Liposomes are composed of phospholipids, the basic components of human cell walls. Liposome encapsulation improves a medication's bioavailability, which can extend treatment effects and reduce drug dosing. The therapeutic advantages of liposomal drug delivery, such as the ability of long-circulating liposomes to accumulate preferentially at disease sites, including tumors and sites of inflammation, are well recognized. In cases in which a single active has more than one liposome product available, formulation changes leading to differences in pharmacokinetics, toxicity, and clinical efficacy are described.