Statement of Principles concerning adjustment disorder (Balance of Probabilities) (No. 59 of 2025)

Administered by Department of Veterans' Affairs

Legislation au F2025L00723 In force Legislative Instrument

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EXPLANATORY STATEMENT

 

STATEMENT OF PRINCIPLES CONCERNING

ADJUSTMENT DISORDER

(BALANCE OF PROBABILITIES) (NO. 59 OF 2025)

 

VETERANS' ENTITLEMENTS ACT 1986

MILITARY REHABILITATION AND COMPENSATION ACT 2004

 

  1.              This is the Explanatory Statement to the Statement of Principles concerning adjustment disorder (Balance of Probabilities) (No. 59 of 2025).

Background

  1.              The Repatriation Medical Authority (the Authority), under subsection 196B(8) of the Veterans' Entitlements Act 1986 (the VEA), repeals Instrument No. 24 of 2016 (Federal Register of Legislation No. F2016L00270) determined under subsections 196B(3) and (8) of the VEA concerning adjustment disorder.
  2.              The Authority is of the view that on the sound medical-scientific evidence available it is more probable than not that adjustment disorder and death from adjustment disorder can be related to particular kinds of service.  The Authority has therefore determined pursuant to subsection 196B(3) of the VEA a Statement of Principles concerning adjustment disorder (Balance of Probabilities) (No. 59 of 2025).  This Instrument will in effect replace the repealed Statement of Principles.

Purpose and Operation

  1.              The Statement of Principles will be applied in determining claims under the VEA and the Military Rehabilitation and Compensation Act 2004 (the MRCA).
  2.              The Statement of Principles sets out the factors that must exist, and which of those factors must be related to the following kinds of service rendered by a person:

 eligible war service (other than operational service) under the VEA;

 defence service (other than hazardous service and British nuclear test defence service) under the VEA;

 peacetime service under the MRCA,

before it can be said that, on the balance of probabilities, adjustment disorder or death from adjustment disorder is connected with the circumstances of that service.  The Statement of Principles has been determined for the purposes of both the VEA and the MRCA.

  1.              This Instrument results from an investigation notified by the Authority in the Government Notices Gazette of 7 November 2023 concerning adjustment disorder in accordance with section 196G of the VEA.  The investigation involved an examination of the sound medical-scientific evidence now available to the Authority, including the sound medical-scientific evidence it has previously considered.
  2.              The contents of this Instrument are in similar terms as the repealed Instrument.  Comparing this Instrument and the repealed Instrument, the differences include:
  • specifying a day of commencement for the Instrument in section 2;
  • revising the definition of 'adjustment disorder' in subsection 7(2);
  • revising the reference to 'ICD-10-AM code' in subsection 7(4);
  • revising the factor in subsection 9(3) being exposed to repeated or extreme aversive details of severe traumatic events;
  • revising the factor in subsection 9(4) concerning having a person with whom one has a close family bond or a close personal relationship experience a category 1A stressor;
  • revising the factor in subsection 9(6) concerning having a medical illness or injury;
  • deleting factor concerning experiencing the death of a significant other;
  • deleting factor concerning having persistent pain;
  • deleting factor concerning having a severe, chronic medical condition;
  • new definitions of 'clinical onset' and 'DSM-5-TR'  in Schedule 1 - Dictionary;
  • revising the definitions of 'category 1B stressor', 'category 2 stressor', 'hostile or life-threatening environment' and 'witness' in Schedule 1 - Dictionary; and
  • deleting the definitions of 'being exposed to repeated or extreme aversive details of severe traumatic events', 'corpse', 'DSM-5', 'persistent pain', 'severe, chronic medical condition' and 'significant other'.

Incorporation

  1.              This Instrument incorporates by reference the Diagnostic and Statistical Manual of Mental Disorders, Fifth Edition, Text Revision (DSM-5-TR), Washington, DC, American Psychiatric Association, 2022.  A copy of this document is available from the offices of the Repatriation Medical Authority, Level 8, 480 Queen St, Brisbane, Queensland 4000, by contacting the Registrar on telephone (07) 3815 9404.

Consultation

  1.              Prior to determining this Instrument, the Authority advertised its intention to undertake an investigation in relation to adjustment disorder in the Government Notices Gazette of 7 November 2023, and circulated a copy of the notice of intention to investigate to a wide range of organisations representing veterans, service personnel and their dependants.  The Authority invited submissions from the Repatriation Commission, the Military Rehabilitation and Compensation Commission, organisations and persons referred to in section 196E of the VEA, and any person having expertise in the field.  No submissions were received for consideration by the Authority in relation to the investigation.
  2.          On 28 February 2025, the Authority wrote to organisations representing veterans, service personnel and their dependants regarding the proposed Instrument and the medical-scientific material considered by the Authority.  This letter emphasised the deletion of factors relating to:
  • Experiencing the death of a significant other;
  • Having persistent pain;
  • Having a severe, chronic medical condition.

The Authority provided an opportunity to the organisations to make representations in relation to the proposed Instrument prior to its determination.  No submissions were received for consideration by the Authority.  No changes were made to the proposed Instrument following this consultation process.

Human Rights

  1.          This instrument is compatible with the Human Rights and Freedoms recognised or declared in the International Instruments listed in Section 3 of the Human Rights (Parliamentary Scrutiny) Act 2011.  A Statement of Compatibility with Human Rights follows.

Finalisation of Investigation

  1.          The determining of this Instrument finalises the investigation in relation to adjustment disorder as advertised in the Government Notices Gazette of 7 November 2023.

References

  1.          A list of references relating to the above condition is available on the Authority's website at: www.rma.gov.au. Any other document referred to in this Statement of Principles is available on request to the Repatriation Medical Authority at the following address:

              

Email:    info@rma.gov.au

Post:      The Registrar

Repatriation Medical Authority

GPO Box 1014

BRISBANE    QLD    4001


Statement of Compatibility with Human Rights

(Prepared in accordance with Part 3 of the Human Rights (Parliamentary Scrutiny) Act 2011)

 

Instrument No.:   Statement of Principles No. 59 of 2025

Kind of Injury, Disease or Death: Adjustment disorder

 

This Legislative Instrument is compatible with the human rights and freedoms recognised or declared in the international instruments listed in section 3 of the Human Rights (Parliamentary Scrutiny) Act 2011.

Overview of the Legislative Instrument

1. This Legislative Instrument is determined pursuant to subsection 196B(3) of the Veterans' Entitlements Act 1986 (the VEA) for the purposes of the VEA and the Military Rehabilitation and Compensation Act 2004 (the MRCA).  Part XIA of the VEA requires the determination of these instruments outlining the factors connecting particular kinds of injury, disease or death with service such being determined solely on the available sound medical-scientific evidence.

2. This Legislative Instrument:-

  • facilitates claimants in making, and the Repatriation Commission and the Military Rehabilitation and Compensation Commission in assessing, claims under the VEA and the MRCA respectively, by specifying the circumstances in which medical treatment and compensation can be extended to eligible persons who have adjustment disorder;
  • facilitates the review of such decisions by the Veterans' Review Board and the Administrative Appeals Tribunal;
  • outlines the factors which the current sound medical-scientific evidence indicates must exist before it can be said that, on the balance of probabilities, adjustment disorder is connected with the circumstances of eligible service rendered by a person, as set out in clause 5 of the Explanatory Statement;
  • replaces Instrument No. 24 of 2016; and
  • reflects developments in the available sound medical-scientific evidence concerning adjustment disorder which have occurred since that earlier instrument was determined. 

3. The Instrument is assessed as being a technical instrument which improves the medico-scientific quality of outcomes under the VEA and the MRCA. 

Human Rights Implications

4. This Legislative Instrument does not derogate from any human rights. It promotes the human rights of veterans, current and former Defence Force members as well as other persons such as their dependents, including:

  • the right to social security (Art 9, International Covenant on Economic, Social and Cultural Rights; Art 26, Convention on the Rights of the Child and Art 28, Convention on the Rights of Persons with Disabilities) by helping to ensure that the qualifying conditions for the benefit are 'reasonable, proportionate and transparent'[1];
  • the right to an adequate standard of living (Art 11, ICESCR; Art 27, CRC and Art 28, CRPD) by facilitating the assessment and determination of social security benefits;
  • the right to the enjoyment of the highest attainable standard of physical and mental health (Art 12, ICESCR and Art 25, CRPD), by facilitating the assessment and determination of compensation and benefits in relation to the treatment and rehabilitation of veterans and Defence Force members;
  • the rights of persons with disabilities by facilitating the determination of claims relating to treatment and rehabilitation (Art 26, CRPD); and
  • ensuring that those rights "will be exercised without discrimination of any kind as to race, colour, sex, language, religion, political or other opinion, national or social origin, property, birth or other status" (Art 2, ICESCR).

Conclusion

This Legislative Instrument is compatible with human rights as it does not derogate from and promotes a number of human rights.

 

Repatriation Medical Authority

 

 

 

 

 

 

[1] In General Comment No. 19 (The right to social security), the Committee on Economic, Social and Cultural Rights said (at paragraph 24) this to be one of the elements of ensuring accessibility to social security.

Overview

The Statement of Principles concerning adjustment disorder (Balance of Probabilities) (No. 59 of 2025) was enacted in 2025 to address the need for an updated framework for assessing claims related to adjustment disorder in veterans and current or former Defence Force members. This legislative instrument, determined under the Veterans' Entitlements Act 1986 (VEA) and the Military Rehabilitation and Compensation Act 2004 (MRCA), was established by the Repatriation Medical Authority (the Authority) to reflect the latest sound medical-scientific evidence. The Authority repealed the previous Statement of Principles No. 24 of 2016 to incorporate new evidence and adjust the factors considered in determining the connection between adjustment disorder and service. This legislative instrument aims to facilitate the assessment and determination of claims and benefits, ensuring they are reasonable, proportionate, and transparent, thereby promoting human rights such as the right to social security and the highest attainable standard of physical and mental health. The Authority consulted with relevant organisations and stakeholders during the determination process, although no submissions were received. This legislative instrument replaces the previous Statement of Principles and outlines the factors that must exist for adjustment disorder or death from adjustment disorder to be connected with service under the VEA and MRCA. The new instrument incorporates revised definitions and factors, removing some previously considered elements such as experiencing the death of a significant other or having persistent pain, while incorporating the Diagnostic and Statistical Manual of Mental Disorders, Fifth Edition, Text Revision (DSM-5-TR). This Statement of Principles is compatible with human rights, promoting the rights of veterans, current and former Defence Force members, and their dependents without any derogation of their rights.

Scope and Application

The Statement of Principles concerning adjustment disorder (Balance of Probabilities) (No. 59 of 2025) applies to veterans and current or former members of the Defence Force who are making claims under the Veterans' Entitlements Act 1986 and the Military Rehabilitation and Compensation Act 2004. This legislation provides the criteria that must exist to determine a connection between adjustment disorder or death from adjustment disorder and eligible war service, defence service, or peacetime service. The factors outlined in the Statement of Principles are derived from the sound medical-scientific evidence available to the Repatriation Medical Authority and are intended to ensure that the qualifying conditions for benefits are reasonable, proportionate, and transparent. The scope of this legislation is national, applying across Australia as it is determined under the Commonwealth provisions of the Veterans' Entitlements Act 1986 and the Military Rehabilitation and Compensation Act 2004. The application of this Statement of Principles is facilitated by subordinate instruments and the incorporation of the Diagnostic and Statistical Manual of Mental Disorders, Fifth Edition, Text Revision (DSM-5-TR), which assists in the accurate diagnosis and assessment of adjustment disorder. The legislation outlines specific exclusions and thresholds that refine the criteria for determining the connection between adjustment disorder and service. These include revisions to definitions and factors, such as the removal of factors relating to experiencing the death of a significant other, having persistent pain, or having a severe, chronic medical condition, and the addition of new definitions for terms like 'clinical onset' and 'DSM-5-TR'. The process of determining this Statement of Principles involved extensive consultation with relevant stakeholders and the consideration of the latest medical-scientific evidence, ensuring the instrument is both comprehensive and up-to-date. This instrument is compatible with human rights and ensures that the rights of veterans and Defence Force members are protected without discrimination.

Key Provisions

The Statement of Principles concerning adjustment disorder (Balance of Probabilities) (No. 59 of 2025) is an essential legislative instrument under the Veterans' Entitlements Act 1986 (VEA) and the Military Rehabilitation and Compensation Act 2004 (MRCA). This Statement of Principles (section 2) sets out the specific factors that must be present to establish a connection, on the balance of probabilities, between adjustment disorder or death from adjustment disorder and certain kinds of service, including eligible war service, defence service, and peacetime service (subsection 9). These factors are essential for claimants to substantiate their claims for medical treatment and compensation under the VEA and the MRCA. The Statement of Principles also incorporates the Diagnostic and Statistical Manual of Mental Disorders, Fifth Edition, Text Revision (DSM-5-TR) for clinical definitions and references. The obligations imposed by this Statement of Principles require claimants to demonstrate the existence of the specified factors and their connection to the relevant service. The Repatriation Commission and the Military Rehabilitation and Compensation Commission are mandated to assess these claims based on the medical-scientific evidence presented. The Statement of Principles facilitates the review of these decisions by the Veterans' Review Board and the Administrative Appeals Tribunal. Additionally, the Authority is required to ensure that the determination of these principles reflects the latest sound medical-scientific evidence. Any failure to adhere to the requirements set out in the Statement of Principles can result in significant consequences. For claimants, not meeting the specified factors could lead to the denial of claims for medical treatment and compensation. For the Repatriation Commission and the Military Rehabilitation and Compensation Commission, incorrect assessments could lead to judicial review and potential reversals by the Veterans' Review Board and the Administrative Appeals Tribunal. The penalties and consequences for non-compliance primarily revolve around the legal and administrative processes rather than direct financial penalties, as the focus is on ensuring that benefits are accurately and fairly provided to eligible veterans and service personnel. The Statement of Principles is designed to ensure that the human rights of veterans and service personnel are upheld and promoted. It does not derogate from any human rights and, in fact, supports the right to social security, an adequate standard of living, and the highest attainable standard of physical and mental health, as outlined in various international human rights instruments. The Statement of Principles ensures that these rights are exercised without discrimination, thereby promoting equitable treatment for all eligible claimants.

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Sourced from the Federal Register of Legislation at 26 August 2026. For the latest information on Australian Government law please go to https://www.legislation.gov.au.