when an own occupation policy goes into effect the policyholder and the insurance carrier sign a contract that says the insurance carrier will pay the policyholder a monthly benefit if they become disabled but what determines a disability 
the key factor in an own occupation policy is how disabled is defined in an insurance contract because the definition of own occupation is very flexible persons covered under an own occupation policy may find another job and still receive full benefit payments under the own occupation disability insurance definition a policyholder will receive benefits if you are unable to work in your own occupation regardless of whether you find employment in another profession this language will typically look something like this you will be considered disabled if you are unable to perform the material and substantial duties of your occupation even if you are gainfully employed in another occupation the definition of own occupation depends on an important aspect of an insurance policy namely how the insurance contract defines disabled as a status sometimes if a person isn t working at the time they are disabled they will not be able to claim insurance under a conventional own occupation policy however if they are covered under a modified own occupational policy they will be covered under a modified policy the definition of disabled includes persons not working at the time of their disablement these types of insurance policies apply to highly trained individuals such as surgeons example of an own occupation policyconsider mark a surgeon who loves to do home improvement projects when he s not in the operating room one weekend mark s hand slips on a saw and his finger has to be amputated mark won t be able to do surgery anymore but may be able to work in another medical specialty or even a profession outside the medical profession under the own occupation insurance definition mark cannot perform the substantial duties of his occupation as a surgeon if mark had an own occupation disability insurance policy he would receive full benefits regardless of whether he chooses to work in another medical specialty or another profession altogether this is why own occupation policies provide the most flexibility for policyholders and are critically important for doctors to have 