Waivers allow the state Medicaid program to disregard certain portions of the Social Security Act in order to provide coverage to individuals who may not otherwise be eligible under Medicaid rules. California has a number of federal waivers that allows for the implementation of certain programs.

Waivers have been used by states to design innovative programs that reduce costs and/or enhance benefits and coverage. Federal waivers provide flexibility to develop programs that improve care to specific populations while maximizing the use of federal dollars.