Military Compensation Scheme (MSC)
Developing and offering the appropriate Military compensation packages—including wages, health care, reenlistment bonuses, retirement, leave, dependent benefits, and survivor benefits—is necessary to attract and retain active duty and reserve personnel with essential skills. RAND has conducted extensive research to advise policymakers on developing compensation options to attract and retain a Military workforce capable of meeting a nation’s strategic goals.
Only a loved one, family, child, fiancé, sibling or who was placed as next of Kin is entitled to the Compensation Fund of a deployed Soldier.
Most Soldiers are deployed to dangerous parts of the world to maintain peace. The compensation plan which includes $500,000 cash monthly for 6 months and other entitlemenst are received on behalf of the deployed serviceman/woman.
The receiver can also request for other items aside cash which would be made available to him/her.
Notable military Leave policies
What type of claims can be made?
The MCS covers injuries or illnesses caused by service itself, as well as pre-existing injuries or conditions that have been worsened due to service.
There are two main types of financial awards under the MCS:
Lump Sum Payments
Under the MCS, individuals receive a tax-free lump sum for pain and suffering, with the amount determined by the severity of the injury or illness. These payments range from $1,236. If multiple injuries are sustained in the same incident, the Scheme provides compensation for each injury, up to the maximum of $650,000.
Guaranteed Income Payments (GIPs)
A Guaranteed Income Payment (GIP) is an additional income stream for tariff level 11 or above. This is:
- A tax-free, index-linked monthly payment for life
- Backdated, paid as an additional lump sum
The GIP is calculated as a percentage of the claimant’s final salary and is paid for life. It begins from the day after service ends (if claimed in service) or from the date of the claim if made post-discharge.
Challenges of the MCS Process
The MCS is designed to be a fair, transparent and accessible scheme, with the aim of enabling claimants to achieve the right outcome without legal assistance. However, in reality, navigating the Scheme can be complex, especially for those with severe injuries or mental health conditions.
Our experience shows that claimants often struggle to:
- Understand the evidence needed to support their claim.
- Know how or where to obtain this evidence.
- Present the evidence correctly to ensure the claim is not reduced or denied.
This can lead to claims failing or being awarded at a lower tariff level than they deserve. For example, many claimants acting alone may find their claim capped at tariff level 12, resulting in the loss of eligibility for GIP.
Obtaining the correct evidence and presenting it at the right time is critical, both to the final outcome and to minimise delays.
Why pick USMCP for Military Force claims?
Our team has extensive experience in handling armed forces claims, and we understand the specialist nature of the work carried out by members of the armed forces. We can help you understand what options are in place for you and how to get the best result. We deal with all cases on a no win, no fee basis, meaning you don’t have to worry about any additional financial worries while making a claim with us.
We understand that specialist evidence has to be pursued to make a successful claim, which often involves large amounts of technical documentation. Our solicitors can help you to navigate this by helping you to secure:
- Learning accounts
- LAIT reports
- Joint Service publications
- Standing orders
We know it may seem daunting to pursue a claim against the armed forces, for various reasons. However, your claim, and the compensation you are awarded as a result of your claim, may make a big difference as you look to move forward with your life after your injury.