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Guide to Employment Law. Currently, there is no federal law mandating employers to provide employees with health insurance coverage, and many states do not require employers to provide it or any other health coverage.
Updated for Tax Year 2014. OVERVIEW. The term employer-sponsored coverage refers to health insurance obtained through an employer -- the most common way Americans get insurance. Employer-sponsored coverage includes not only insurance for current employees and their families, but can also include retired employees. Further, federal law gives former employees the right to stay on their employer's health insurance, at their own expense, for a time after leaving a job.