Permanent Total Disability provides a lump sum benefit as a result of an accidental bodily injury or sickness. Permanent Total Disability is often referred to as “career ending disability” and is designed to replace both personal and what would have been future income.
Long-Term Disability policies (LTD) have a waiting period of several weeks to several months with a maximum benefit period ranging from a few years to the rest of your life.
A lump sum benefit payment will be paid if the insured person is permanently totally disabled. This benefit is often thought of as the career ending benefit to recoup the loss of future earnings. Benefits can be up to ten times annual income.