The ADF’s new Military Rehabilitation and Compensation Scheme MRCS) provides treatment, rehabilitation and increased compensation for permanent and reserve ADF members, cadets, cadet officers and instructors who suffer mental or physical injury or contract a disease as a result of their service after June 30, 2004.

The MRCS also provides increased compensation to families of those who are killed as a result of their service. The Head of Defence Personnel Executive, RADM Brian Adams, said the introduction of the new Military Rehabilitation and Compensation Scheme signalled the most comprehensive change in military compensation in nearly two decades.

“It is the first single compensation scheme in the ADF’s history to specifically deal with the special nature of military service in all its forms - warlike, non-warlike and peace time,” he said.

“The MRCS brings together the best of existing compensation schemes, the Veterans’ Entitlements Act and the Safety, Rehabilitation and Compensation Act.

“The new scheme has no impact on benefits already being received under the previous compensation schemes.”

The new scheme will be administered by the Department of Veterans’ Affairs and overseen by an independent Military Rehabilitation and Compensation Commission, comprising members of the existing Repatriation Commission, a representative from Defence and a representative from the Department of Employment and Workplace Relations.

Payments for the severely injured, such as those who are severely disabled or mentally impaired, have increased, regardless of the nature of the service that caused the impairment.

The lump sum available for permanent impairment for the most severely injured or ill has increased from $241,556 to around $316,400.

Discharged members who are assessed as unable to work due to their servicerelated condition will receive incapacity payments based on their ADF salary and allowances, indexed to ADF pay rates.

This will be boosted by $107.69 per week to compensate for the loss of other benefits such as subsidised housing and free health care.

The new MRCS also extends the time allowed for members and their families to choose between a lump sum or a pension, from three months to six months, and provides reimbursement of up to $1265 for the cost of obtaining financial advice. The Department of Veterans’ Affairs can provide ADF members with information about the scheme.

To find out more about the new MRCS visit www.mrcs.gov.au or call the MRCS infoline on 1300 550 461.

For Example

A 30-year-old male ADF member who becomes a quadriplegic following a service- related accident will have the choice of the maximum lump sum of around $316,400 compared to $241,556 under existing arrangements.

They will also receive a lump sum payment for each dependent child of $63,283, up from $60,389, free medical care for all conditions (regardless of whether they are service-related), assistance with the cost of household and attendant care, vehicle modifications, telephone allowance and pharmaceutical allowance.

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