Joe Paduda Recaps Latest Research on Physician Dispensing

Studies show claims with physician dispensed drugs have longer claims duration, poorer outcomes, and higher costs.

Raleigh, N.C. (Sept. 30, 2014) – Worker’s compensation pharmacy expert Joe Paduda, principal of Health Strategy Associates, LLC and president of CompPharma, LLC shares the latest study results on physician dispensing of repackaged prescription drugs at the 19th Annual North Carolina Workers’ Compensation Educational Conference.  Scheduled from October 8 through 10, the conference takes place at the Raleigh Convention Center, 500 South Salisbury Street in Raleigh, NC.

Paduda discusses studies showing that physician-dispensed opioids lead to longer treatment durations and indemnity periods, poorer outcomes, and dramatically higher claims costs.

“The Workers’ Compensation Research Institute’s recent report on physician dispensing of drugs in Pennsylvania provides a clear warning to North Carolina’s employers and taxpayers,” Paduda says.  “Without effective controls on the practice of dispensing, Pennsylvania saw physician-dispensed medications increase from 17 percent of total drug costs to almost half within four years, due mostly to a huge markup in prices. Doctors were paid $7.89 per pill for generic Prilosec, compared to $0.67 per pill at Walgreens.”

Paduda also highlights patient safety risks that occur when physician-dispensed prescriptions bypass the safeguards provided by pharmacies and pharmacy benefit managers (PBMs).  Pharmacies can’t check prescriptions for interactions or provide counseling, and workers’ compensation PBMs cannot identify conflicts or monitor the total morphine equivalents patients receive when the transactions circumvent their systems.

Additionally, a Johns Hopkins-Accident Fund study suggests that physician dispensing may incent physicians to prescribe more opioids than necessary. “The number of physician-dispensed prescriptions for opioids was nearly triple that of claims with opioids filled through pharmacies,” Paduda said. 

Paduda presents at 9 a.m. on Thursday Oct. 9.  For more information or to register for the conference, please go to, call 386-677-0041 or email

Paduda is a nationally recognized expert in medical management with notable experience in pharmacy services in workers’ compensation. In addition to consulting with managed care organizations, employers, health care providers, private equity firms, and insurers, Paduda conducts surveys of workers’ comp payers on managing work comp pharmacy costs, opioid use, bill review systems and claims systems.

Web sites:,
Twitter: @Paduda

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Media Contact:  Helen Knight, King Knight Communications,,