Physician-dispensed drugs add to workers comp claim costs: CWCI

Medical benefits for California workers compensation claims that include physician-dispensed medications cost 17% more than claims that don't include physician-dispensed drugs, according to a study by the California Workers' Compensation Institute.

The Oakland, Calif.-based organization analyzed more than 1.3 million open and closed workers comp claims in California between January 2002 and December 2011. Paid medical benefits for claims with physician-dispensed drugs cost $6,017 on average, compared with $5,145 in medical benefits for claims without physician-dispensed prescriptions.

Comp claims with physician-dispensed drugs saw an average of $4,455 in paid indemnity benefits during the study period. That figure compares with $3,937 in average indemnity benefits for claims without repackaged drugs, CWCI said.

The institute also said that repackaged drug claims are correlated with longer return-to-work times. Claims with physician-dispensed drugs averaged 44.1 paid temporary disability days, compared with 40.5 days for claims without repackaged prescriptions, according to the study.