Family-owned since 1982, based in Santee. CBIS sets up group health, dental, vision, life, disability and Section 125 plans for California employers, from the owner plus 1 employee to groups of about 250, with a named CBIS contact for each account.
Short-term and long-term disability coverage
Group disability insurance usually comes as two separate plans: short-term and long-term.
- Short-term disability: helps replace part of an employee’s income after a covered disability, once the plan’s waiting period ends. It pays for a set period of time after an injury or illness.
- Long-term disability: helps provide income when a disability lasts for years. The waiting period before payments begin is usually longer, and the insurance company and plan set how long.
Why employers offer disability coverage
Most employees rely on their paycheck to pay the bills. If an illness or injury keeps someone from working, group disability coverage can replace part of that pay. It also gives you something extra to offer when you’re hiring or trying to keep good people. You can pay for the coverage yourself, split the cost with employees, or offer it as a voluntary, employee-paid benefit.
How disability coverage works with California SDI
Most California employees are already covered by State Disability Insurance (SDI), a state program run by the EDD and funded through employee payroll deductions. SDI replaces part of wages for a limited time. Group short-term disability is often set up to work alongside it, while long-term disability picks up when an absence runs longer. How a given plan coordinates with SDI depends on the carrier and the plan.
What CBIS does for employers
We compare group short-term and long-term disability plans from several insurance companies, then explain how each one works with SDI.
For employer plans, we can handle enrollment, new hires and changes in Employee Navigator, our online benefits system.
Call or text CBIS at (858) 283-7575 with questions, or get a benefits quote. If you’re looking for coverage for yourself, a licensed agent can help with that too.
Common disability insurance questions from employers
Don’t California employees already have SDI?
Most do. But SDI only replaces part of wages, and only for a limited time. Many employers add group disability to cover a bigger share of an employee’s pay or to cover longer absences.
Are disability benefits taxable?
That turns on who pays the premium and how. When the employer pays, or when employees pay pre-tax through a Section 125 plan, benefits are generally taxable to the employee. When employees pay with after-tax dollars, benefits are generally not taxable. Your CPA or tax professional can confirm how this applies to you.
Can disability be offered as a voluntary benefit?
Yes. The employer can pay for it, share the cost with employees, or have employees pay the full premium through payroll deduction.