No single term matters more to a disability contract than the definition of disability. The exam tests three common definitions.
Own occupation: the insured is considered totally disabled if, because of sickness or injury, they are unable to perform the essential duties of their own regular occupation. Under this definition, a surgeon who loses fine motor control qualifies for benefits even if they can work as a hospital administrator. This is the broadest, most favourable definition for the insured and generally applies during the initial years of a policy, or throughout the policy on the most comprehensive products sold to professionals.
Any occupation (regular occupation standard): the insured is considered totally disabled if they cannot perform the essential duties of any occupation for which they are reasonably suited by education, training, or experience. A surgeon who can work as an administrator would not qualify. This definition is more restrictive and is commonly applied after an initial own-occupation period (for example, after two years of benefits).
All disability (total and partial): some policies add partial and residual disability provisions. A partial disability benefit pays a reduced benefit when the insured can work in a limited capacity. A residual disability benefit pays a proportional benefit based on the percentage of pre-disability income lost.
Exam application: when a scenario describes a client who returns to part-time work during a claim, you need to identify whether the policy definition allows partial or residual benefits, and whether the transition from own-occupation to any-occupation triggers a loss of benefits.
Memory hook, "Own/Any/All": Own = your job, most generous. Any = any suitable job, more restrictive. All = captures partial returns to work.