What Is a VA Claim Shark? How Predatory Veterans Disability Companies Exploit Veterans

Understanding VA Claim Sharks

When Veterans file for disability claims through the Department of Veterans Affairs, they can become lost in the maze of paperwork and reports required by the VA to get a disability rating.

Veterans who go looking for help to complete forms or obtain nexus letters are sometimes targeted by a type of scammer known as “VA claim sharks.” These scam artists take advantage of Veterans’ need to get a high disability rating and the complexity of the system to charge excessive and illegal fees from their victims.

How Claim Sharks Make Money

Filing a VA disability claim form is free. It does not cost you anything to complete your forms and send them in. By law, no legal firm or claims agency can charge a fee to assist a Veteran with filing the initial paperwork for their disability claim. VA-accredited attorneys and claims agents may charge fees for representation provided after the VA issues notice of an initial decision on the claim, subject to VA’s fee agreement requirements.

Claim sharks are not accredited. They will charge high up-front fees and either charge additional fees during the process or take a percentage of the future award, something they cannot legally do. They may also make promises of quick settlements, or other grandiose claims, such as:

• Promising a higher VA disability rating
• Guaranteeing a faster VA decision or appeal
• Claiming to have an inside line to the VA decision-making process, or a special knowledge of the rating procedures
• Assuring you faster service because you are paying

These claims should be treated as warning signs. Paying a private company does not give a Veteran preferential access to VA adjudicators or guarantee faster processing.

Why Veterans Are Commonly Targeted

Although anyone navigating complex government regulations can become a target for scammers, Veterans may be especially vulnerable for several reasons. One involves a loophole in the law. While unaccredited organizations are prohibited from charging fees to file disability claims, doing so is not currently a federal crime. Congress has made several efforts to close this loophole, while 17 states have already taken action to address it.

Another factor is the growing number of Veterans filing disability claims following the passage of the PACT Act. The law expanded presumptive benefits for certain Veterans exposed to burn pits, Agent Orange, and other toxic substances. 

While these changes have helped more Veterans access benefits, they have also created more opportunities for claims sharks to target those navigating the disability claims process.

Accredited VA Advocates vs. Claim Sharks

VA-accredited attorneys, claims agents, and VSO representatives may assist Veterans with VA disability claims. Veterans cannot be charged a fee for help preparing or filing an initial disability claim. Accredited representatives understand the VA claims process and can provide guidance and representation throughout the case. 

If a claim is denied or needs to be appealed, an accredited law firm can provide an attorney experienced in handling VA disability cases. That attorney can help develop the appeal, present the Veteran’s arguments, and advocate on their behalf before the appropriate VA appeals body.

How to Protect Yourself and Your Family

If you need help filing a VA claim, don’t rely on flashy advertising or promises of guaranteed results. Before working with someone, verify that they are accredited by the VA. The VA provides an online Accreditation Search tool, and organizations such as the VFW also offer access to accredited representatives who can assist Veterans with claims.

If you believe you have been targeted by a claims shark, stop sharing personal or account information and contact the VA. If you gave someone access to your VA.gov account, change your login credentials. You can also cancel or change your representative by contacting the VA.

Suspected fraud or improper claims assistance can also be reported through:

• VSAFE: Call 833-38V-SAFE (833-388-7233) or report suspected fraud through VSAFE.gov. The VA currently directs Veterans who believe a representative acted unlawfully or unethically to this resource.
• VA Office of Inspector General (OIG): Call 1-800-488-8244.
• VA Office of General Counsel (OGC): Call 202-461-7699 for questions about filing a complaint involving VA accreditation or representation.
• Federal Trade Commission (FTC): Report suspected scams through ReportFraud.ftc.gov.

You should never have to pay someone a fee to file your initial VA benefits claim. Be cautious of anyone who demands payment for filing an initial claim, guarantees a particular disability rating, or promises to speed up the VA claims process.

Morgan & Morgan can help Veterans understand their options and review paperwork related to a VA disability claim. Contact us today for a free case evaluation.