Military Rehabilitation and Compensation Act 2004

The maximum weekly amount of a Special Rate Disability Pension that could be payable to a person is reduced in accordance with this section.

There is a reduction that is made by reference to amounts payable or paid to the person under Part 2 (permanent impairment). However, a payment received for eligible young persons, financial advice, legal advice or energy supplement under that Part does not reduce the maximum weekly amount of Special Rate Disability Pension that could be payable to the person.

The maximum weekly amount of a Special Rate Disability Pension that could be payable to a person is reduced by the sum of:

any weekly amounts that are being paid to the person under Part 2; and

if the person has chosen to convert all or part of one or more weekly amounts that were payable to the person under that Part to lump sums—those weekly amounts or those parts of those weekly amounts.

Subsection (3) applies to a person to whom section 389 or 402 applies as if the person were being paid the weekly amounts under Part 2 that the person would be paid if that section did not apply to the person.

Section 389 provides that compensation under Part 2 is not payable to a person who chooses to institute proceedings for damages against the Commonwealth. Under section 402, compensation under this Act is not payable to a person who recovers damages from a third party.

There is a reduction if the person:

has retired voluntarily, or has been compulsorily retired, from his or her work; and

receives either or both a pension or lump sum under a Commonwealth superannuation scheme as a result of the retirement.

The amount of the reduction under subsection (5) is 60% of the reduction that would apply to the person under section 134, 135 or 136 if the person were receiving compensation worked out under Division 2 of Part 4.

This section does not limit the application of subsection 415(4) in relation to a Special Rate Disability Pension.

Subsection (7) has the effect that if the maximum weekly amount of a Special Rate Disability Pension is reduced in accordance with this section, that amount may be further reduced in accordance with subsection 415(4).