Disability Insurance Terminology
Total disability - a condition meeting all of the following conditions:
- is due to injury or illness
- if necessary, you must be receiving the regular attention of a doctor.
- results in a loss of income of around 75% or more.
- results in you being unable to perform the important duties of your regular job and you are not engaged in any other occupation.
Partial disability - a condition meeting the following conditions:
- due to injury or illness
- if you are not totally disabled, but are engaged in a gainful occupation
- unable to perform one or more of the important duties of that occupation
- OR unable to perform the duties of that occupation at least 50% of the time.
Residual disability coverage - pays benefits according to how much income you have lost due to disability. These policies pay benefits even if you are not totally disabled and can work part-time. Your benefit will be based on the percentage of income you earn working part-time in relation to what you used to earn working full-time.