diff --git a/tests/test_multiturn_env.py b/tests/test_multiturn_env.py
index c2acbd00f..7ab009eaa 100644
--- a/tests/test_multiturn_env.py
+++ b/tests/test_multiturn_env.py
@@ -181,6 +181,43 @@ async def test_state_initialization(self, mock_multiturn_env):
         assert "responses" in state
         assert isinstance(state["responses"], list)
 
+    @pytest.mark.asyncio
+    async def test_state_initialization_allows_prompt_rewrite(self, mock_multiturn_env):
+        """Test that `set_state` allows for prompt rewriting"""
+        mock_multiturn_env.client.add_chat_response(
+            messages=[{"role": "user", "content": "Test state"}], response="Quick DONE"
+        )
+
+        prompt = [{"role": "user", "content": "Test state"}]
+        mutated_prompt = [{"role": "user", "content": "Mutated test state"}]
+
+        def mutate_prompt(state):
+            state["prompt"][0]["content"] = "Mutated test state"
+            return state
+
+        mock_multiturn_env.setup_state = mutate_prompt
+
+        completion, state = await mock_multiturn_env.rollout(
+            client=mock_multiturn_env.client,
+            model="test-model",
+            prompt=prompt,
+            answer="test_answer",
+            task="test_task",
+            info={"extra": "data"},
+        )
+
+        # Check prompt was mutated
+        assert state["prompt"] == mutated_prompt
+
+        # Check rest of state fields are initialized
+        # state["completion"] is initialized to [] but not updated during rollout
+        assert state["completion"] == []
+        assert state["answer"] == "test_answer"
+        assert state["task"] == "test_task"
+        assert state["info"] == {"extra": "data"}
+        assert "responses" in state
+        assert isinstance(state["responses"], list)
+
     @pytest.mark.asyncio
     async def test_immediate_completion(self, mock_multiturn_env):
         """Test completion detection on first turn."""
diff --git a/verifiers/envs/multiturn_env.py b/verifiers/envs/multiturn_env.py
index 631376854..b54c8289a 100644
--- a/verifiers/envs/multiturn_env.py
+++ b/verifiers/envs/multiturn_env.py
@@ -82,11 +82,16 @@ async def rollout(
         }
         start_time = time.time()
         state = await maybe_await(self.setup_state, state, **kwargs)
+
         if self.message_type == "chat":
             assert isinstance(prompt, list)
+            if isinstance(state["prompt"], list):
+                prompt = state["prompt"]
             completion = []
         else:
             assert isinstance(prompt, str)
+            if isinstance(state["prompt"], str):
+                prompt = state["prompt"]
             completion = ""
             state["responses_start_idx"] = []
         rollout = list(prompt) if not isinstance(prompt, str) else prompt