Term: disability insurance

Pronunciation: (dih-suh-BIH-lih-tee in-SHOOR-ents)

Description:

An insurance plan that pays some of a person’s income when he or she is disabled from an illness or injury and cannot work. The two main types of disability insurance are short-term disability (STD) and long-term disability (LTD). STD may last for up to 2 years. LTD usually begins after STD ends and may last for a person’s lifetime.