Actually, this is not as egregious as it may seem. The law requires the VA to recoup from disability compensation an amount equal to the disability severance paid for the VA compensated disability. For instance, if a Veteran receives $40,000 in disability severance pay from the military for lose of a leg, the VA would recoup that amount from compensation for that particular condition only. They would not withhold compensation for any other condition for which he did not receive severance pay. This is in keeping with a long standing principle that a person is not due double compensation for a loss. Indeed, most accident insurance policies include a provision that any payment for treatment will be recouped from a tort claim for that same accident.
not sure I understand your explanation. Are you saying that if I lose a leg and get disability pay from the govt because I am 100% disabled that the VA gets to take that money?
Let me try again as I am having trouble even asking the question correctly. I get a disability payment from the VA for losing my leg. On top of that the Feds pay me disability until my death. So are you saying that the VA grabs this money back they paid me in a lump sum disability until my federal disability payments equal what my disability payment from the VA was? And, after they take my 40k from my federal payments the VA stops taking my money from my federal disability? Did I even ask the question correctly?