VETS Act – Compensation Following the Death of a Veteran

From 1 July 2026, the VETS Act simplifies and brings together the rules about what support is available when a veteran dies.

In the past, entitlements for families depended on different pieces of legislation (VEA, DRCA, and MRCA), which could be complicated and difficult to navigate—especially at a time of grief. The new system brings these arrangements into the MRCA, creating a clearer and more consistent approach. 


What this means for families

If a veteran passes away, there may be a range of supports available depending on the circumstances. These can include:

  • Ongoing payments for partners or dependants
  • Bereavement payments to help with immediate financial needs
  • Funeral assistance or reimbursement
  • Access to services and support for dependants 

The aim is to ensure families are supported both immediately and over the longer term.


What has changed

From 1 July 2026:

  • All new claims relating to a veteran’s death will be assessed under one system (MRCA)
  • The rules have been streamlined and aligned, making them easier to understand
  • Some benefits and pathways have been expanded or standardised across all veterans 

👉 In simple terms:  There is now one clearer, more consistent system for families.



When is compensation available?

Support may be provided where:

  • The veteran’s death is related to their service
  • The veteran previously had accepted service‑related conditions
  • In some cases, where the veteran was receiving certain payments (such as high‑level impairment or SRDP)

Different types of payments may apply depending on individual circumstances, including ongoing support for partners. 


Immediate support after death

There are supports designed to help families at a very difficult time, including:

  • Bereavement payments to assist with short‑term financial adjustment
  • Funeral assistance, which may help cover reasonable costs
  • Practical and financial support for dependants 

These are intended to reduce financial stress during the early period after a loss.


Ongoing support for partners and families

In some cases, eligible partners may receive ongoing payments to recognise the impact of the veteran’s service‑related death.

Families may also be able to access additional supports such as education assistance for children and other benefits depending on eligibility. 


What has not changed

  • Existing entitlements under VEA and DRCA continue (they are protected or “grandparented”)
  • Families do not lose benefits they already receive
  • The intent remains to provide long‑term support and recognition of service 



What this means overall

These changes are designed to:

  • Make the system simpler and easier to understand
  • Ensure consistency for all veterans and families
  • Provide clearer pathways to support during difficult times



Frequently Asked Questions

Will families lose any existing entitlements?
No. Existing payments and entitlements are protected and will continue as they are.

Do families need to reapply for support?
Not for existing entitlements. New claims after 1 July 2026 will be assessed under MRCA.

What support is available immediately after a death?
Bereavement payments and funeral assistance may be available to help with immediate costs.

Can partners receive ongoing payments?
Yes, in many cases eligible partners may receive continuing financial support.

Does the veteran’s death need to be service‑related?
Often yes, but other eligibility pathways may apply depending on the veteran’s circumstances.

Is the system easier now?
Yes. The changes aim to provide one clearer system instead of multiple overlapping ones.


In simple terms

Nothing is being taken away.

Instead:

The system for supporting families after a veteran’s death is being brought into one clearer, more consistent framework—making it easier to understand, access, and navigate at a difficult time.