Transgender NC employees argue state health plan denies them necessary care

A lawsuit by former state employees and their children said they were denied coverage under the North Carolina State Health Plan for hormone therapy, counseling and health care related to gender transition.

A lower court ruled in 2020 that in denying that coverage the state had violated the rights of transgender employees.

Attorney John Knepper is representing the state. He said no one gets gender-affirming care, and that transgender employees are asking for special treatment.

“Every beneficiary in North Carolina’s state health plan receives coverage for the same health risk,” Knepper said. “This is no less true for plaintiffs who are transgender they receive the same coverage for every health risk.”

Senior counsel Tara Borelli, who heads the Transgender Legal Defense and Education, made arguments on behalf of several current and former state employees and their children. She explained why she disagrees with Knepper.

“Here is what’s wrong about that. Sure, if a transgender person has a broken leg the health plan will treat that,” Borelli said. “That doesn’t explain why they are discriminating in this very key important way against transgender people, denying them the same care and treatment as a matter of course.”

Borelli said the current state health care plan makes a difference between transgender and non-transgender.

“It ignores the fact that this singles out transgender people for exclusion,” Borelli said. “They’re trying to pretend that the exclusion of gender-affirming care that transgender people need that, ‘It just treats everybody the same,’ but that’s not the case at all.

“This singles out transgender people and it denies the care specifically that they need.”

State Treasurer Dale R. Folwell told WRAL News:

“The State Health Plan board has always had the authority to set benefits that do the most good for the greatest number of our members. This lawsuit is about requiring taxpayers to fund sex transition procedures.

“The facts are on our side and we hope the 4th circuit will apply the law and reverse Judge Biggs’ decision.”

No timeline was given Wednesday for a decision from the U.S. Court of Appeals to uphold or overturn the lower court’s decision.