Disability insurance can create a moral hazard problem by altering the incentives of insured individuals. Once covered, a person may have a reduced incentive to return to work after an injury or illness, as their income is partially protected. Furthermore, the insurance may inadvertently encourage individuals to report minor, difficult-to-verify ailments as disabling, because the financial consequences of being unable to work are diminished. This is a hidden action problem, as the insurer cannot perfectly monitor a claimant's true health status or their efforts to recover and rejoin the workforce.