Costco accepts Medicare at its pharmacies and for some medical services, but not for warehouse membership or most products
Costco will fill prescriptions using your Medicare Part D coverage at any of its pharmacies. You can also use Medicare to pay for some services like hearing aids, eye exams, and glasses at Costco's in-warehouse clinics. However, Costco does not accept Medicare as payment for a warehouse membership, groceries, or other retail items — you pay out of pocket for those.
The key is knowing which Costco services are set up to bill Medicare and which are not. A pharmacy visit works differently from a membership purchase, and an eye exam works differently from buying a rotisserie chicken. This guide explains what Medicare covers at Costco and what you pay for yourself.
Key Takeaways
- Costco pharmacies accept Medicare Part D prescriptions at all warehouse locations, and you pay your normal copay or coinsurance.
- Costco optical departments and hearing aid centers bill Medicare for exams and services, though coverage depends on your specific plan.
- Costco warehouse membership itself is not covered by Medicare — you pay the annual fee out of pocket.
- You do not need a Costco membership to use the pharmacy or some medical services, though policies vary by state and location.
- Always bring your Medicare card and ask Costco staff which services they bill to Medicare before you receive care.
Using your Medicare Part D at Costco pharmacy
Costco pharmacies fill prescriptions for people with Medicare Part D coverage. When you drop off a prescription, tell the pharmacy staff that you have Medicare Part D and provide your insurance card. The pharmacy will verify your coverage and tell you what your copay will be — this is usually the same copay you would pay at any other pharmacy.
Costco is in-network with most Medicare Part D plans, but not all. Before you fill a prescription there, check your Part D plan documents or call the plan's customer service line to confirm that Costco is covered. Some plans have preferred pharmacies that charge lower copays, and Costco may or may not be one of them for your specific plan.
You do not need a Costco warehouse membership to use the pharmacy. In most states, anyone can walk into the pharmacy section without a membership card. A few states require a membership or a pharmacy-only membership, so ask at your local Costco if you are unsure.
Medicare coverage for Costco optical services
Costco optical departments offer eye exams and sell glasses and contact lenses. Medicare Part B covers one routine eye exam every 24 months if you do not have an eye disease. Costco can bill this exam to Medicare, and you typically pay a copay of around $10 to $25, though the exact amount depends on your plan.
The glasses or contacts themselves are not covered by Medicare Part B. You pay out of pocket for frames, lenses, and contact lenses. Some Medicare Advantage plans (Part C) include vision coverage that may help pay for frames or lenses, so check your plan documents before you buy.
Like the pharmacy, you do not always need a Costco membership to use the optical department. Policies vary by location, so call ahead to ask whether you can walk in without a membership card.
Medicare coverage for Costco hearing aids
Costco hearing aid centers sell and fit hearing aids. Traditional Medicare (Part A and Part B) does not cover hearing aids or hearing exams. However, many Medicare Advantage plans (Part C) do cover hearing aids, and some cover the exam as well. If your plan includes hearing coverage, Costco can bill it directly.
Before you schedule a hearing aid appointment at Costco, call your Medicare Advantage plan to confirm what is covered. Ask whether the plan covers the hearing exam, the hearing aids themselves, or both. Some plans cover a certain dollar amount per year, and others cover a percentage of the cost. Knowing this ahead of time will help you understand what you will owe.
You may not need a membership to visit the hearing aid center, but call your local Costco first to confirm their policy.
What Medicare does not cover at Costco
Medicare does not pay for your Costco warehouse membership. The annual membership fee (which ranges from $60 to $130 depending on membership level) is your responsibility. This is true even if you use Costco's pharmacy or medical services regularly.
Medicare also does not cover groceries, household items, clothing, or any other retail products you buy at Costco. You pay for these out of pocket at checkout. Some Medicare Advantage plans include supplemental benefits like grocery discounts, but these are separate programs and do not work at Costco's checkout — they typically work at partner grocery stores instead.
How to use Medicare at Costco: step by step
For a pharmacy visit: Bring your Medicare Part D card and your prescription. Tell the pharmacy staff you have Medicare. They will verify your coverage and tell you your copay. Pay the copay at the pharmacy counter.
For an eye exam: Call your local Costco optical department ahead of time to confirm they accept your Medicare plan and that you do not need a membership. Bring your Medicare Part B card. At your appointment, tell the staff you want to bill the exam to Medicare. You will pay your copay (usually $10 to $25) at the time of service. If you buy glasses or contacts, you pay for those separately out of pocket.
For hearing aids: Call your Medicare Advantage plan first to confirm what hearing services are covered. Then call your local Costco hearing aid center to confirm they accept your plan. Bring your Medicare card to your appointment. The center will bill your plan for covered services, and you will pay any copay or coinsurance due.
What to ask your doctor and insurance plan
Before you visit Costco for pharmacy, optical, or hearing services, ask your Medicare plan whether Costco is in-network. Call the customer service number on the back of your insurance card and ask: "Is Costco pharmacy in-network for my Part D plan?" or "Does my plan cover eye exams at Costco?" or "Does my plan cover hearing aids, and is Costco a participating provider?"
Also ask what your copay or coinsurance will be. This varies by plan, and knowing the amount ahead of time helps you budget. If Costco is not in-network for your plan, ask which pharmacies or providers are in-network and offer the best rates.
When to seek help or more information
If Costco tells you they cannot bill Medicare for a service you expected to be covered, ask to speak with a manager or the department supervisor. Sometimes staff make mistakes, and a supervisor can clarify the policy or check your coverage again.
If you have questions about what your Medicare plan covers, call the plan's customer service line. The number is on your insurance card. You can also contact Medicare directly at 1-800-MEDICARE (1-800-633-4227) to ask about coverage for specific services.
If you are having trouble affording prescriptions even with your Part D copay, ask the Costco pharmacist about generic options or patient information programs. Many drug manufacturers offer free or reduced-cost medications to people who meet income requirements.
Frequently Asked Questions
Do I need a Costco membership to use the pharmacy?
In most states, no — you can use the pharmacy without a membership. However, a few states require either a full membership or a pharmacy-only membership. Call your local Costco to ask about their policy. If they require a membership, a pharmacy-only membership is usually cheaper than a full warehouse membership.
Will Costco accept my Medicare Advantage plan at the pharmacy?
Most Medicare Advantage plans include prescription drug coverage (Part D), and Costco is in-network with most of them. However, some plans have preferred pharmacies that charge lower copays. Check your plan documents or call the plan's customer service line to confirm Costco is covered and to learn your copay amount.
What if Costco is not in-network for my Medicare plan?
You can still fill prescriptions there, but you will pay the full price out of pocket and then submit a claim to your insurance plan for reimbursement. This is usually more expensive than using an in-network pharmacy. Ask your plan which pharmacies are in-network in your area.
Does Medicare cover the cost of glasses at Costco?
No. Medicare Part B covers the eye exam only, not the frames or lenses. You pay for glasses out of pocket. Some Medicare Advantage plans include vision coverage that helps pay for frames or lenses, so check your plan documents.
Can I use Medicare to pay for a Costco membership?
No. The membership fee is not covered by any Medicare plan. You pay the annual membership cost out of pocket. However, if you use the pharmacy or medical services regularly, the membership may still save you money overall.