Center for Health Policy

State Innovation Waivers

Many conservative states have been rankled by the health reform law. However, some state lawmakers are looking forward to an ACA waiver, known as the section 1332 or state innovation waiver, that could allow states to drop major portions of the ACA such as the individual mandate and the insurance exchanges and instead design an alternative health system for the state. This waiver will be available starting in 2017 and it is different than the waiver some states have used for Medicaid expansion (e.g. privatize Medicaid). The only stipulation is that the state will need to demonstrate that their plan will maintain the same coverage levels and do so at the same cost to the federal government. Read more about the waiver here.