In recent years Connecticut and other states around the nation have been preyed upon by a growing cottage industry of companies marketing themselves as “pharmacies” for workers' compensation patients.

The reality is, these companies are repackaging and dispensing common medications for workers' compensation injuries either directly or from nearby physicians offices at a significant cost hike to the employers and insurers who pay for the medications.

In some instances, medications are dispensed at costs which are thousands of percentage points higher than what is ordinarily available in retail pharmacies and for no reason than for alleged patient convenience.

These companies operate outside of the auspices of government oversight and regulations imposed on traditional pharmacies; they also typically offer physicians financial incentives for steering patients to the dispensaries.

The latest issue of Business Insurance magazine says the repackaging issue is among a number of practices that state legislatures will tackle this year.

Kia Murrell specializes in labor and workplace issues for CBIA. Reach her at .(JavaScript must be enabled to view this email address).