To improve the resource utilization ratio and shorten the recovery time of the shared path protection with differentiated reliability (SPP-DiR) algorithm, an algorithm called dynamic shared segment protection with differentiated reliability (DSSP-DiR) is proposed for survivable GMPLS networks. In the proposed algorithm, a primary path is dynamically divided into several segments according to the differentiated reliability requirements of the customers. In the SPP-DiR algorithm, the whole primary path should be protected, while in the DSSP-DiR algorithm, only partial segments on the primary path need to be protected, which can reduce more backup bandwidths than that in the SPP-DiR algorithm. Simulation results show that the DSSP-DiR algorithm achieves higher resource utilization ratio, lower protection failure probability, and shorter recovery time than the SPP-DiR algorithm.