Residual Disability

Frank has been out on disability and receives benefits under his current policy. His health has improved, but not enough for him to return to full time employment. He can work part time. He can continue to receive benefits at a reduced basis if his policy has which of the following provisions?

 Rehabilitative employment benefit

 Recurrent disability benefit

 Residual disability benefit

 Contingent disability benefit

Correct

Residual disability is when the insured has a total disability, but is allowed to return to work part time.

A residual disability plan is a form that is written that relies more on loss of earning than inability to perform duties