DVA FACTS
DP01

Disability Pensions and Allowances

Overview of Disability Pensions and Allowances

 

Purpose

This fact sheet provides an overview of disability pensions and allowances available under the Veterans' Entitlements Act 1986 (VEA). 

 

What is disability pension?

Disability pension is paid to compensate veterans for injuries or diseases caused or aggravated by war service or certain defence service rendered on behalf of Australia before 1 July 2004.  It is a non-taxable pension.

 

What about service rendered on or after 1 July 2004?

If you have an injury or disease caused or aggravated by service rendered on or after 1 July 2004, you may be eligible to claim for disability compensation under the Military Rehabilitation and Compensation Act 2004 (MRCA).  Information on disability compensation available under the MRCA is contained in Fact Sheet MRC 01: Overview of the Military Rehabilitation and Compensation Act 2004 and Fact Sheet MRC 02: Compensation Coverage for Members and Former Members of the Australian Defence Force.

 

Who is eligible for disability pension?

You may be eligible for a disability pension if you suffer from an injury or disease that is a result of service rendered:

·       in the Australian Defence Force during a time of conflict before 1 July 2004;

·       in the Australian Merchant Navy during World War 2;

·       as a United Nations Peacekeeper representing Australia overseas before 1 July 2004;

·       in the Australian Defence Force whilst undertaking hazardous service overseas before 1 July 2004;

·       as one of certain civilians who assisted the Australian Defence Force in wartime before 1 July 2004; or

·       in the Australian Defence Force (after completion of 3 years qualifying period, unless medically discharged) from 7 December 1972 to 6 April 1994.  (If you enlisted before 22 May 1986 you can also claim for injuries or diseases resulting from service after 6 April 1994 up to 30 June 2004).


Who is eligible for disability pension? continued

You may also be entitled to a disability pension if you served with a Commonwealth or allied country and you lived in Australia before you enlisted.

 

How much is the disability pension?

The amount of disability pension paid depends on the level of incapacity you suffer as a result of your war-caused or defence-caused injuries and diseases.  Generally speaking, the more incapacitated you are, the higher the amount of pension you will receive.

There are four “categories” of disability pension payable:

·       General Rate, payable in multiples of 10% up to 100%;

·       Extreme Disablement Adjustment (for over 65 years of age only);

·       Intermediate Rate; and

·       Special Rate.

 

How do I claim disability pension?

You need to lodge a D2582 “Claim for Disability Pension and/or Application for Increase in Disability Pension” form.  Information about where to get a form and how to lodge a claim is contained in the Fact Sheet DP 18: How to Claim Disability Pensions.

 

What is a disability pension allowance?

A disability pension allowance is a fortnightly allowance paid to pensioners to provide financial assistance, compensation or reward for valour.

 

Types of disability pension allowances

Applications can be made under the VEA in respect of the following allowances:

·       Attendant allowance;

·       Clothing allowance;

·       Loss of earnings allowance;

·       Recreation transport allowance;

·       Temporary incapacity allowance; and

·       Vehicle assistance scheme (including a running and maintenance allowance).


Attendant allowance

Attendant allowance may be paid to an eligible veteran to assist with the cost of an attendant to help with such things as feeding, bathing, dressing and other activities of daily living.  The attendant may be the veteran’s spouse.

 

Who is eligible for attendant allowance?

The allowance is payable where a veteran has certain war or defence-caused amputations, blindness, or injury or disease affecting the brain and spinal cord system, or has a condition similar in effect or severity.

 

Clothing allowance

Clothing allowance may be paid to an eligible veteran to help offset the cost of modifications, or wear and tear and damage, to clothing.

 

Who is eligible for clothing allowance?

The allowance is payable where a veteran has certain war or defence-caused amputations or blindness.  It is also payable where treatment for any war or defence-caused disability causes exceptional wear and tear or damage to clothing.

 

Loss of earnings allowance

Loss of earnings allowance compensates an eligible veteran for salary, wages or earnings lost in certain circumstances.

 

Who is eligible for loss of earnings allowance?

The allowance is payable where a veteran:

·       receives treatment for a war or defence-caused disability;

·       has used part or all of employer provided sick leave for a war or defence-caused disability, and now has no benefits to cover an absence for another illness; or

·       attends an appointment arranged by the Department for the investigation of a claim for disability pension.


Recreation transport allowance

Recreation transport allowance is paid to an eligible veteran suffering from severe war or defence-caused disabilities that affect mobility, to promote access to recreational activities.

 

Who is eligible for recreation transport allowance?

The allowance is payable where a veteran has certain war or defence-caused amputations or blindness, or is handicapped to a similar extent to these disabilities.

 

What is temporary incapacity allowance and who is eligible?

Temporary incapacity allowance is paid to an eligible veteran who is employed and has undergone treatment in a hospital or institution for a war or defence-caused disability and has been off work for a continuous period of at least 28 days.  There is no requirement that income is actually lost.

 

Vehicle assistance scheme

The Vehicle Assistance Scheme provides financial assistance to an eligible veteran to purchase a new motor vehicle.  Thereafter, assistance may also be provided to purchase a replacement vehicle or make modifications to a vehicle.  The veteran must be able to drive the vehicle or be able to be driven in the vehicle.  A running and maintenance allowance is payable towards the costs of registering and insuring the vehicle.

 

Who is eligible for the vehicle assistance scheme?

The assistance is payable where a veteran has certain war or defence-caused amputations, complete paraplegia or a condition similar in effect or severity to certain amputations.

 

How much are these allowances?

The allowances are paid at different rates and details are contained in the Fact Sheet DP43: Disability Pension and War Widow’s/Widower’s Pension Rates and Allowances.


How do I apply for an allowance?

You need to lodge an application form for the particular allowance.  For more information about each allowance and application form see the following Facts Sheets:

·       Attendant Allowance: DP 72

·       Clothing Allowance: DP 73

·       Loss of Earnings Allowance: DP 75

·       Recreation Transport Allowance: DP 76

·       Temporary Incapacity Allowance: DP 77

·       Vehicle Assistance Scheme: DP 78

 

Oral advice

While we make every effort to ensure that you are given accurate information, it is important that you seek written confirmation of oral information or advice before making any major decisions based on that information.

 

We continually strive to improve the level of service you receive and make this request as an added safeguard for you.

 

Other fact sheets

Other fact sheets related to this topic include:

·       How to Claim Disability Pensions: DP 18

·       General Rate: DP 28

·       Special and Intermediate Rates: DP 29

·       Extreme Disablement Adjustment: DP 30

·       Disability Pension and War Widow’s/Widower’s Pension Rates and Allowances: DP 43

·       Overview of the Military Rehabilitation and Compensation Act 2004: MRC 01

·       Compensation Coverage for Members and Former Members of the Australian Defence Force: MRC 02

·       Defence Force Income Support Allowance (DFISA): IS 19


More information

All DVA fact sheets are available on request from any DVA office or on the DVA website at www.dva.gov.au/factsheets/default.htm.

 

If you need more information about this topic, contact your nearest DVA office or visit the DVA website at www.dva.gov.au.

   

    You can telephone DVA for the cost of a local call* on:

    133 254 – general inquiries

    1800 555 254 – non-metropolitan callers

 

*If you use a mobile phone, calls may be more costly.  You are advised to use a normal phone (ie a landline phone) when ringing these numbers.