 2004. It is now the single framework under which all new DVA claims are assessed. Here is what it covers and what is different about it from the acts it has replaced for new claims.
Liability
DVA's formal acceptance that your injury, illness or condition is related to your service. Liability must be accepted before compensation or treatment can be provided. MRCA covers physical and psychological conditions equally.
Compensation
Weekly compensation payments based on your degree of incapacity, permanent impairment lump sums, and other payments. The MRCA compensation framework is considered more comprehensive than the VEA in several key areas.
Rehabilitation
Both medical rehabilitation (treatment and therapy) and vocational rehabilitation (retraining, workplace modifications, supported employment). The MRCA rehabilitation framework is more comprehensive than the previous system.
Treatment
DVA-funded treatment for accepted conditions including GP, specialist, hospital, allied health, dental, optical and pharmacy. The White Card and Gold Card pathways continue under MRCA.
"The MRCA is, in several key areas, a more comprehensive framework for veterans than the system it replaces for new claims. The rehabilitation provisions are stronger. The treatment pathways are clearer. The single-act structure is simpler to navigate."
Kelliegh Jackson — CEO, Advocates OnlineWhat is actually better under MRCA
There is genuine anxiety in the veteran community about what this change means. Some of that anxiety is warranted. But some is not. Here is the honest assessment:
- Rehabilitation is more comprehensive. The MRCA vocational rehabilitation framework is broader and more flexible than what was available under VEA and DRCA.
- Treatment pathways are clearer. A single act means a single set of rules for treatment access, which reduces the confusion of navigating three separate frameworks.
- Psychological conditions are treated equally. MRCA has always applied an equal standard to psychological and physical conditions. This principle is fully embedded in the new framework.
- The permanent impairment pathway is clearer. PI compensation under MRCA is assessed against a defined impairment framework that is more transparent than the VEA equivalent.
One thing the reform does not change
Having an experienced advocate beside you significantly improves outcomes under any legislative framework. The complexity of the system — which act covers your specific situation, what evidence is required, how to present a claim effectively — is not reduced by the single-act structure. An advocate's value remains.
What happens to existing VEA and DRCA claims?
If you already have claims lodged under VEA or DRCA, this is the question that matters most to you. The short answer is: nothing changes for existing claims. Here is the longer answer.
Existing claims are not affected
Your current claim continues under the act it was originally lodged under. It is not automatically transferred, converted or reviewed as a result of the 1 July 2026 changes. Your entitlements under VEA or DRCA remain fully intact.
Specifically, what stays the same
- Your accepted conditions remain accepted under your original act
- Your compensation rate and payment schedule continues unchanged
- Your DVA health card (White or Gold) continues to cover your accepted conditions
- Your treatment entitlements continue under your original act
- The review pathways — VRB and AAT — remain available for your existing decisions
- Your rehabilitation plan, if you have one, continues
The VEA deadline — what it means if you have not yet lodged
If you have a service-related condition from service before 2004 and have not yet lodged a VEA claim, that window is now closed. You cannot lodge a new VEA claim after 1 July 2026.
This does not mean you have no pathway
If you missed the VEA window, speak to an advocate about whether MRCA applies to your situation or whether any legacy provisions exist. Many veterans in this situation still have a viable pathway. Contact AO before assuming the door is closed.
If your condition has worsened since your original claim
If you have existing accepted conditions under VEA or DRCA and your condition has worsened, you may be able to lodge a supplementary claim or request a review of your compensation rate. This is assessed under the act your original claim was lodged under, not MRCA. An advocate can assess whether a review or supplementary claim is warranted.
Which act covers my situation?
This is the question veterans ask more than almost any other. The answer depends on when you served, what type of service you performed and whether you have already lodged a claim. This table gives you the quick guide — but always confirm your specific situation with an advocate.
| Element | VEA | DRCA | MRCA |
|---|---|---|---|
| Service period covered | Before 1 July 2004. Primarily warlike and non-warlike service. | 1 July 1988 to 30 June 2004. Peacetime ADF service. | All service on or after 1 July 2004. |
| New claims from July 2026 | Closed | Closed | Open — all new claims |
| Existing claims | Unchanged — continues | Unchanged — continues | Unchanged — continues |
| Primary focus | Warlike service, repatriation pensions, special rate pensions | Occupational/workplace injury during peacetime service | All service-related injury, disease, death. Comprehensive framework. |
| Rehabilitation | Limited rehabilitation provisions | Occupational rehabilitation | Comprehensive medical and vocational rehabilitation |
| Gold Card pathway | Yes — TPI, special rate, EDA, age provisions | Limited pathway via VEA connection | Yes — through accepted conditions and impairment thresholds |
| Can you have claims under more than one act? | Yes. If you served across multiple periods, you may have claims under more than one act. An advocate can map your full service history. | ||
Many veterans are covered by more than one act
If you served before and after 2004, you may have entitlements under both VEA (or DRCA) and MRCA. This is not uncommon. An advocate can review your full service history and ensure nothing is missed. This review is free.
What to do right now
Whether you are a veteran who has never engaged with DVA, one with existing claims, or someone who missed the VEA window — here is the specific action for your situation.
If you have never lodged a DVA claim
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Contact an advocate before lodging anything
An advocate can assess your full service history and ensure you lodge the right claim with the right evidence under the right act. This matters more than lodging quickly.
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Gather your service records
Your ADF service record, medical records and any documentation of injuries or conditions during service. The more complete this is, the stronger your claim.
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Get a current medical report
A report from your treating GP or specialist that documents your condition AND connects it to your service. This is the most important piece of evidence.
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Lodge your claim under MRCA
All new claims lodge under MRCA from 1 July 2026. Your advocate will guide you through this process and ensure your claim is as strong as possible.
If you have existing claims
- Check that your health card reflects all your accepted conditions. Cards are sometimes issued without all accepted conditions included.
- Review whether any conditions have worsened. A supplementary claim or compensation review may be warranted.
- Check whether you have been assessed for Permanent Impairment. Many veterans with accepted conditions have never had a PI assessment and may be entitled to a lump sum.
- Contact an advocate if you have not done so in the past 12 months. An annual review frequently surfaces missed entitlements.
If you missed the VEA window
Do not assume your pathway is closed. Contact an advocate to discuss:
- Whether MRCA applies to your specific condition and service period
- Whether any VEA legacy provisions may still be accessible
- Whether DRCA applies to your situation
- Whether any existing VEA entitlements apply even without a new claim
AO advocacy consultations are free
An initial consultation with an AO advocate is completely free. We will assess your situation, identify your entitlements and explain your options. You do not need to commit to anything. You just need to make the call.
Frequently asked questions
The questions veterans are asking us most about the July 2026 DVA changes. If your question is not here, ask it in Ask An Advocate or contact us directly.
No. If you are currently receiving compensation under VEA or DRCA, your payments continue unchanged. The 1 July 2026 changes do not affect existing claims or entitlements. Your payment amounts, schedules and conditions remain as they were.
If you have a new condition to claim that has not been previously lodged, yes — you would now lodge under MRCA regardless of when you served.
If you have existing VEA or DRCA claims, those continue under their original acts. Nothing changes for you.
If you served across multiple periods — some before 2004 and some after — an advocate can assess the full picture and determine which act applies to each condition.
Yes. The review pathways — the Veterans' Review Board (VRB) and the Administrative Appeals Tribunal (AAT) — continue to operate for reviews of decisions under VEA, DRCA and MRCA. The 1 July 2026 changes do not affect your ability to review an existing decision.
Time limits apply to review applications. If you have received a rejection letter, contact an advocate as soon as possible to assess your review options before any deadline passes.
Yes, completely. MRCA covers psychological conditions — including PTSD, anxiety, depression, adjustment disorder and complex PTSD — on exactly the same basis as physical conditions. There is no difference in how DVA treats a physical injury and a psychological condition under MRCA.
If you have a psychological condition related to your service and have never lodged a claim, MRCA is the pathway. An advocate can guide you through the evidence required.
Yes. Under MRCA, you can access certain treatment before your compensation claim is finalised. Treatment can begin when liability is accepted for a condition — you do not need to wait for the entire claim to close.
Additionally, Open Arms (1800 011 046) provides mental health support to veterans and their families without any requirement for a DVA accepted condition. This is available immediately, regardless of your claim status.
The DVA Gold Card provides treatment funding for all health conditions — not just service-related ones. It is the most comprehensive DVA health entitlement.
Gold Card pathways exist under both VEA (TPI, special rate pension, EDA, age provisions) and MRCA (through accepted conditions and permanent impairment thresholds). If you currently have a Gold Card, the July 2026 changes do not affect it. If you believe you may qualify but do not have one, speak to an advocate about the pathways available to you.
If you are a partner, dependant or carer of a veteran, the 1 July 2026 changes do not directly affect your family member's existing entitlements. Existing claims and payments continue unchanged.
If your family member has never engaged with DVA or has a new condition to claim, the new pathway is MRCA. You can contact AO on behalf of a veteran family member — you do not need to be the veteran to make the call.
War widow/widower pensions and dependant entitlements under VEA continue unchanged for existing recipients.
You are not legally required to use an advocate. But the evidence overwhelmingly shows that veterans with professional advocacy support achieve better outcomes than those who navigate the system alone.
An advocate knows the evidence requirements, the common reasons for rejection, and how to present your claim in the format DVA's assessors are looking for. An initial consultation with AO is free and carries no obligation. The question is not whether you can lodge without an advocate — it is whether you want to.
A Statement of Facts is a document prepared by an advocate that presents your evidence — your service history, your medical evidence and the connection between the two — in the specific format DVA's assessors use to evaluate claims.
It is not a legal requirement, but a well-prepared Statement of Facts is frequently the difference between an accepted and a rejected claim. DVA needs the clinical and factual connection to be made explicitly — a GP saying "this condition is service-related" is not the same as a Statement of Facts that demonstrates exactly how and why.
Processing times vary significantly depending on the complexity of the claim, the quality of the evidence provided and DVA's current assessment workload. Some liability decisions are made within weeks. Complex claims can take many months.
The single most effective way to reduce processing time is to submit a well-evidenced claim from the outset — with a strong medical report, a complete service history and a clear Statement of Facts. Incomplete claims are delayed and often rejected, requiring the review process which adds further time.
Have questions about your specific situation?
Our VAPSA-accredited advocates can assess your claim history, identify your entitlements and explain exactly what the July 2026 changes mean for you. The first consultation is free. There is no obligation.