What the Arkansas PBM Ruling Means for the Industry

ProCare Rx Team • August 5, 2025

When Courts and Care Collide: What the Arkansas PBM Ruling Means for the Industry

A recent court decision in Arkansas has once again put pharmacy benefit managers (PBMs) under the spotlight. A federal judge ruled to block an Arkansas law that would have prevented PBMs from owning pharmacies. The reason? The judge said the law likely conflicts with federal rules.


To understand why this matters, it helps to take a step back.


PBMs help employers and health plans manage prescription drug benefits. That includes negotiating drug prices, building pharmacy networks, and setting reimbursement rates. In some cases, PBMs also own their own pharmacies, something critics say creates a conflict of interest.


Arkansas lawmakers tried to stop that by passing a law in 2023 that banned PBMs from owning pharmacies or making pharmacy referrals. Several PBMs pushed back, and the case ended up in court. In July 2025, a federal judge sided with the PBMs, saying the state law could not override federal regulations under Medicare Part D.


But that was not the only PBM headline in Arkansas. Just days before, state officials filed a major lawsuit against several of the largest PBMs, claiming they drove up costs and hurt local pharmacies by setting unfair reimbursement rates.


So, what does this mean for the rest of us?


It is a reminder that the pharmacy benefits world is changing fast. Employers and plan sponsors need PBM partners who do more than just follow the rules. They need partners who lead with transparency.


At ProCare Rx, transparency is not just a feature. It is a foundation. We give plan sponsors full visibility into pricing, contracts, and claims. That means no hidden fees. No backdoor deals. And no confusion about where your dollars go.


In moments like these, when laws are challenged and lawsuits are filed, clarity matters more than ever. When employers and health plans know exactly how their pharmacy dollars are being spent, they can make better decisions for their members.



Regulations may change. But our commitment to clear, ethical, and compliant service never will.


About ProCare Rx
ProCare Rx is a privately held, independent pharmacy benefit manager (PBM) that has empowered healthcare and self-insured organizations since 1988. We provide fully integrated, in-house solutions—including claims adjudication, clinical program design, pharmacy network access, cost containment, and data analytics—all supported in the U.S. Our flexible, transparent model serves self-insured employers, third-party administrators (TPA), brokers, health plans, health systems, managed care organizations (MCO), unions, workers’ compensation programs, Medicare, Medicaid, hospices, and other PBMs. With a proprietary technology platform, commitment to ethical operations, and a focus on lowest net cost, ProCare Rx delivers long-term value, clinical performance, and trusted pharmacy benefit partnerships.

Media Contact:
Marc Cohen, VP, Marketing and Sales
marketing@ProCareRx.com

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