North Carolina Treasurer Brad Briner has announced that most hospitals and clinics under the Atrium Health umbrella will be removed from the State Health Plan network starting next year. This move marks a significant escalation in a months-long dispute over healthcare pricing, affecting a plan that covers more than 750,000 state employees, retirees, and their families. As the largest healthcare chain in the state, Atrium operates extensively across Charlotte and Winston-Salem while currently pursuing a merger with Raleigh-based WakeMed to challenge regional giants like Duke and UNC Health.
The conflict stems from Briner’s efforts to manage a massive deficit within the State Health Plan reaching hundreds of millions of dollars. To stabilize the budget, the treasurer implemented premium hikes and a tiered provider system designed to incentivize members to visit facilities offering lower rates. Because Atrium did not meet these criteria, member costs were slated to rise. In response, Atrium launched a subsidy program intended to cover those additional costs for patients, though Briner fought the initiative in court, arguing it illegally interfered with the state’s financial management.
Despite losing an initial court battle over those subsidies, Briner decided to pull Atrium out of the network entirely to protect the plan’s solvency. He emphasized that his primary responsibility is ensuring the health plan remains viable as a benefit for teachers and public servants rather than allowing one hospital system to drive the entire organization into overwhelming debt through high costs.
For now, Briner suggests that current patients may not feel an immediate impact provided Atrium continues its promise to bridge the payment gap for its users. Describing much of the turmoil as bookkeeping occurring behind the scenes, he assured members they should expect their general coverage levels established over the summer to remain intact despite the administrative fallout between the two entities.
