Posted on Dec 29, 2022
SPC Anthony Sturgis
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CSM Darieus ZaGara
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I don’t think you have provided enough information. What type of law suit, against who or what institution, etc.
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COL Randall C.
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I'm with CSM Darieus ZaGara regarding the lack of information in your question.

However, if you're asking if your VA benefits will be affected if you are the defendant in a civil lawsuit and lose, the answer is no. A CIVIL action won't have an affect on you directly. A CRIMINIAL conviction may, but not a civil.
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https://www.benefits.va.gov/persona/veteran-incarcerated.asp
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SPC Anthony Sturgis
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Let me elaborate further. Generally, a settlement is monetary. The question is, will a substantial monetary award from a lawsuit affect eligibility in regards to VA Healthcare benefits? Can one be denied benefits because of an award of a lawsuit settlement?.
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CPT Lawrence Cable
CPT Lawrence Cable
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Depends on a couple of factors. If you settlement was for personal injury, they can be tax exempt and won't effect your taxable gross income. Check with your lawyer to see if that is the case.
Income limits from VA depends on your Priority Group. Generally the Earning Levels effect Priority 7 and 8. Check with the VA advocate or your VSO with your specific situation for a better answer.
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COL Randall C.
COL Randall C.
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SPC Anthony Sturgis, let me clarify. Your ACCESS to VA healthcare will not be affected by income levels.

Bottom line: if you were injured during service and have a service-connected disability rated by the VA, they will always treat that illness/injury at no cost. If you are rated at 50% or higher, then they'll cover you for all medical.

Normally, individuals get healthcare through the VA if 1) They are eligible for it because of a service connected injury or overall rating, 2) they don't have other insurance that covers them, or 3) for a specific items but get other healthcare taken care of though other health insurance or such.

If you have been rated by the VA and your rating is 50% or higher, then it doesn't matter what your income levels are. The VA will provide healthcare for all of your health needs (except dental -- that is only if you are rated at 100%) without co-pays or such (as long as it is done though the VA). You would be in "Priority Group 1"

Priority Groups 2 through 4 are based on differing criteria, usually related to a service-connected disability rating.

Priority Groups 5 and 6 are the first time that income limits apply (specifically for a service-connected disability rated at 0%).

If you don't have a service-connected disability and agree to pay co-pays, then you'll be put in to group 7 or 8 and that WILL be affected by your income limits.
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