Short answer: ERISA applies to most private-sector employers that sponsor health or welfare benefit plans, regardless of size, while government and church employers are generally exempt.
ERISA applies broadly to private-sector employers that establish or maintain employee benefit plans. This includes corporations, partnerships, limited liability companies, and nonprofit organizations that offer health or welfare benefits to employees.
There is no small-employer exemption under ERISA. If a private employer offers a group health plan or other covered welfare benefit, ERISA generally applies even if the plan covers only one employee. Employer size affects certain reporting obligations, such as Form 5500 filing requirements, but it does not determine whether ERISA applies.
Certain employers and arrangements are excluded from ERISA. Governmental employers, including federal, state, and local government entities, are generally exempt. Church plans and plans sponsored by religious organizations are also generally exempt unless they voluntarily elect ERISA coverage. In addition, benefit arrangements that cover only self-employed individuals with no common-law employees are not subject to ERISA.
Employers that are exempt from ERISA may still be subject to other federal or state laws governing health benefits, but ERISA’s specific requirements for plan documents, disclosures, and fiduciary duties would not apply.
Oversight and enforcement of ERISA’s employer coverage rules are handled by the U.S. Department of Labor.
Sources
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U.S. Department of Labor, ERISA – Health Plans
https://www.dol.gov/general/topic/health-plans -
Employee Retirement Income Security Act of 1974 (ERISA)
Content history
Originally published: March 27, 2025
Last reviewed: January 25, 2026