Why do health care providers need National Provider Identifiers?
HIPAA requires the adoption of a standard unique identifier for health care providers. NPI allows for simpler electronic transmission of HIPAA standard transactions. By May 23, 2007 , the NPI will be the only health care provider identifier that can be used for identification purposes in standard transactions by covered entities. Covered entities include health plans, health care clearinghouses, and those health care providers who transmit any health information in electronic form in connection with a transaction for which the Secretary of Health and Human Service s has adopted a standard.