What is the COBRA Benefit?

SET SEG has helped over 100 school districts obtain customized Group Long-Term Disability (LTD) insurance through Reliance Standard Life Insurance Company (RSLI). The information below pertains to those districts that selected the COBRA medical premium supplement feature with their LTD insurance.

The COBRA benefit will pay up to $1,200 per month toward an eligible disabled employee's medical premium when that employee has elected COBRA Continuation Coverage.* RSLI will pay the COBRA continuation premium to the district, regardless of what company provides the health insurance plan.

Details and Provisions

In order for RSLI to begin paying the COBRA premium to the district,the employee must elect to continue medical coverage through COBRA. A copy of the employee's COBRA Election Form must be submitted to SET SEG for processing. RSLI will pay the  COBRA benefit for up to 29 months if the employee continues to qualify.

See the COBRA topic for more details about COBRA administration.

* Important Note!

In order for RSLI to be responsible for the LTD claim and COBRA payment, the insured employee’s disability date must have occurred after the RSLI contract was authorized. LTD benefits for an employee who was disabled before the RSLI contract was authorized are payable by the previous LTD insurer. The disability date is the day on which the employee was first unable to work due to the disabling condition. It is not the date that the employee is eligible to receive LTD benefits.