AD Banker Comprehensive Practice Exam

Under Workers' Compensation, a disability that is a permanent impairment leaving an individual incapable of performing their previous job, but capable of some work, is known as?

1. Permanent partial disability

2. Temporary disability

3. Residual disability

4. Recurrent disability

The correct answer is: Temporary disability

The situation described refers to a type of disability that is recognized under Workers' Compensation as a permanent impairment. This means that the individual is unable to return to their previous job due to the severity of the condition but is still capable of some form of employment on a limited basis. This aligns with the definition of permanent partial disability, which categorizes these cases where the individual's ability to work is not entirely lost, but they cannot perform their prior job functions. In Workers' Compensation, permanent partial disability is specifically defined to cover these types of scenarios. Individuals qualifying under this category can undertake different types of work, perhaps in a different capacity or with reduced hours, reflecting their ongoing capability despite their limitations. This framework helps to provide compensation that accounts for their reduced earning potential while encouraging rehabilitation and adaptation into the workforce.