# Tenn. Code Ann. § 63-10-106: Reimbursement rates

> Tennessee · Statutes · In force

URL: https://www.frixlaw.com/law-library/statutes/STATE_TN_T63_C10_S63-10-106

## Section

- **Citation:** Tenn. Code Ann. § 63-10-106
- **Heading:** Reimbursement rates
- **Jurisdiction:** Tennessee
- **Kind:** Statutes
- **Status:** In force
- **Text as of:** August 14, 2026
- **Source:** Compiled text
- **Location:** TN Code / Title 63 / Chapter 10 / Section 63-10-106

## Text

No agreement between a program administrator and a pharmacy shall establish reimbursement rates or procedures that result in reimbursement rates for services rendered to persons covered by the plan that are less than the usual and customary rate charged by that vendor and paid by ordinary consumers for the same or similar services. This section does not apply to any agreements involving a pharmacy that is a member of an organized pharmacy network, such as a preferred provider organization (PPO) or a professional service administration organization (PSAO). Acts 1981, ch. 104, § 7; T.C.A., § 63-1056; Acts 1993, ch. 388, § 1; T.C.A. 63-10-306.
No agreement between a program administrator and a pharmacy shall establish reimbursement rates or procedures that result in reimbursement rates for services rendered to persons covered by the plan that are less than the usual and customary rate charged by that vendor and paid by ordinary consumers for the same or similar services. This section does not apply to any agreements involving a pharmacy that is a member of an organized pharmacy network, such as a preferred provider organization (PPO) or a professional service administration organization (PSAO).
Acts 1981, ch. 104, § 7; T.C.A., § 63-1056; Acts 1993, ch. 388, § 1; T.C.A. 63-10-306.

## Nearby sections

- [Tenn. Code Ann. § 63-10-101 Short title](https://www.frixlaw.com/law-library/statutes/STATE_TN_T63_C10_S63-10-101.md)
- [Tenn. Code Ann. § 63-10-102 Part definitions](https://www.frixlaw.com/law-library/statutes/STATE_TN_T63_C10_S63-10-102.md)
- [Tenn. Code Ann. § 63-10-103 Contract between pharmacy and program administrator](https://www.frixlaw.com/law-library/statutes/STATE_TN_T63_C10_S63-10-103.md)
- [Tenn. Code Ann. § 63-10-104 Cancellation of program benefits](https://www.frixlaw.com/law-library/statutes/STATE_TN_T63_C10_S63-10-104.md)
- [Tenn. Code Ann. § 63-10-105 Denying or withholding payment](https://www.frixlaw.com/law-library/statutes/STATE_TN_T63_C10_S63-10-105.md)
- [Tenn. Code Ann. § 63-10-106 Reimbursement rates](https://www.frixlaw.com/law-library/statutes/STATE_TN_T63_C10_S63-10-106.md)
- [Tenn. Code Ann. § 63-10-107 Applicability](https://www.frixlaw.com/law-library/statutes/STATE_TN_T63_C10_S63-10-107.md)
- [Tenn. Code Ann. § 63-10-108 Price level determinations](https://www.frixlaw.com/law-library/statutes/STATE_TN_T63_C10_S63-10-108.md)
- [Tenn. Code Ann. § 63-10-201 Short title](https://www.frixlaw.com/law-library/statutes/STATE_TN_T63_C10_S63-10-201.md)
- [Tenn. Code Ann. § 63-10-202 Practice of pharmacy](https://www.frixlaw.com/law-library/statutes/STATE_TN_T63_C10_S63-10-202.md)
- [Tenn. Code Ann. § 63-10-203 Statement of purpose](https://www.frixlaw.com/law-library/statutes/STATE_TN_T63_C10_S63-10-203.md)
- [Tenn. Code Ann. § 63-10-204 Definitions](https://www.frixlaw.com/law-library/statutes/STATE_TN_T63_C10_S63-10-204.md)
- [Tenn. Code Ann. § 63-10-205 Consultation on drugs by board to department of health](https://www.frixlaw.com/law-library/statutes/STATE_TN_T63_C10_S63-10-205.md)
- [Tenn. Code Ann. § 63-10-206 Sale of nonprescription drugs and devices](https://www.frixlaw.com/law-library/statutes/STATE_TN_T63_C10_S63-10-206.md)

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Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/STATE_TN_T63_C10_S63-10-106. Check the current official text before relying on it. Not legal advice.