US HB6885

Amends Section 1503(a) of title 38, United States Code to exclude certain payments from annual income calculations for VA pension eligibility for veterans, surviving spouses, and children of veterans

Excludes reimbursements (including insurance settlements) for medical expenses resulting from accidents, theft, loss, or casualty loss, capped at the actual costs of medical care provided to the victim

Excludes pain and suffering payments (including insurance settlements and court-awarded general damages) related to accidents, theft, loss, or casualty loss, with exclusion amounts determined by the Secretary on a case-by-case basis

Takes effect 180 days after enactment

Introduced December 18, 2025 by Rep. Moskowitz and referred to the House Committee on Veterans' Affairs