Report on California’s Formulary Shows Pharmaceutical Costs Declining

The Workers’ Compensation Insurance Rating Bureau of California has updated the cost impact evaluation of the Medical Treatment Utilization Schedule Drug Formulary, utilizing additional pharmaceutical transaction information in 2019 through the pre-pandemic period in 2020.

The findings are detailed in the WCIRB’s Cost Impact of California’s Drug Formulary – Two-Year Checkup research brief.

California’s drug formulary, which went into effect Jan. 1, 2018, is intended to reduce frictional costs in the workers’ comp system; restrict inappropriate prescribing, especially that related to opioids; and ensure that injured workers receive medically necessary medications in a timely manner.

Key findings include: