AZ HB2208

Pharmacy benefit managers cannot reimburse pharmacists or pharmacies less than their actual cost paid for prescription drugs or devices, with an exception for managers using ingredient cost reimbursement identical to Arizona's state medical assistance plan.

Professional dispensing fees must be paid separately at rates no less than those used in Arizona's state medical assistance plan and cannot be included in drug reimbursement calculations.

Pharmacists and pharmacies must have access to an appeal procedure for reimbursement rates, with appeals filed within seven business days of payment and decisions made within seven business days of appeal resolution.

If a pharmacist or pharmacy wins an appeal, the pharmacy benefit manager must adjust reimbursement, allow claim reversal and rebilling, apply findings to similarly situated pharmacies, and provide drug identification numbers or wholesaler information within seven business days.

Requirements apply to contracts entered into, amended, extended, or renewed on or after December 31, 2025, and do not apply to health and accident insurance coverage procured by the Arizona Department of Administration.