What kind of income comes from an employer's disability insurance and replaces wages missed due to disability?

Income received from an employer's disability insurance that replaces wages lost due to a disability is classified as disability income. This type of income is designed specifically to provide support for individuals who cannot work due to a medical condition or injury, ensuring they have a source of financial assistance during their recovery period.

Disability income is particularly tailored for this situation, making it distinct from other types of income. For instance, pension income typically refers to payments received from a retirement plan after an individual has retired, and social security income is a government benefit program designed primarily for retirees, disabled individuals, and survivors of deceased workers. Employment income refers to earnings from work performed but does not apply in this case since the individual is unable to work due to their condition. Therefore, the focus on providing financial support during periods of disability makes disability income the correct answer.