Thousands of families across NC could be impacted

(WITN) — Health insurance coverage for thousands of families across our state is in limbo after a major provider announced they’ll be stopping operations at the end of June.

The NC League of Municipalities’ Health Benefits Trust will be winding down operations effective June 30th.

It offers health benefits, including medical, vision dental and life insurance to government employees and their families.

A good number of local governments are members of NC League, but they don’t all get medical insurance through the trust.

Our WITN First Alert Investigative Team has learned that, at least in the east, it’s predominantly smaller communities that will feel the impact, but the people affects adds up.

NC League says that statewide, this will affect about 6,500 subscribers and their dependents, which is an additional 1,500. That’s a total of around 8,000 people.

WITN called around to more than a dozens towns and cities in Eastern Carolina and learned that Grifton, Farmville, Plymouth and Maysville are on the search for health insurance coverage.

In a statement sent to WITN, the league gives more insight into its decision.

Since 1983, the Health Benefits Trust, also known as the Municipal Insurance Trust (the Trust), has provided North Carolina’s local governments with employee health benefits, including medical, vision, dental and life insurance. On Feb. 12, 2025, the Risk Management Services Board of Trustees voted to close the Trust and wind down its operations effective June 30, 2025. This decision was not made lightly and many factors contributed to it, including the rising prices of medical procedures and specialty drugs. The Trust has taken measures to ensure the smooth transition of services and is actively working to support our members.

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