Formularies in workers compensation have the goal of ensuring injured workers are given the most appropriate medications for their conditions at the right dosage.

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Drug formularies started in the group health area and were primarily a way to reduce costs, since out-of-pocket expenses are involved. There are different tiers to guide the best drug for the patients with the aim of finding the one that is the least expensive. Because workers compensation does not typically include copays, the goal for many jurisdictions is clinical efficacy—finding the medication that will result in the best outcome for the injured worker and get them back to function and, ultimately, work.