Compared to her previous earnings, disability benefits should be?

• A. The same.
• B. Less than 50%.
• C. Somewhat less.
• D. Somewhat more.

Answer: (C)

Disability benefits are designed to replace only part of a worker’s income, not the full paycheck. Private disability policies typically pay a fixed percentage of pre-disability earnings (often around 60%–70%), sometimes with a monthly maximum. Because the benefit is a portion of earnings rather than the entire amount, it will usually be somewhat less than what the person earned before becoming disabled. This structure helps cover essential needs while encouraging a return to work and keeps the coverage affordable for insurers. It wouldn’t normally match or exceed prior earnings, which is why “somewhat less” is the best choice.