The policy definitions of disability vary. E. Varying benefit periods. Some policies, for example, offer a lifetime benefit where the disability was caused by an accident, and to age 65 for disability caused by illness. Disability can last for a long time. The longer the period covered by the policy, the larger the premium.
Some policies pay benefits when earnings drop by a certain percentage due to a disability.
Also, some policies provide for partial, or residual disability benefits where the insured can perform some, but not all of his or her duties. When the employer owns the policy, the insurance benefits can provide reimbursement for the loss of the services of a disabled employee, and provide funds to hire and train a replacement.