St. Clair Rule

Was just found unfit. 0% DOD, 100% VA.
I'm eligible for Disability Severance Pay. My understanding is the VA cannot recoup any of the severance in the future if the referred condition is increased.
Given this, should I apply for VA benefits and fight to get my referred condition increased to allow the St. Clair rule to get my taxes back on the DSP?

Am I understanding this correctly?
Thanks!
 
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