It was the 1.58 update that changed the Difficulty Presets.
2 different places have control over Difficulty Preset settings like 3rd Person view: the individual player, the server owner.
It is important to note that you can not save custom settings to a preset with the same name as the defaults as Arma does not check difficulty settings in your profile or the server's unless the preset used is "Custom". (The default preset settings are located in a PBO and thus can't be altered.)
Note also that the Difficulty Preset options now are different than they used to be. 'Veteran', being the most difficult, is the equivalent of what 'Elite' was (basically, Hard Core mode).