Disability insurance provides indemnification to workers for loss of salaries resulting from disability caused by sickness or accident not related with their employment. The current rate is 0.60%. Both employer and employee share the tax burden evenly.

The disability insurance tax is imposed on the first $9,000 of wages and salaries paid during the calendar year by an employer to an employee. Any additional compensation paid thereafter in that year to the employee by the same employer is not subject to the tax. Employees subject to the chauffeur social security tax are not subject to this tax.

Every employer having one or more employees is subject to the tax, but a private plan may substitute it. The tax should be paid in the same manner and to the same place as the Puerto Rico Unemployment Insurance Tax. However, a separate check payable to the Secretary of the Treasury must also be accompanied with forms PRUI10 (Quarterly Unemployment and Disability Contribution Report and PRUI10A (Quarterly Report of Wages Paid to Each Employee).