Carolinas HealthCare System

Community Benefit Statistics

The total reported value of Carolinas HealthCare System's community benefit during 2013 was $1.54 billion.

This chart reflects the major categories of community benefit recognized by the North Carolina Hospital Association, in addition to bad debts. Figures are based on actual costs, not charges. The $1.54 billion figure represents the collective value of benefits attributable to the Total Enterprise during 2013, including Carolinas Medical Center, 15 other Primary Enterprise hospitals, and 23 other N.C. and S.C. medical centers and hospitals that were affiliated with Carolinas HealthCare System.

Carolinas HealthCare System
2013 Community Benefit Summary (in millions)
System Enterprise
Costs of financial assistance to uninsured patients $324
Bad debt costs by patients who do not pay for services $290
Losses incurred by serving Medicare patients* $563
Losses incurred by serving Medicaid patients* $161
Costs of community-building activities and other services that meet a strong community need but do not pay for themselves and would normally be cut based on financial considerations alone $56
Costs of professional medical education, research, and cash and in-kind contributions to local nonprofits and charities $146
Total value of uncompensated care and other community benefits during 2013 $1.54 billion
Total value of uncompensated care and other community benefits as a percentage of operating expenses 19.7 percent

*Medicare and Medicaid programs do not reimburse hospitals in a manner that compensates for the actual cost of treating their beneficiaries. Hospitals cannot turn these patients away or negotiate higher reimbursements. Government payers recognize this fact and expect hospitals to make up the difference through efficiencies and from other revenue sources. The financing of this unpaid government debt is considered a community benefit.

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