PillPack gets rid of $20 fee for its daily prescription medication packet service

(image via PillPack)
(image via PillPack)

Somerville-based PillPack is taking an enormous step today towards fulfilling its mission to simplify medication for everyone.

The company, which offers pre-sorted medication packets customized for individual users, initially charged a $20 fee for its service. However, as of today, PillPack customers will no longer have to pay a subscription fee or any fee, shipping and packaging included, other than traditional 30-day co-payments, for pre-packaged medication.

Since launching earlier this year, PillPack has added a couple hundred customers, according to co-founder and chief executive T.J. Parker, which has allowed the company to gain a better understanding of the economics of its disruptive pharmacy service. The company realized that it could be financially viable by only charging customers for their prescription medications (including inhalers, insulin, or other pharmacy needs) the same way that a normal pharmacy operates, without burdening its users with any extra costs.

“We are excited to offer PillPack at no additional cost above and beyond the cost of the meds,” said Parker.

The company’s service is ideal for the 30 million Americans who take five or more medications daily. PillPack accepts most major insurance plans, including most forms of Medicare Part D.

In addition to organizing its customers’ daily medication into easy to use packets, the company offers refill management, around-the-clock support, and easy billing to make sure that its customers are taking the correct medications at the right time.

Parker said that those who have already signed up for the service love PillPack so far, and that the company is ready to offer the service to even more customers after removing the subscription costs.

“We are excited to get PillPack into the hands of as many people as possible as soon as possible,” he said.

PillPack raised $4 million in funding from Atlas Venture and Founder Collective in February. The company is licensed in 36 states, with New Mexico, North Carolina, South Dakota, and Texas recently added as states where the service can be offered.

For a long time, PillPack has been mentioned as one of the Boston company’s that can leverage technology and make an enormous impact on the lives of millions of Americans. With the move to drop its fees, don’t be surprised if the company announces light-speed growth in the near future.

Dennis Keohane was a Senior Staff Writer for BetaBoston.
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