CMS readies provider IDs

Sunday, February 29, 2004

BALTIMORE - CMS last month announced the adoption of the National Provider Identifier (NPI) for all health care providers to use in filing and processing health care claims and other transactions.

The NPI is a new number that will be issued through the National Provider System, which currently is being developed by CMS. A health care provider will be assigned only one NPI, which will enable them to use only one identifier in all standard transactions.

CMS said it hopes the NPI will reduce costs and improve efficiency in the nation’s health care system by eliminating the need for health care providers to maintain, keep track of, and use multiple identification numbers assigned by the various health plans they bill.

All health care providers, whether or not they are covered under HIPAA, will be eligible to receive an NPI, which has a compliance date of May 23, 2007.