Health · Chapter 16 · Basics
Disability Income Insurance
Definition
Replaces a portion of earned income when accident or sickness prevents the insured from working — a specified benefit for a defined period. Restores economic position; never enhances it (total benefits can't exceed lost income).
In plain English
Insurance on your paycheck — the 'living death' risk where the earner survives but the income doesn't.
Easy to confuse with
These are what this term gets tested against — if you can't tell them apart cold, drill the contrast.
Related terms