The expectant reality star is "being held until doctors can slow down her contractions, minimize her pain and/or she goes into labor," a source tells PEOPLE.
According to TMZ, who was the first to report the news, Renee is six months into her pregnancy, which she announced on Instagram last month.
"She's being closely monitored right now and prepped for possible surgery," says the source. "If the surgery happens the baby has to come out, too – which will put everyone at risk."
According to the insider, doctors are doing everything they can to stop Renee from giving birth.
"The number one goal right now is to keep the baby from coming out," says the source. "As a little person giving birth to an average-sized child, she's already at high risk."
The source says production on the Lifetime show has stopped, and "family and friends have slowly shown up to her bedside as of last night."
Of Renee's husband Matt Ericson, the source says he is "freaking out."
"I've never seen him so distraught and beside himself," said the insider.
Renee and Ericson's marriage was a source of controversy last season, with the reality star's friends urging her to leave her husband on the finale.
The couple will be featured in an upcoming two-hour special, Little Women LA: Matt & Briana, and PEOPLE's exclusive and super emotional sneak peek at the episode featured a tearful Ericson apologizing to his pregnant wife for being unfaithful.
"Seeing Matt cry is never an easy thing," Renee tells the camera in the clip. "I understand he's hurting. I understand he's sorry. I understand all that, but I don't care."
Little Women: LA: Matt & Briana airs May 11 on Lifetime.