Exclusion of certain reimbursements of medical expenses and other payments from determination of annual income with respect to pensions for veterans and surviving spouses and children of veterans

(a) In general Section 1503(a) of title 38, United States Code, is amended— (1) by redesignating paragraphs (6) through (12) as paragraphs (7) through (13), respectively; and (2) by inserting after paragraph (5) the following new paragraph (6): (6) payments regarding— (A) reimbursements of any kind (including insurance settlement payments) for medical expenses resulting from any accident, theft, loss, or casualty loss (as defined by the Secretary), but the amount excluded under this clause shall not exceed the costs of medical care provided to the victim of the accident, theft, loss, or casualty loss; and (B) pain and suffering (including insurance settlement payments and general damages awarded by a court) related to an accident, theft, loss, or casualty loss, but the amount excluded under this subparagraph shall not exceed an amount determined by the Secretary on a case-by-case basis;. (b) Effective date The amendments made by subsection (a) shall take effect on the date that is 180 days after the date of the enactment of this Act.