A disability pension is a form of pension given to those people who are permanently or temporarily unable to work due to a disability. It is distinct from welfare. A disability pension is a form of pension given to those people who are permanently or temporarily unable to work due to a disability. It is distinct from welfare. An example of a disability pension is from a private or Public Pension Plan, or the Canada Pension Plan. Another example is Social Security Disability Insurance (SSDI) in the United States.