Costco health plans gaining market share

Wonks have long had a thing for Costco, which has become the anti-Wal Mart in some circles for its employee-friendly policies. Three years ago the company started a push to sell health insurance policies to small businesses members. Costco's members in California can buy policies from PacifiCare. Those in Washington and Oregon can purchase plans from HealthNet. The enrollment process is almost fully automated but Costco keeps a watchful eye over how things are going for members. "If a business has an issue with its health plan, it can come to Costco and we will advocate on their behalf," says an exec.

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