One night for whatever reason the green beam from the medic tool seems to come out of my torso instead of the actual tool. Both healing and rezzing. I've re-installed the game and the issue persists.
Made an NC character to test, and the beam seems to work fine on NC. Jumped back to TR, and the visual bug is still happening.
After lots of trial and error, I've figured out that the issue is 100% caused by having the NS Firebug melee weapon equiped.