Survivors Who Lost Benefits to Scams Will Be Reimbursed Under MOAA-Backed Law

Survivors Who Lost Benefits to Scams Will Be Reimbursed Under MOAA-Backed Law
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A bipartisan bill signed by the president last month will ensure survivors don’t lose VA benefits if a veteran passes away before a fraud case is resolved.

 

The MOAA-supported Restoring Benefits to Defrauded Veterans Act (H.R. 4190) requires the VA to reimburse a veterans’ estate for benefits misused by a fiduciary should a veteran die before such payments are processed. A VA report from 2021 found more than 100 such cases from Jan. 1, 2018, through Sept. 30, 2019, and under previous law, survivors lost out on these repayments.

 

Veterans Benefits Administration personnel fielded more than 12,000 “allegations of misuse” during that period, per the report. The reimbursement process is prone to delays; the report highlighted one case where a beneficiary recouped more than $20,000 in misused funds after a 19-month wait.

 

“Today, countless families will be able to claim the money they’re due,” said Rep. David Trone (D-Md.), who co-sponsored the House legislation alongside Rep. Juan Ciscomani (R-Ariz.). “The passage of this bill into law is a reaffirmation of our commitment to protecting and honoring our veterans.”

 

[UPDATED MONTHLY: MOAA's Surviving Spouse Corner]

 

Sens. Joe Manchin (D-W.Va.) and Tommy Tuberville (R-Ala.) sponsored their chamber’s version of the legislation.

 

The new law represents one of many ways MOAA seeks to protect members of the wider uniformed services committee from financial fraud. This includes work to combat VA “Claims Sharks” as well as frequent MOAA.org articles, a web series on scam avoidance, and recorded webinars (available to Premium and Life members):

 

Learn more about MOAA’s financial resources at this link.

 

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About the Author

Kevin Lilley
Kevin Lilley

Lilley serves as MOAA's digital content manager. His duties include producing, editing, and managing content for a variety of platforms, with a concentration on The MOAA Newsletter and MOAA.org. Follow him on X: @KRLilley