The Costco Difference

For over 40 years Costco has been known for its corporate philosophy of providing goods and services at the lowest net cost, while also making sure that it takes care of its customers and providing the best service possible. 


This dedication to excellence and honesty which makes up the Costco brand, also extends to our approach to Pharmacy Benefit Management. 






See How We Can Make a Difference For You...






Why Costco Health Solutions?

  • Costco Health Solutions is a true “Pass-Through” model PBM. Our sole compensation is an administrative fee with no additional charges. We take no spread on the resale of drugs and pass through 100% of all rebates and any other sources of revenue.
  • Full spectrum of clinical cost management programs are included in the standard pricing at no additional cost to our clients.
  • Access to Costco Wholesale pharmacies which are well known as the low cost source for prescription medications is encouraged but not required. No Costco membership is required to use Costco pharmacies.
  • One point of contact for implementation, account management, reporting and any plan administration.
  • Carefully developed strategies to minimize specialty drug expenses.
  • Clear, concise PBM contract.
  • All aspects of Costco Health Solutions are fully auditable at the plan sponsor’s discretion.

Our History

 Costco serves more than 80 million loyal members and generates more than $110 billion in annual revenue by following one simple mission: to provide their members with the highest quality goods and services at the lowest possible prices. As a result of its persistence and success, Costco is highly regarded and frequently acknowledged as a pricing authority. The company experienced similar success when it turned its attention to lowering prescription drug costs.


Costco developed their own Pharmacy Benefit Manager (PBM) to simplify the process and lower pricing for its members. Costco does not engage in traditional, expensive marketing programs. It rejects the common industry practice of back-end rebate profit taking. Rather, Costco focuses on maximizing shareholder value as opposed to charging according to “what the market will bear”.


The result is a completely transparent, high-value-add addition to the Costco Health Solutions strategy. Costco is one of just a few PBMs that contractually guarantees that 100 percent of all earned pharmaceutical manufacturer-derived rebates, income and discounts will be returned to the plan sponsor.


By following the same core mission that has guided the company to success for more than 40 years, Costco’s straightforward, fully transparent, completely auditable pass-through PBM pricing model ensures the best possible value for its loyal members.






What we can do for you


Get a Free Consult: