Partial Disability Benefits Versus Residual Disability Insurance Benefits

Posted on April 27, 2010 and updated April 12, 2018 in Disability Insurance, Insurance Types, Life Insurance Canada News 1 min read

There is often a lot of confusion surrounding the difference between a partial disability insurance benefit and a residual disability benefit.

Partial disability insurance benefits are paid to an insured person, who experienced a loss of time or duties as defined in their policy due to a partial disability, such as an injury that affects only one part of the body. The Insured person will be eligible for a flat percentage of their monthly benefit, generally a maximum of 50%. The insured does not have to prove a loss of earnings to qualify for this benefit.

Residual disability benefits, which are less common, cover an insured person who experiences at least a 20% drop in earnings due to less than total disability. The monthly benefit amount is based on a percentage loss of income.

For more details, please contact us at 1-866-899-4849 or visit our Disability Insurance Quotes page.

LSM Insurance
LSM Insurance

Hi Dhan,

Thanks for the note.

You would have to check the specifics of your policy contract. But if it has a partial diability benefit and you qualify you should be eligible for a flat percentage of your monthly benefit, generally to a maximum of 50%.

dhan kumari
dhan kumari

I have rheumatoid arthritis and is painful to work and i would like to know if i would be able to work part time and the rest be covered by partial disable benefit