2-8  Dependency and Indemnity Compensation (DIC)

 

Covered Under: P.L. 102-568 Veterans Benefit Act of 1992

 

Eligibility: Spouse of Veteran who dies of a SC disability or who dies of any cause after being permanently and totally disabled due to SC causes for over 10 years.  Or, a spouse of a deceased veteran who fits one of the following criteria:

 

·        Married to a veteran getting VA Compensation for total disability continuously since released from active duty and for at least 5 years.

·        Married to a veteran who was a former prisoner of war, who was receiving VA Compensation for a total disability for at least one year before death, and died after September 30, 1999.  

·        Married to a veteran who elected to receive military retirement or disability pay instead of the VA Compensation for permanent and total disability for a period of at least 10 years.

 

The spouse must be a legal spouse at the time of the veteran's death and was married to the veteran for: one year or more, or any period of time if a child was born of the marriage (or before the marriage). The spouse must prove cohabitation from marriage until death unless the separation was through no fault of the spouse, such as residence in a nursing home.

 

NOTE: The one year of marriage represents a recent change in public law, and past cases excluded due to the time requirements may reapply. Further, though the 10 year rule for a veteran rated Permanent and Total allows a survivor to collect DIC for any cause of death (that is not willful), it does not entitle the veteran to Service Connected burial allowances for Non Service Connected causes of death. See section on Burial Allowances below.

 

Until 2004 remarriage ended spouse eligibility for DIC.  However, now a spouse over the age of 57 is entitled retain DIC when they remarry. Annulment, divorce or death may reestablish eligibility for a former spouse who does not meet this age criteria. A divorced individual being considered for reinstatement reflects a 1998 change in Public Law. The VA may consider living with someone else remarriage if the state of residence recognizes common law relationships.

 

If a person applies for DIC, they must show proof that the veteran has died, and that the death was due to a service connected cause. If the veteran was rated Permanent and Totally disabled (100%) for more than 10 years (or meets one of the other criteria listed above), non-service connected causes of death are also covered. 

 

Note: Willful or neglectful causes of death might not be covered for DIC.

Also, the new law covering DIC eligibility on remarriage after age 57 also covers the maintaining of education, home loan, and burial benefits.

 

Under the 1992 law all new cases of DIC are paid at the same monthly rate. Prior to 1992 rank at time of separation was used in computing rate. DIC is not taxable, and rate paid is not affected by other sources of income.

 

DIC can allow payments for dependent parents based on their income and the fact that the veteran claimed them as a dependent while still living.  A dependent parent must file for DIC payments.

 

Note:  There are two additional levels of payment above the basic DIC rate based on the spouse’s health.  These levels are Housebound and Aid and Attendance levels.  The medical criteria for these are the same as the ones that govern Compensation and Pension payments for veterans.  The spouse must open a claim and show proof of health status.  There may be a Compensation and Pension exam at a VA facility.  Check with RO for rates and requirements.

 

As of 2005 there is also an additional 250 dollar stipend in DIC for surviving spouses with dependent children under 18.

 

Those covered under the pre 1993 plan can convert to the current plan. The change is irrevocable so careful study of the benefits of each plan is necessary.

 

FINAL NOTE ON DIC: There may be instances when it is not clear if cause of death is service connected or not. DIC is filed for on a VA Form 21 534, if there is question on the cause of death a spouse may check yes for box 10. The VA will determine if the cause of death is linked to service connection or not. Obvious items, like being struck by lightning there is no way around. Often "Natural Causes" is listed as the cause of death, especially if the official presiding was not a doctor. It may be necessary to obtain a more precise cause of death to identify if the Service Connected disability was a contributing factor to the cause of death.

 

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