Costco and delivery startup Instacart are joining forces to test a prescription drug delivery service, according to CNBC.
The program, currently being tested in California and Washington state, includes delivery to Costco members' homes or offices.
Delivery will be free for orders above $35 not including tip, according to CNBC. For orders under $35, the delivery fee will be based on how quickly the member needs the prescription delivered. Typically the fee would be less than $10.
The fastest option to deliver a medication will be 1 hour.
Instacart will provide updates on the delivery status via text message. The delivery person will ask customers for proof of identity to ensure they are giving the medication to the right person, and the checkout process requires customers to confirm their date of birth. The delivery service will only be available to customers over 18.
Instacart workers will only be allowed to deliver medications if they pass a HIPAA certification training, according to CNBC.
The delivery service could help Costco compete with Amazon and Walmart, which both offer prescription delivery services. Amazon purchased PillPack, an online pharmacy startup, in 2018, and Walmart offers mail-order delivery in some areas.
The service also poses a threat to large pharmacies like CVS and Walgreens.
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