A disability the insured does not recover from. This designation is usually given to the disability after six months.
Insurance Encyclopedia
Permanent contracts/policies
Life and income protection policies policies to which the insurer is committed for a number of years, e.g. 20 years or to age 65. Renewal is at the option of the insured only. The insurer comes off risk only when the agreed period has elapsed.
Permanent Disability
A situation in which the injured peso will not be able to work again.
permanent disability (PD)
In workers’ compensation cases, illness or injury (impairment of the normal use of a body part) expected to continue for the lifetime of the injured worker that prevents the person from performing the functions of his or her occupation, therefore, impairing his or her earning capacity. Permanent disability may be partial or total.
Permanent disability compensation
In workers’ compensation cases, indemnity payments to compensate an injured worker for impairment from an industrial injury or illness that lessens the worker’s ability to compete in the open labor market. It is not intended to replace wages or to compensate for pain and suffering.
permanent disability rating
In workers’ compensation cases, determination of the percentage of total disability of the injured worker. Considerations are the nature of the injury, occupation and age of the worker at the time of injury, and diminished ability to compete in the open labor market. The disability, not the pathological condition, is rated; thus a disease is not rated, but its permanent effect on the employee’s working capability is.
Permanent Health Insurance
This Insurance provides a weekly benefit in the event of disability from following any occupation, caused by accident or sickness. Payment of benefit maybe deferred for an agreed period, if required, but must continue to be paid up to a certain age limit provided the Policy is maintained by the insured until that time.
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See: INCOME PROTECTION.
Permanent health insurance (PHI)
insurance, on a group or individual basis, having a duration of at least five years and providing a benefit of a fixed amount or proportion of earnings for individuals prevented from working by sickness, accident etc.
Permanent impairment
In workers’ compensation, a disability that has become stable during a time period that allows optimal tissue repair but is not likely to change regardless of further therapy or surgery.
Permanent insurance
Life insurance policy that is valid for the entire life of the insured.