Form De 1378l - 2005 - Information Concerning Elective Coverage Of Disability Insurance* Only Under Section 709 Of The California Unemployment Insurance Code (Cuic) Page 2

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4.
ELECTION OF COVERAGE
An application for elective coverage is filed by a public entity or Indian tribe on form
DE 1378M, which is furnished by this Department. The electing entity agrees to remain a
covered employer for not less than two complete calendar years. Coverage may be
terminated at the end of the two-calendar-year period or at the end of any calendar year
thereafter by giving the Department written notification by January 31 of the succeeding year.
5.
CONTRIBUTIONS REQUIRED UPON APPROVAL OF AN ELECTION
Employee contributions for disability insurance are required at the rate established for each
year up to the annual taxable wage limit. On or before October 31 of each year, the
Department will notify all employers of the adjusted rate for the following year.
Employee contributions are used exclusively to finance the state disability insurance program.
Deductions for employee contributions should be made at the time wages are paid.
6.
QUARTERLY REPORTS REQUIRED
Wages are reported on the Quarterly Wage and Withholding Report (DE 6) that is mailed by
the Department in advance of the quarterly due date. Contributions are sent with a Payroll
Tax Deposit (DE 88) coupon. Instructions for completion of the report and paying the
employee contributions for disability insurance are printed on the forms.
7.
POSTING OF NOTICES TO EMPLOYEES
Every employing unit shall post and maintain the printed notice (DE 1375C, Notice To
Employees Elective Coverage Application For State Disability Insurance) of such election or
application on the premises. Individual employees shall be given two reasonable
opportunities to file objection or to be heard in the matter prior to the Director’s approval of
election.
8.
BENEFIT ELIGIBILITY
NOTE: Eligibility for state disability insurance benefits** under the CUIC does not begin with
the commencement date of coverage. Generally a minimum of seven (7) months
must elapse from the commencement date of coverage before a valid claim may be
filed based solely on wages reportable under your election.
Eligibility for disability insurance benefits is determined by the Employment Development
Department pursuant to requirements of the CUIC and authorized regulations. Eligibility is
dependent on a number of factors including, but not limited to, the following:
(a)
Proof of the claimant’s eligibility.
(b)
Filing of a timely claim for benefits.
(c)
Sufficient wages in the base period.
For additional benefit information and an explanation of base period "wages," see the pamphlet,
State Disability Insurance Provisions, (DE 2515).
**Includes PFL benefits beginning January 1, 2004.
DE 1378L Rev. 14 (3-05) (INTERNET)
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