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Billing code J1837 · Pharmacy

J1837 Medicaid reimbursement rate by state (2026)

Injection, posaconazole, 1 mg. Medicaid pays a median of $0.34 for J1837 across 33 states, from $0.29 in Massachusetts to $1.01 in Iowa.

Data as of Oct 5, 202633 statesEvery rate links to its official source

States publishing
33
National median
$0.34units vary by state
Lowest
$0.29Massachusetts
Highest
$1.01Iowa
Answer

What does Medicaid pay for J1837?

33 state Medicaid programs publish a fee-for-service rate for J1837. The national median is $0.34 (units differ between states). Iowa pays the most, $1.01, and Massachusetts the least, $0.29, a 3.5x spread.

State ranking

J1837 rate by state: highest, middle and lowest

One like-for-like fee-for-service rate per state, ranked. The workspace lists all 33 states with every variant, modifier and effective date.

#StateMedicaid rateUnitPer hourManaged-care plans% of Medicare
1Iowa Source · since 2026-01-01$1.01——Plans must pay at least this—
2New Hampshire Source · since 2026-07-01$0.90——Plans negotiate; applies out of network—
3Indiana Source · since 2026-01-01$0.45unit—Plans must pay at least this—
16District of Columbia Source · since 2026-04-01$0.35——Not classified—
17Rhode Island Source · since 2026-07-01$0.34——Plans negotiate; applies out of network—
18California Source · since 2026-07-01$0.34——Plans negotiate; applies out of network—
32Idaho Source · since 2026-07-01$0.30——Not classified—
33Massachusetts Source · since 2026-01-01$0.29——Plans negotiate; applies out of network—
See all 33 states for J1837 — start free

25 more states, with every modifier and provider-type variant, rate history and the plan rule in each state. 14-day free trial, no credit card.

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Rates are per the unit shown for each state; units can differ between states. Medicare amounts are computed from the CMS relative value file and locality cost indices; states with several Medicare localities show a range. Confirm rates with the payer before billing.

Track J1837 in your states. Get an alert when any state changes it, with every variant and the managed-care rule.
Guide

How to read this table

  • Order. States are listed from the highest published rate to the lowest. No single unit is shared by 8 or more states for J1837, so the order is by published amount and is not a like-for-like rank.
  • Medicaid rate. The most the state's fee-for-service program pays for one unit, as published. 10 of the 33 states list more than one rate for J1837, by modifier, provider type or setting; the table shows the one that matches the provider level and setting used across states, without add-ons.
  • Unit. Of the 33 states, 1 publish J1837 per unit and 1 per 1 mg, and 31 schedules print no unit at all (a flat amount per service).
  • Per hour. J1837 is not billed in time units in these states, so no hourly figure is shown.
  • Managed-care plans. The rule the state sets for its plans on this rate. What each rule means is explained below.
  • % of Medicare. No Medicare physician fee schedule amount is on file for J1837, so there is no percentage.
  • Source and date. Each Source link opens the state's own document; “since” is the date the rate took effect.
Context

Why J1837 rates differ between states

Published rates for J1837 run from $0.29 in Massachusetts to $1.01 in Iowa, a 3.5x gap in the same unit. Half the states pay more than the median of $0.34 and half pay less. The usual reasons for a spread like this in pharmacy rates:

  • States differ in whether they pay a fixed fee, a percentage of a benchmark or invoice cost.
  • Drugs given in a practice or clinic are commonly priced from a benchmark such as average sales price or wholesale acquisition cost, which moves every quarter.
  • For children, many vaccines are supplied through the federal Vaccines for Children program, so the Medicaid payment can be for administration only.

Timing matters too. 33 states set the current rate for J1837 in 2026 or later. A state that has not updated its rate in years will drift down the ranking as others raise theirs.

Managed care

What managed-care plans pay for J1837

What a plan pays for J1837 is negotiated privately, but the state decides how much room there is to negotiate. Here is how the rules break down across the 33 states.

In 5 states, the published rate binds plans: a floor, a pass-through or a state-set rate. In 19 states, plans negotiate and the published rate is a benchmark or out-of-network default. The rule for the remaining 9 states is not classified yet.

  • Plans negotiate; the published rate applies out of network (19 states). In-network rates can be above or below the published rate. The published rate is the benchmark both sides know, and the fallback if no contract is signed.
  • Plans must pay at least the published rate (4 states). The published rate is your floor. Negotiate up from it, and if a plan pays less, the contract provision is the basis for a payment dispute.
  • The state sets the plan rate (1 state). There is little to negotiate on price. Contracting is about network participation, authorization and billing terms.

Plan-negotiated rates are never estimated here. To see the rule and its citation for a particular state, open that state's managed-care page, for example Iowa managed care.

Billing

Units and billing for J1837

J1837 is a HCPCS Level II drug code in the pharmacy line, billed mostly by practices and clinics that administer vaccines and drugs. J codes cover drugs that are not self-administered. One unit is the dose stated in the code, so a claim for a larger dose bills several units.

Drug codes are billed in units of the dose stated in the code, so a larger dose bills more units. Many states require the National Drug Code (NDC) on the claim alongside the billing code.

Before billing, confirm the rate, unit and any modifier with the state's current schedule or the plan: the amounts here are as published, not a guarantee of payment.

FAQ

Frequently asked questions

What does Medicaid pay for J1837?

It depends on the state. Of the 33 states with a published fee-for-service rate, the median is $0.34. Iowa pays the most ($1.01) and Massachusetts the least ($0.29).

Which state pays the highest Medicaid rate for J1837?

Iowa, at $1.01, effective 2026-01-01.

Which state pays the lowest Medicaid rate for J1837?

Massachusetts, at $0.29, effective 2026-01-01.

What unit is J1837 billed in?

Of the 33 states, 1 publish J1837 per unit and 1 per 1 mg, and 31 schedules print no unit at all (a flat amount per service).

Do managed-care plans pay the same rate for J1837?

Not necessarily. In 5 states, the published rate binds plans: a floor, a pass-through or a state-set rate. In 19 states, plans negotiate and the published rate is a benchmark or out-of-network default. The rule for the remaining 9 states is not classified yet. Each rule is cited to the plan contract, statute or notice in the workspace.