Understanding VA Disability Rating Reductions

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7/11/20259 min read

VA disability compensation is meant to match the current impact of a veteran’s service-connected conditions. This means that in certain situations the VA can reduce a disability rating, but there are safeguards to protect veterans from sudden or unfair reductions. Below, we explain when rating reductions can occur, why they happen, and what due process protections apply, in clear terms for veterans and their families.

When and Why Can the VA Reduce Your Disability Rating?

Rating reductions generally occur when evidence shows a veteran’s service-connected disability has improved. The VA periodically schedules re-examinations for disabilities that are expected to improve over time. For example, if a veteran’s health has significantly improved thanks to treatment or recovery, the VA may determine that the disability is less severe than before and propose a lower rating. The goal is to ensure the monthly compensation reflects the veteran’s current level of impairment – not to punish the veteran, but to make sure benefits are fair and in line with the law’s requirements[1]. Even then, VA cannot reduce a rating based on a single snapshot of improvement; they must see that improvement is real and sustained, and that it leads to better functioning in daily life and work[1]. In short, a rating might be reduced if your condition gets better over time, or if a review exam finds that the disability’s impact is not as severe as when originally rated.

Other, less common reasons for reductions include situations like clear errors or fraud in the original decision. If the VA discovers that a rating was assigned in error or obtained through fraud, they can take action to correct it. Additionally, certain changes in status can affect payments (for instance, incarceration for a felony can lead to a temporary benefit reduction by law). However, such cases are exceptional. Generally, VA will not reduce your rating unless there is strong medical evidence that your condition has genuinely improved.

Legal Protections for Veterans (5-Year, 20-Year, and 100% Rules)

The VA cannot arbitrarily cut benefits – several important protections are in place to safeguard veterans:

  • 5-Year Rule (Stabilized Ratings): If you have had the same disability rating for five years or more, it is considered “stabilized.” In these cases, the VA cannot reduce your rating unless your condition has shown sustained, long-term improvement under ordinary conditions of life[2]. In other words, all evidence must indicate that the improvement isn’t just temporary[3]. This protects veterans from reductions due to brief or one-time improvements.

  • 20-Year Rule (Continuous Ratings): If a disability has been rated at a certain level for 20 years or more, the VA deems that rating “continuous.” By law, a continuous rating cannot be reduced below that level unless VA finds the original rating was based on fraud[4]. This is a very strict standard – it’s exceedingly rare for a 20-year rating to be reduced, as fraud must be proven[4]. Practically speaking, if you’ve had a rating for two decades, you can consider that percentage permanently protected from decrease.

  • 100% Ratings: Special rules protect veterans rated 100% disabled. The VA will only reduce a 100% rating if there is material improvement in the disability. It’s not enough for a veteran to feel a bit better or have a slightly improved test result – the overall mental or physical condition must have materially improved and be sustained[5]. If you’re unable to work due to the condition, you may retain a total rating through individual unemployability even if there’s some improvement[6]. In sum, a 100% rating stays in place unless substantial evidence shows lasting improvement in your health[5].

  • General Improvement Criterion: Even for ratings not yet at the 5-year mark, VA regulations require that actual improvement be shown before a reduction. The improvement must reflect an increased ability to function in everyday life, and VA must review your entire medical history and ensure any exam is thorough before reducing a rating[1]. These rules prevent reductions based on cursory exams or minor changes – the VA’s burden is to prove your condition really got better in a meaningful way.

These protections mean that ratings aren’t easily reduced. The VA cannot reduce long-standing or total disability ratings on a whim – they must follow the rules and have solid evidence. In fact, benefits are rarely ever stopped entirely. Once service connection for a disability has been in place for 10 years, VA cannot sever (terminate) that benefit except in cases of proven fraud or clear error[7]. So veterans who have been receiving compensation for a long time can be confident that their support won’t vanish without very serious cause.

Due Process: Notice and Your Rights Before a Reduction

Veterans are entitled to due process before any reduction takes effect. This means the VA must follow specific steps to ensure fairness:

  1. Advance Notification: If the VA believes a lower rating is warranted, they must first issue a written notice of the proposed reduction. This proposal letter will explain the reasons for the potential decrease and cite the medical evidence or exam results that show improvement. By law, the VA must give you 60 days after this notice to respond[8]. Nothing happens to your payments during this 60-day window – you continue to receive your current rate.

  2. 60-Day Evidence Period: During those 60 days, you have the right to submit additional evidence to show that your disability has not improved or that a reduction is not justified[8]. This is your opportunity to send in doctor’s reports, treatment records, or any other documentation that supports your current level of disability. The VA will consider any new evidence you provide before making a final decision. If you take no action and the evidence on file still indicates sustained improvement, the VA can proceed with finalizing the reduction after the 60 days are over[8].

  3. Option to Request a Hearing: Importantly, you also have the right to ask for a predetermination hearing within 30 days of the proposal notice[9]. This hearing is a meeting with a VA decision-maker (who was not involved in the initial proposal) where you can present your case in person or by phone. If you request a hearing in time, the VA will not reduce your benefits until the hearing is held and a decision is made[10]. In fact, your payments stay at the current level during the appeal hearing process (as long as the hearing request was within that 30-day window)[10]. The hearing gives you a chance to explain any extenuating circumstances and bring up supporting evidence or testimony before a final determination.

  4. Final Decision and Further Appeal: After considering any evidence and/or hearing testimony, the VA will issue a final rating decision. If they decide to go through with the reduction, the decision letter will outline the evidence and reasons. The reduction in payments will not become effective until at least the last day of the month following the end of the 60-day notice period in most cases[8]. In plain language, even after the final decision, the effective date of the cut is set such that you receive 60 more days (plus the rest of that month) at the old rate before the new lower rate kicks in. This built-in buffer helps prevent overpayments and gives you time to adjust. If you disagree with the final decision, you maintain the right to appeal it through the normal VA appeals process (for example, by filing a Higher-Level Review or Board Appeal within the required timeframe). The VA’s notice will include instructions on how to appeal. During any appeal, you may want to seek assistance from a Veterans Service Organization (VSO) or an accredited representative.

Bottom line: The VA must follow all these due process steps before reducing a rating. You have the right to be informed, the right to respond, and the right to be heard. These requirements exist to protect veterans – the VA cannot simply decide to lower benefits and do it overnight. They have to give you notice and a fair chance to challenge a proposed reduction[8][10].

How to Respond if You Get a Reduction Notice

If you receive a letter proposing to reduce your disability rating, don’t panic – and don’t ignore it. You should take action during the response period:

  • Read the VA notice carefully. It will state which condition is being considered for a lower rating, what new evidence (like a recent VA examination) suggests improvement, and the deadline to respond. Knowing the VA’s reasoning will help you target your response.

  • Gather supporting medical evidence. During the 60-day window, collect any medical records or obtain a letter from your doctor if possible. For example, if a VA exam report said your condition improved, but your private doctor disagrees or your daily life is still greatly affected, get that on paper. Submit buddy statements (lay statements) from family or friends if they can attest that your ability to function hasn’t actually improved. The goal is to show that your disability remains as disabling as before.

  • Submit your evidence to the VA in a timely manner. You can mail it or upload it (for example, through VA’s website) so that it arrives before the 60-day deadline. Keep copies of everything. If the evidence clearly supports your current rating, the VA may decide not to reduce your rating after all.

  • Consider requesting a predetermination hearing (and remember the 30-day deadline for that). If you feel that a face-to-face (or teleconference) discussion would help, or if you have additional context to explain, a hearing can be very useful. At the hearing, you (and/or your representative) can explain why the rating should stay the same. As noted, if you ask for a hearing in time, your benefits continue at the present rate until the hearing and final decision[10]. To request this hearing, follow the instructions in the proposal letter (usually you must write to the VA or call and state that you want a hearing regarding the proposed reduction).

  • Get help if needed. You don’t have to go through this process alone. It can be helpful to contact a VSO, claims agent, or VA-accredited attorney. These professionals are experienced in VA claims and can assist in preparing your response or representing you at a hearing. They can ensure you meet deadlines and present the strongest case to maintain your rating.

  • Stay engaged with the process. If the VA ultimately sends a final decision that does reduce your rating and you disagree with it, remember that you can appeal. The decision notice will tell you how (for example, you typically have one year to file an appeal under the VA’s modernized system). Many reductions can be successfully appealed if the veteran’s condition truly has not improved. The appeals process is another safeguard to correct any mistakes in the initial decision.

Key Takeaways

VA disability rating reductions are only supposed to happen in specific circumstances – primarily when a veteran’s condition has objectively improved in a sustained way. Why do they happen? Because the law requires that compensation levels stay aligned with a veteran’s current degree of disability, whether that means increasing, continuing, or (in these cases) decreasing benefits based on the evidence[1]. However, multiple protections exist to prevent unwarranted reductions. If your rating has been in place for a long time (5, 10, 20 years), it gains protected status under VA rules[3][4]. And no reduction can be made without the VA giving you due notice, time to respond with evidence, and an opportunity for a hearing[8][10]. Veterans also retain the right to appeal any final decision.

In practical terms, if you ever get a proposed reduction notice, you now know the road map: the VA must wait at least 60 days and consider your side of the story. Use that time to fight for the rating you deserve, armed with medical evidence and the knowledge of your rights. The system’s built-in due process requirements are there to ensure that you are treated fairly and that any changes to your benefits are justified and legally sound. By understanding the reduction process and the protections in place, you can better navigate the situation and make informed decisions to protect your earned benefits.

Sources:

  • U.S. Department of Veterans Affairs, VA News – VA cannot reduce a veteran’s rating without evidence of sustained improvement; long-standing ratings (5+ years) and 20-year continuous ratings are strongly protected from reduction[3][4]. 100% disability ratings require material improvement, not just minor changes, before any reduction[5]. Even unprotected ratings can only be reduced if there’s actual improvement in the veteran’s ability to function, based on a thorough review of all medical evidence[1].

  • 38 C.F.R. § 3.105(e) – This federal regulation outlines the procedure for rating reductions. It requires that veterans be given 60 days’ notice of a proposed reduction and an opportunity to submit evidence to show why the compensation should continue at the present level[8]. If no evidence is received in that period and no hearing requested, the VA will take final action and reduce the award no sooner than the last day of the month after those 60 days[8].

  • 38 C.F.R. § 3.105(i) – Veterans have the right to request a predetermination hearing within 30 days of a reduction notice. If a hearing is requested timely, benefit payments continue at the current rate until the hearing is held and a final decision is made[10]. The hearing must be conducted by a VA official who was not involved in the proposed decision, ensuring an impartial review.

  • 38 C.F.R. § 3.951(b) – This regulation, known as the 20-year protection rule, states that any disability rating continuously in effect for 20 or more years cannot be reduced except on proof of fraud[11]. This provides lifetime stability for long-term ratings.

  • U.S. Department of Veterans Affairs, procedural guidance – VA policy confirms that a rating in effect for 5+ years is considered stable; reductions in such cases require evidence of sustained improvement (not a temporary or episodic change)[3]. Additionally, if service connection has been in place for 10 years, it cannot be terminated (severed) absent fraud or clear error[7], and even then due process notice and the right to a hearing are required before termination[12]. These long-term protections ensure that veterans who depend on their benefits aren’t left unprotected against sudden loss of compensation.

[1] [2] [3] [4] [5] [6] [7] [12] Sec. Shulkin speaks on key VA priorities - VA News

https://news.va.gov/38456/sec-shulkin-speak-key-va-priorities/

[8] [9] [10] eCFR :: 38 CFR Part 3 -- Adjudication

https://www.ecfr.gov/current/title-38/chapter-I/part-3

[11] govinfo.gov

https://www.govinfo.gov/content/pkg/CFR-2011-title38-vol1/pdf/CFR-2011-title38-vol1-sec3-951.pdf