Are you seeking to learn about the meaning and definition of Disability Insurance Policy or coverage? If your answer is a big “YES”, then kindly follow this article to the end.

Meaning of Disability Insurance?

Disability or Incapacity insurance is a sort of insurance that will give salary in the event that a specialist can’t do their work and win cash because of a handicap. There are numerous sorts of Insurance companies that give various kinds of incapacity insurance policy.

Note that any of these and inability insurance company has set of rules helps them to determine what constitute disability. They also come up with how an individual may meet all requirements to get the incapacity advantage. This fundamental insurance is a key social justice idea.

See Also: Disability Insurance – Understanding Who Needs Disability Coverage

What are the Types of Disability Insurance

Below are the categories of  Disability insurance coverage:

  1. Short term disability insurance. Short term insurance policy  policies is the kind that offers worker a portion of their salary if they are unable to work for a short period. This is usually fixed for a period of three to six months.
  2. Long term disability insurance. Long term insurance has to do with offering a worker a portion of their salary if they are unable to work for a longer period. The period may extend above a period of over six months.

See Also: Long Term Care Insurance – Understanding long-term insurance cost

You should note that both short term and long term disability policies comes with a period called elimination period.
It is in this period that If a person becomes disabled, they must wait until the elimination period is over before they start receiving benefits. By implication, If they are able to work before the elimination period is over, the person will not receive a benefit.

See Also: Long-Term Care Insurance – Is Long Term Insurance Necessary (LTC)


In conclusion, we shall be giving you some tips and facts that you need to know about the Disability insurance and its definition.

Thanks for reading this article today on disability insurance definition – Learn the types of disability coverage policy. We trust that it gave you what you are looking for.

Disability Insurance Definition

You can decide to contact to learn more on the meaning and implications of Disability Insurance Coverage.

Lastly, Do you know that Disability insurance can replace your income if you’re injured or too sick to work. Follow Business Insider today to know if you need it.

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