Health Insurance

Costco Health Insurance: What it is & What it Costs

Madeline Hlobik03 Aug 2021

Costco is a consumer hub with various offerings; food samples, toiletries, realtor insurance policies, and health insurance. Costco has a health insurance plan and marketplace where clients can view and compare prices for different health insurance lines. To do this, Costco recently merged with Custom Benefits Consultants, Inc (CBC). The average monthly cost for Costo Health Insurance ranges between $335 and $712, depending on what state you live in.

In addition to Costco health insurance, Mira is an affordable alternative to health insurance that offers guidance on plans and membership for all individuals (regardless of whether they’re employed) to receive healthcare services at just $45 per month. Sign up and get access to affordable healthcare coverage within a day! 

What Costco Health Insurance is

Costco health insurance is a relatively cheaper way to access healthcare for the unemployed or self-employed. To purchase Costco health insurance, you must be a Costco member. From here, you have access to buy Costco health insurance through well-known providers such as Blue Cross Blue Shield or Oscar. By being a Costco member, you will have access to additional discounts or benefits on some of these plans.

Costco initially partnered with Aetna for their health insurance line, as Aetna handled all policy writing. Additionally, it was supposed to be utilized mainly as a way for small business owners to simplify their company. Costco has now partnered with the CBC, an insurance broker whose role is to match Costco member business owners with the leading medical insurance providers who offer health insurance plans. Because of this, Costco health insurance can now be provided. Thus individuals, families, and both large and small businesses. 

Since joining forces with the CBC, they have also created a “marketplace” for Costco members. Through this marketplace, members can view unique plans and get a quote online; this has eased obtaining healthcare for many Costco members, as it allows them to compare different plans and prices on one platform.

How Much Costco Health Insurance Costs

The price of Costco Health Insurance tends to vary by state. The average monthly cost for Costo Health Insurance ranges between $335 and $712. Take a look at this graphic below for more information about the price of Costco Health Insurance in your local region:

Healthcare you can afford.

Insurance: expensive, confusing, unreliable.

Mira: not insurance. 😄

StateAverage Monthly Health Insurance RatsAverage Annual Health Insurance Rates
National$495$5,940
West Virginia$712$8,540
New York$701$8,413
Wyoming$670$8,039
Vermont$649$7,786
Louisiana$629$7,545
Nebraska$615$7,379
Massachusetts$599$7,184
California$588$7,056
Alaska$572$6,869
Nevada$566$6,792
South Dakota$561$6,730
Missouri$548$6,572
New Jersey$543$6,521
Oklahoma$539$6,464
Florida$528$6,336
North Carolina$521$6,247
Illinois$517$6,203
Alabama$514$6,163
Delaware$513$6,154
Kansas$511$6,138
Connecticut$505$6,062
Tennessee$495$5,937
Texas$492$5,900
Arizona$490$5,877
Georgia$489$5,874
Mississippi$485$5,821
Utah$477$5,730
Idaho$477$5,723
Kentucky$470$5,641
Oregon$467$5,603
South Carolina$462$5,550
Indiana$462$5,543
Wisconsin$461$5,527
Iowa$451$5,411
Montana$449$5,393
Pennsylvania$449$5,218
Hawaii$446$5,353
Virginia$443$5,318
Ohio$435$5,223
Maine$431$5,172
Arkansas$426$5,112
Rhode Island$417$4,999
North Dakota$410$4,923
Michigan$402$4,828
Washington$394$4,734
Colorado$377$4,524
Minnesota$362$4,340
New Mexico$350$4,196
Maryland$344$4,122
New Hampshire$335$4,024

Source: https://www.thetruthaboutinsurance.com/costco-health-insurance-review/ 

How Costco Health Insurance Works 

To sign up for Costo Health Insurance, first visit their website, which will take you to the Costco health insurance marketplace. From here, you will be asked to enter key information about either yourself, your business, or your employees. 

This will generate a variety of customized health insurance plan quotes based on the information you inputted. After viewing these quotes, a healthcare ambassador will be available by phone or online to chat to answer any remaining questions you may have. According to Kenneth Bahl, principal with Custom Benefit Consultants, Inc., in Las Vegas,  “The process is simple. [...] In most cases, our system will return an automated quote from the carriers and plans in your specific area. You can sort through these quotes based on your own criteria, such as monthly premium, deductible amounts, or plan types."

Advantages and Disadvantages of Costco Health Insurance

Like all health insurance plans, there are various pros and cons to weigh when using Costco health insurance and the marketplace. To begin, Costco health insurance allows for members who are currently unemployed or whose work does not allow them to qualify for healthcare benefits to have access to health insurance. This is a huge advantage to utilizing Costco health insurance, as it serves as a way for all folks who are members to obtain some form of medical care.

Introducing Mira

Imagine Costco but For Healthcare. $45/month. No catch.

Additionally, you can also get Costco health insurance if you are self-employed or feel like the health insurance plan your work offers you are out of budget. This shows Costco’s health insurance flexibility and makes it easier for individuals to upkeep their basic medical needs. Through the Costco marketplace, you also will be able to get a quote quickly and view a side-by-side comparison of different plans. This feature breaks down your and your dependents’ needs in both an easy and digestible fashion.

One final benefit of utilizing Costco health insurance is that Costco has a partnership with Health Advocate, a company that helps individuals understand the health insurance industry. Through this partnership, Costco can be able to match you with a personal health advocate, who is typically a registered nurse. With this feature, you will have access to someone who will know the best hospitals, doctors, treatment methods and who knows how to resolve billing mishaps. 

On the other hand, though, Costco's health insurance plans may be too simple for individuals with complex financial and medical needs. Thus, different insurance companies may offer more flexible plans that would better suit these needs. Some users have stated that Costco and the CBC do not provide much in-depth guidance regarding utilizing the marketplace. This could make it more challenging to evaluate what you want out of a health insurance plan and decipher what each plan entails. Lastly, Costco health insurance is unfortunately only open to Costco members for purchase. Thus it may save some individuals who do not hold membership money by purchasing a health insurance plan elsewhere.

In short:

Advantages:

  • Can access health insurance if your work doesn’t allow you to qualify for health insurance, you’re self-employed,  or you find that your work plan is too expensive.
  • Can access your own personal health advocate
  • Can access the easy-to-use marketplace

Disadvantages:

  • Must have a Costco membership
  • May offer to simple of plans for those with complex medical or financial needs
  • It does not offer much in-depth guidance

Costco Health Insurance Frequently Asked Questions (FAQs):

The ins and outs of unique health insurance plans can become complicated to navigate. To better understand Costco Health Insurance and all that it entails, check out some of these commonly asked questions below for more guidance before:

Do I have to be a member to obtain Costco health insurance?

Yes, to hold Costco Health Insurance, you must hold an active Costco membership. Through being a Costco member, you will shop for quotes and purchase health insurance through the CBC.

Do I have to be a member to obtain a quote from the online Costco marketplace?

Though you must be a Costco member actually to purchase a health insurance plan through Costco, you do not need to be a member to obtain a quote online from the marketplace. The Costco health insurance marketplace can currently offer quotes to individuals in all states except Hawaii, Washington D.C., Maryland, Massachusetts, New York, Rhode Island, and Vermont. If you have any interest in checking out prices online, check out Costcoquote.com. 

Which insurers are active within the Costco health insurance marketplace?

Currently, Oscar and Blue Cross Blue Shield are well-known insurers available for purchase through the Costco Health Insurance marketplace. As its network continues to grow, though, they expect more insurers to become available too.

Bottom Line

There are various avenues to take when it comes to health insurance. Costco may be able to assist you in navigating affordable plans if your employer does not have adequate options or if you’re self-employed. However, Mira can also serve as a viable option if you’re unemployed and are interested in an alternative to health insurance. For just $45 per month, you can join Mira and have access to urgent care visits, lab tests, and up to 80% off on prescriptions.