New VA Law EFFECTIVE July 1st — Predatory Claims Companies Are Furious (That's Good for Veterans)

Added: 2026-05-18

[00:00:00]The state of Virginia just made it illegal for claims companies to rip off veterans. And it's about damn time. It's called the SAVE Act, the Safeguarding American Veteran Empowerment Act. And it takes effect July 1st this year. And if you're a veteran in Virginia, this law is about to protect you from some of the worst predatory practices in the industry. So here's what this law does.

[00:00:28]No more charging veterans within their first year out of the military when they are most vulnerable. No more upfront fees that disappear whether they help you or not. No more charging you a percentage of your lifetime benefits. No more sending your private medical records to oversee call centers like in India and the Philippines. No more asking for your va.gov login credentials. No more guaranteeing you a specific rating that no one can actually promise you. In other words, no more treating veterans like they are a piggy bank. And let me tell you something. I have seen the headlines. I've seen the talking heads. Some people are saying this law is bad for veterans and a slap in the face. What? What? This law is one of the best things to happen for veteran protection in years. And I'm going to tell you exactly why.

[00:01:23]But first, let me tell you who's saying this is bad for veterans and why they're probably saying it. Here's the not so secret secret. There are claims companies out there that do not have your best interest at heart. They don't care about getting you the rating you deserve. They care about making money, your money. They see you, the veteran going through the disability process, as a free meal ticket because you're in need of help. You're at a vulnerable time. You're navigating a complicated system and you're looking for someone to guide you. And some of these companies, they prey on that. So, who do you think is going to hate this law? Who's going to say it's bad for veterans? Well, the companies that have been doing the predatory and exploitative practices this bill is trying to stop. Why?

[00:02:14]Because it hurts their bottom line. It hurts how they make money. It makes it harder for them to exploit veterans like they've been doing for years. And honestly, that makes my heart smile. I am Dr. Marshall Bar, an actual doctor, an Army Ranger, and a disabled veteran.

[00:02:30]I run a veteran disability company, and I support this law because protecting veterans from exploitation should be something everyone in this industry supports. And if a company's against this law, that tells you everything you need to know about that company. So, hit subscribe because I will keep you informed on the laws that protect you.

[00:02:52]Now, let me break down exactly what the SAVE Act does because every veteran needs to understand these protections.

[00:03:00]Now, before I get into the specifics of this law, let me explain why Virginia felt the need to pass it. There is an industry that's grown up around veteran disability claims. Some of it is legitimate, but some of it is not very helpful. And some of it is predatorial as hell. And here's what predatory looks like. A veteran gets out of the military. Within weeks, they're getting calls, emails, texts, hey, we can get you 100%. We can get you thousands in back pay. The company promises the world. The veteran signs a contract. And then they get charged a percentage of their backay. thousands of dollars, sometimes tens of thousands, or they are charged a percentage of their lifetime benefits. Do the math on that. A 100% rating over 30 years, that's over a million dollars. And some companies are taking five, 10% or even more. So, example two, here's another one. A veteran pays an upfront consultation fee, a few hundred non-refundable. The company does virtually nothing. Claim gets denied. veteran is out of that money and their and the response from the company is a well sorry we tried but no refunds or this a company asks for the veteran's va.gov gov login credentials. We need to access your records. Now they have access to your entire VA file, your medical records, your financial information, everything.

[00:04:28]The risk, well, what are they doing with all this access? Who else has it? Is it being sent overseas? You have no idea.

[00:04:38]And the worst exploitation happens in the first year after discharge. Veterans are transitioning. They are overwhelmed.

[00:04:45]They don't know the system yet. They don't know that accredited VSOs will help them for free. And predatory companies love that first year. They swoop in, make big promises, and lock veterans into contracts before they even know any better. This is why Virginia passed the Save Act because this exploitation was happening and it is still happening and someone needed to stop it. Now, let me show you exactly what protections this law provides. So, the first major protection in the SAVE Act is what I call shielding the sacred first year. So, here's the rule.

[00:05:25]Nonacredited companies cannot charge fees to veterans within one years of discharge. That first year is when you're most vulnerable. You're transitioning out of the military.

[00:05:37]You're figuring out civilian life. You might not even know what benefits you're entitled to yet. And that's exactly when predatory companies try to take care of you or take take advantage of you, I should say. They show up at transition assistance briefings. They advertise on military bases. They target service members who are about to separate. Sign up now. We'll start working on your claim before you even get out. And well, veterans fall for the trap. They signed contracts not realizing they could have gotten the same help for free from an accredited VSO. The SAVE Act says stop doing this. If you've been out of the military for less than one year, a nonacredited company cannot charge you fees. Period. There is only one exception. It's only if a veteran can sign a specific waiver. But that waiver has to clearly state that the veteran understands they are opting out of free accredited services that are available to them. In other words, before a company can charge you, they have to tell you that you could get this help for free somewhere else. This protects new veterans from being locked into expensive contracts when they don't know any better. And let me be very real here. There is no reason a veteran should pay for claims help in their first year out. There are too many free resources available. Accredited VSOs, the VA itself, free services literally everywhere. This law makes sure veterans know that before a company takes their money. Now, who does this protection hurt? Well, companies that have built their business model on swooping in during that vulnerable first year and locking veterans into contracts before they know any better. Good. Those companies should be hurt. But that's just the first protection. Let me tell you about the financial safeguards. The SAVE Act puts three major financial safeguards in place. So, let me walk through each one. So, financial safeguard number one, no more upfront fees, non-refundable intake fees, consultation fees, processing fees, whatever they call them, banned. Here's how the scam used to work. Companies would charge you $500 for a consultation or intake evaluation. They promise to review your case and develop a strategy.

[00:08:01]They take your money, they do a cursory review, maybe they file a claim, maybe they don't. Either way, if it doesn't work out, you're out $500. The Save Act says no. If a company wants to help you, they can't take your money upfront and then disappear. Financial safeguard number two is contingencybased pay only.

[00:08:23]Companies can only be paid if they successfully help you secure a rating increase. If they don't get you results, they don't get paid. This aligns the company's interest with your interests.

[00:08:36]So under the old model, a company could take your money whether they helped you or not. They had no incentive to actually succeed. Under the Save Act, no results means no pay. Now they have to actually help you make money. This weeds out the companies that were just collecting fees without delivering any value to veterans. Now, financial safeguard number three, the five times fee cap.

[00:09:04]And this one's huge. Let me explain what was happening before. Some companies were charging veterans a percentage of their back pay. Veteran, say, say veteran gets raided and they get a $50,000 check in backay. The company takes 20%. That's 10% out of the veteran's pocket. Now, some companies were charging a percentage of lifetime benefits. So, here's the math on lifetime. A 100% rating is about $3,900 per month. Over 30 years, that's over $1.4 million. A company charging even 5% of that, that's $70,000 from a veteran who needed help. That is not help. That is the definition of exploitation. The Save Act puts a hard cap on fees. Fees are limited to five times the monthly benefit increase. So let's say a company helps you go from 50 to 70%. That's roughly a $500 per month increase. Five time 500 is $2500.

[00:10:09]That is the maximum that they can charge you. Under the old model, that same veteran might have paid $10,000, $20,000, or even more. But now under the new law, the maximum would have been $2500.

[00:10:22]That's how you protect veterans from price gouging. So who does this hurt?

[00:10:27]Well, companies that were charging obscene percentages of backay or lifetime benefits. Well, good. Those practices were predatorial. They needed to be stopped. Legitimate companies that charge fair fees, they are fine. This does not affect them. The cap is reasonable for honest work. The only companies hurt by this are the ones that were overcharging veterans and they should be hurt. Now, let me tell you about the transparency requirements because this is where a lot of deception happens. The SAVE act requires something that should have been obvious all along, honesty. So, the transparency requirement number one is clear disclosure of non-affiliation.

[00:11:11]Contracts must clearly disclose in at least 12-point font that the company is not affiliated with the VA or any accredited service organization. Some veterans sign contracts thinking they're working with the VA or thinking the company is officially endorsed by the VA or thinking it's a veteran service organization like the VFW or American Legion, but they are not. They are private companies, but some of them deliberately blur that line. The Save Act says you have to tell veterans you're not the VA in clear readable print. No fine print games. Now transparency requirement number two is no more guaranteeing outcomes. And this one is massive. Some companies make promises like we guarantee you'll get to 100% rating. We'll double your rating or your money back. Everyone we work with gets a significant increase. But here's the truth. No one, and I mean no one, can guarantee you a specific rating. Not a company, not a VSO, not me, no one.

[00:12:15]Your rating depends on your medical evidence, your conditions, and how the VA evaluates your claim. A company can help you present your case, but they cannot guarantee an outcome. When a company guarantees a specific rating, they are lying to you. They are telling you what you want to hear to get you to sign a contract. The Save Act makes it illegal for companies to guarantee specific outcomes or benefit ratings. So if a company tells you, "We guarantee you'll get 100%." They are breaking the law. You need to walk away because that's a red flag. Legitimate companies will tell you the truth. We'll help you build the strongest case possible, but we can't guarantee what the VA will decide. That's honesty. That's what you should hear. Now, what these transparency requirements do is force companies to finally be honest before.

[00:13:11]So, the old way was a company could make wild promises, blur their relationship with the VA, and lock veterans into contracts based on deception.

[00:13:21]But now, they have to tell you who they are. They have to tell you they can't guarantee results in writing, in readable font. So, who does this hurt?

[00:13:31]Well, companies that built their marketing on deception and false promises, well, I say good deceptive marketing should not be how you get veterans to sign contracts. Now, let me tell you about the data and privacy protections because that was happening with veterans personal information, and it was terrifying. This section of the law should concern every veteran who's ever given their information to a claims company. So let me tell you what's been happening with your data. So data protection number one they ban on there is a ban on offshore processing. Some companies were sending veterans sensitive personal information like their medical records, their financial information, their social security numbers to overseas call centers. We're talking about call centers in countries with different data protection laws, different privacy standards, different levels of accountability. Here's the risk. Your PTSD diagnosis, your medical history, your service records, your financial information being processed by people in foreign countries who you've never met and have no accountability to you. The Save Act bans this practice. So sensitive personally identifiable information can no longer be processed in overseas call centers. Your information stays in the United States subject to US data protection law. So who does this hurt? Well, companies that were cutting costs by outsourcing veteran data processing overseas. Well, good. Veteran sensitive information should not be a costcutting measure.

[00:15:13]Now, data protection number two is no asking for login credentials. This one should make you angry. Some companies were asking veterans for their va.gov passwords, their login credentials. They would say, "We need access to pull your records." Let me be clear, no legitimate company needs your va.gov password.

[00:15:36]There are proper ways to access your records. You can either download them yourselves, you can authorize the company to request them through official channels, you can provide the company copies, but when a company asks for your password, what they're really doing is getting unrestricted access to your entire VA account, your medical records, your claims history, your financial information, your direct deposit details, and who's accessing it, where is it being stored, who else has access to this information? Well, the Save Act makes it illegal for companies to ask for or use a veteran's personal federal login credentials. If a company asks you for your VA.gov password, they are breaking the law and they're telling you exactly what kind of company they really are. Now, data protection number three is mandatory background checks. Any personnel accessing a veteran's medical or financial files must undergo comprehensive background checks. Listen, you're giving a company access to your most sensitive information. Don't you want to know the people handling that information have been vetted? Background checks ensure that the people accessing your data are not criminals, aren't identity thieves, aren't people who would misuse your information. The SAVE Act says if you're going to handle veterans data, you're going to do it safely. So, who does this hurt? Well, companies that were handling veteran data carelessly. Companies that were outsourcing to the cheapest option regardless of security. Companies that weren't vetting their employees. Well, good. Veterans data deserves maximum protection. Now, let me address something very important. who this law applies to and who it doesn't. So, I need to be clear about who this law actually affects because there's an important distinction. The Save Act applies to nonacredited private companies. So, if you're working with a private company that helps veterans with disability claims and that company is not VA accredited, these rules apply to them. This law does not change anything for VA accredited representatives, accredited VSOs like the VFW, American Legion, DAV, VA accredited agents, VA accredited attorneys. These groups are already under federal oversight. They already have rules. They already have accountability. The SAVE Act is specifically targeting the unacredited companies that have been operating without oversight and exploiting veterans. So, if you're working with an accredited VSO or representative, this law doesn't change your relationship.

[00:18:23]They were already operating under rules designed to protect you. The companies this law targets are the ones that were operating in the gaps, the ones without any oversight, the ones with no accountability. And honestly, if a company is upset about having to follow these rules, that tells you they were probably doing something wrong before.

[00:18:45]Now, let me address the people saying this law is bad for veterans. So, let me talk about the criticism of this law. I have seen the headlines. I've seen the talking heads. Some people are saying the Save Act is bad for veterans, that it limits options, that it hurts veterans ability to get help.

[00:19:07]Respectfully, that's just hot garbage.

[00:19:09]Let me go through each protection and ask a simple question. How does this hurt veterans? So, question number one, protecting veterans in their first year from being charged fees when free services exist. How does that hurt veterans? Question two, banning up banning upfront fees that disappear whether they help you or not. How does that hurt veterans? Question number three, requiring companies to only get paid if they actually help you. Hm, how does that hurt veterans? Question number four, capping fees so companies can't take 20% of your back pay. How does that hurt veterans? Question number five, requiring companies to disclose they're not the VA. How does that hurt veterans?

[00:19:53]Question number six, banning false promises about guaranteed ratings. How does that hurt veterans? Or keeping veterans data from being sent overseas.

[00:20:02]How does that hurt veterans? Or prohibiting companies from asking for your VA.gov password. How does that hurt veterans? Or requiring background checks on people handling your data. How does that hurt veterans? It doesn't. None of that does. Every single provision of this law protects veterans. Not one of them hurts you. The only people hurt by this law are the companies that were charging exploitative fees, making false promises, taking upfront money without delivering results, handling veteran data carelessly, and preying on newly discharged service members. Those are the companies hurt by this law and they should be hurt. So, when you hear someone say this law is bad for veterans, you need to ask yourself, who is saying it? What company are they associated with? How do they make their money? Because I promise you, the people complaining loudest about this law are the ones whose business model depend on the practices it bans. All you got to do is follow the money. The critics have a financial interest in this law failing.

[00:21:09]Listen, I run a veteran disability company that helps with the medical evidence to win your claim. I support this law because I believe in protecting veterans, not exploiting them. Any company that operates ethically should have no problems with these protections.

[00:21:26]If a company can't operate under these rules, what does that tell you about how they were operating before? And here's what I hope happens next. Right now, the Save Act only applies to Virginia. If you're a veteran in Texas, California, Florida, or any other state, this law doesn't protect you yet. But laws like this have a way of spreading. When one state passes consumer protection legislation that works, other states notice. Other legislators start asking, "Why don't we have that protection yet?"

[00:21:57]So, I hope Virginia becomes the model. I hope every state looks at the Save Act and says, "Our veterans deserve those protections, too." So, if you're a veteran outside of Virginia, talk to your state legislators. Share this law with them. Ask them why your state doesn't have these protections yet.

[00:22:16]Because the more states that pass laws like this, the harder it becomes for predatory companies to operate. They'll run out of places to hide. So imagine an industry where every company has to not charge veterans in their first year, only get paid when they deliver results, cap their fees reasonably, be transparent about who they are, and protect veterans data properly. That's not dystopia. That's an industry that's actually serving veterans instead of exploiting them. That's what the Save Act is moving us towards. And it's about damn time. So, if you're looking for a company that operates the right way, that doesn't charge exploitative fees, that doesn't make false promise, that actually has your best interest at heart, that is what I do and we do every day at Extera Health. We don't charge upfront fees. We don't take a percentage of your back pay. We don't promise you a specific rating. We don't ask for your va.gov password. We We write Nexus letters, independent medical opinions.

[00:23:18]We do claims roadmaps. We do CMP exam prep. We charge fair, transparent prices for honest work. And we charge the most affordable prices in the entire industry. It is a free consultation for a nexus letter. We will look at your situation and give you honest guidance because helping veterans shouldn't mean exploiting them. If you're interested in any of these services, the links in the description below. Now, quick summary.

[00:23:45]So, what is it? The SAVE Act is effective July 1st in Virginia and it protects veterans from predatory claims companies. It gives you a first year protection, so no fees within the within one year of discharge unless a waiver is signed. There's financial safeguards, so no upfront fees, contingency based pay only, and five times monthly benefit increase fee cap. There is now transparency. They must disclose nonVA affiliation. They cannot guarantee specific ratings. There is data protection. So no offshore processing, no asking for VA credentials and back background checks are now required. And this law applies to nonacredited companies. Accredited VSOs and reps already have federal oversight. Here's the bottom line. This law protects veterans. The only people it hurts are predatory companies. Virginia is the first. Hopefully every state follows.

[00:24:41]And I say about damn time. Now look, I have been in this industry. I've seen what companies do to veterans. I have seen the exploitation. I have been exploited before. I have seen the price gouging. I have seen the false promises.

[00:24:55]And honestly, it makes me angry because veterans deserve way better. Laws like the Save Act give me hope. They tell me that someone is actually paying attention. Someone is saying enough is enough. So if you're a veteran, know this. You deserve help that's honest.

[00:25:13]You deserve fees that are fair. You deserve companies that have your best interest at heart, not their bottom line. And if a company can't operate under the rules that the Save Act puts in place, they weren't operating honestly beforehand. So find someone else. Now, how do you actually spot a predatory VA claims company before you sign anything? Well, watch my next video on the red flags to look for and how to protect yourself from exploitation.

[00:25:41]Listen, I am Dr. Marshall Bar, Army Ranger, special operations combat medic, actual doctor, and disabled veteran. The SAVE Act protects veterans. The critics are wrong, and it's about damn time. So, stay informed, stay protected, and don't let anyone exploit you. I'll see you in the next video.