Introducing NavitusClear with Costco® Cost Plus Model

The pharmacy landscape is under growing pressure as drug costs continue to rise and stakeholders demand more transparency. Traditional pharmacy benefit models, which often include opaque pricing and complex rebate structures, are no longer meeting the needs of plan sponsors.

Cost-plus is a pricing model in which the price of a prescription drug is based on its actual cost to acquire, plus a fee for pharmacy services provided. Cost-plus pricing cuts through the confusion of traditional drug pricing, focusing on transparency, fairness and simplicity.

Limitations of Current Cost-plus Models:

Despite their promise, most cost-plus models fall short in key areas:​

Opaque acquisition costs: Most cost-plus models offer limited visibility into what pharmacies pay for drugs ​

Weak accountability: Plan sponsors struggle to verify drug costs​ and lack access to real-time, claim-level data

Transparency gap: Current cost-plus models don’t completely resolve the transparency gap

Navitus is Proud to Announce Our Exclusive NavitusClear with Costco Cost Plus Pricing Model with Costco Pharmacy

NavitusClear is our designation awarded to partners that exemplify the level of transparency in drug pricing we believe should be the industry norm. This solution reflects the shared commitment between Navitus and Costco to address rising drug costs. Aligned with the core Navitus solution – pass-through pricing, a client-first approach and data-driven accountability – this model delivers measurable value to both plan sponsors and members.

Starting January 1, 2026, plan sponsors and members will benefit from:

Transparent, auditable pricing: Plan sponsors receive visibility into the drug costs and dispensing fees. All pricing is claim-level and auditable, supporting fiduciary accountability and enabling better-informed decision-making.

Broad access: The model supports brand, generic and non-specialty medications at either retail locations or via mail order. It also expands the cost-plus options that clients can access, which include Lumicera Health Services for specialty medications.  

Seamless experience: Members can fill prescriptions at over 500 Costco retail pharmacies or use convenient mail order. There is also a $0 same-day delivery option. Importantly, members do not need a Costco membership to use the benefit.

Exclusivity: Other PBMs may claim transparency or cost-plus pricing, but they typically don’t provide visibility into the actual acquisition cost or allow this level of auditability. Combined with Costco’s trusted reputation and purchasing power, this program delivers both affordability and accountability.

More Than Just a Pricing Alternative

It delivers visibility, control and seamless member access in a transparent, auditable model designed for plan sponsors. Clients gain the clarity needed to manage pharmacy benefit performance with confidence.

Chart showing how transparency, auditability and access are addressed by Navitus and Costco versus other cost-plus arrangements.

Learn More

Discover how Navitus and Costco Pharmacy can help you reach your plan goals. Reach out to [email protected].

Stay Informed and Connected

Receive expert insights, healthcare tips, and important updates on pharmacy benefits, drug recalls, and more—straight to your inbox.

Navigating with a trusted partner

Now Available: 9th Annual Drug Trend Report

Our Drug Trend Report provides a clear view of the trends shaping pharmacy benefits today, along with strategies that are delivering real savings without compromising care.

Related blogs

Navigating Healthcare and Improving Outcomes

Introducing NavitusClear with Costco® Cost Plus Model

Introducing NavitusClear with Costco® Cost Plus Model

NavitusClear is our designation awarded to partners that exemplify the level of transparency in drug pricing we believe should be the industry norm. This solution reflects the shared commitment between Navitus and Costco to address rising drug costs…

PBM 101: Understanding Transparency for Better Pharmacy Benefits

PBM 101: Understanding Transparency for Better Pharmacy Benefits

When it comes to pharmacy benefit managers (PBMs), the word “transparency” gets thrown around a lot. It’s frequently promised, widely discussed and inconsistently delivered.  …

Legal Ease: Key Legislative & Regulatory Updates Impacting Plan Sponsors in 2025

Legal Ease: Key Legislative & Regulatory Updates Impacting Plan Sponsors in 2025

In this overview of our national Legal Ease webinar event, we highlight key federal and state developments shaping the conversation around PBM reform – and what they mean for your clients.  …

Navigating the Drug Supply Chain: What You Need to Know

Navigating the Drug Supply Chain: What You Need to Know

Before a prescription ever reaches a pharmacy counter, it has already moved through a complex ecosystem known as the drug supply chain. From manufacturers and wholesalers to pharmacy benefit managers (PBMs) and pharmacies, each entity plays a role in…

Real-world Data Demonstrates Successful Transitions from Humira to Biosimilars

Real-world Data Demonstrates Successful Transitions from Humira to Biosimilars

Authors: Justin Arzt, PharmD; Agata Siwak, PharmD, MSBA; Marnie Wickizer, PharmD, AE-C, CDCES; Ryan Schmidt, PharmD; Robert Topp, RN, PhD; Matt Hustad, PharmD All authors are employees of Navitus Health Solutions. Abstract Adalimumab biosimilar adoption…

PBM 101: Why the Model Matters

PBM 101: Why the Model Matters

In the pharmaceutical and healthcare industry, pharmacy benefit managers (PBMs) are conduits of expertise, analytics and savings opportunities, poised to deliver exceptional health care while driving down costs. They coordinate between drug manufacturers,…

Associate Resource Group Spotlight: Green Team

Associate Resource Group Spotlight: Green Team

The Green Team believes that small changes lead to significant impact. Whether its reducing waste, conserving energy or implementing eco-friendly initiatives, they serve as an internal hub for expertise regarding environmental sustainability….

PBM 101: The Three PBM Business Models

PBM 101: The Three PBM Business Models

In the pharmaceutical and healthcare industry, pharmacy benefit managers (PBMs) are regarded by the media as intermediaries between drug manufacturers, pharmacies, health plans and plan sponsors. But they’re so much more than that. PBMs act as conduits…

An Automated Approach to Diagnosis Verification of GLP-1 RA for Type 2 Diabetes Mellitus (T2DM)

An Automated Approach to Diagnosis Verification of GLP-1 RA for Type 2 Diabetes Mellitus (T2DM)

This study examines the impact of implementing an automated point-of-sale diagnosis verification system for glucagon-like peptide-1 receptor agonists (GLP-1 RAs) compared to traditional utilization management approaches….

previous arrow
next arrow