The limitations associated with the conventional therapeutics have intended the use of controlled drug delivery systems. In recent years, the hydrogel technology has been an integral part of human health care. The pharmaceutical industry has been developing hydrogel based drug delivery system in an advanced manner by tuning the structure, shape and surface modifications of the biopolymera. The present review highlights the role of hydrogela in drug delivery. It also highlights the use of important polymers and their applications in drug delivery. In addition, the use of nanocompoaite hydrogels with reference to the inorganic and magnetic nanoparticles is also discussed.