Which term describes a condition leading to impaired ability to perform daily activities?

The correct term that describes a condition leading to impaired ability to perform daily activities is physically disabled. This term encompasses various physical limitations and disabilities that can hinder a person's ability to conduct routine tasks, such as dressing, bathing, and working.

While the other terms refer to different types of conditions, they define specific categories rather than encompassing the broader concept of impairments affecting daily life. Visually impaired pertains specifically to those with sight limitations, intellectually challenged relates to cognitive abilities, and chronically ill describes individuals with long-term health conditions that may not necessarily impact daily functionalities in a physical sense. Thus, the most encompassing term for an impairment affecting daily activities is physically disabled.