Pharmaceutical Wholesale Permit Bond

An Arizona Pharmaceutical Wholesale Permit Bond is a type of surety bond required by the Arizona State Board of Pharmacy for all businesses that wholesale prescription drugs in the state of Arizona. The bond amount is $100,000 and it protects the Arizona State Board of Pharmacy from any financial losses that may occur as a result of the bonded party’s noncompliance with the Arizona Pharmacy Practice Act. The cost of the bond is usually between 1% and 3% of the surety bond amount. Surety1 will shop its many markets to procure the right price at the right terms.

How to get an Arizona Pharmaceutical Wholesale Permit Bond

At Surety1.com we make it easy to obtain this surety bond. Our simple, three step process is:

1. Complete the easy to navigate and secure online application. ¹
2. Review the free, no obligation quote from one of Surety1’s professional surety bond agents, usually within one business day. ²
3. Sign some paperwork and pay the bond premium

Once these steps have been completed, the Arizona Pharmaceutical Wholesale Permit Bond will be shipped to the bond applicant.
^{1 -The name of the applicant on the surety bond application must match exactly the full legal business name of applicant for the permit. 2- Subject to underwriter approval, based on aggregate surety bond exposure, additional underwriting information may be required}

Surety1.com is a service of AssuredPartners one of the largest and fastest growing insurance agencies in the nation. Representing over a dozen surety bond companies, Surety1.com is the premier online provider of surety bonds nationwide since 2003.

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Who needs this surety bond?

All businesses that wholesale prescription drugs in Arizona need an Arizona Pharmaceutical Wholesale Permit Bond. This includes:

• Wholesale drug distributors
• Pharmaceutical re-packagers
• Reverse distributors
• Wholesalers of over-the-counter drugs
• Out-of-state wholesalers who sell drugs into Arizona

What does this bond do?

An Arizona Pharmaceutical Wholesaler Bond serves two primary functions:

1. Protects the Arizona State Board of Pharmacy: The bond acts as a financial guarantee to the Arizona State Board of Pharmacy (ASBP) that a licensed pharmaceutical wholesaler will comply with all applicable laws and regulations governing the wholesale distribution of prescription drugs in Arizona. This includes:
   • Maintaining proper licensing and permits
   • Following safe and secure storage practices
   • Only distributing drugs to authorized persons
   • Complying with labeling and recordkeeping requirements
   • Reporting adverse events and product recalls

If the bonded wholesaler fails to comply with these requirements and causes financial harm to the ASBP or the public, the ASBP can file a claim against the Arizona Pharmaceutical Wholesaler Bond for compensation. If the surety company pays a claim on the bond, it will seek restitution from the bond principal (licensee).

2. Protects the public: The bond also provides a level of protection for the public by ensuring that prescription drugs are distributed safely and legally. If a patient suffers harm due to the negligence or misconduct of a bonded wholesaler, they may be able to file a claim against the bond to recover damages. Here are some specific examples of how an Arizona Pharmaceutical Wholesaler Bond can protect the public:
   • If a wholesaler distributes counterfeit drugs, the bond can be used to compensate the victims.
   • If a wholesaler distributes expired drugs, the bond can be used to reimburse the costs of medical treatment.
   • If a wholesaler fails to properly report a drug recall, the bond can be used to compensate patients who are harmed by the recalled drug.

Overall, the Arizona Pharmaceutical Wholesale Permit Bond plays a vital role in ensuring the safety and integrity of the pharmaceutical supply chain in Arizona. It protects both the financial interests of the ASBP and the health and safety of the public.