What is the national provider identifier used for?

The national provider identifier (NPI) is used primarily to authenticate healthcare providers when they seek reimbursement from Medicare and Medicaid, as well as for other healthcare services. This unique identification number allows for better tracking and management of billing and insurance processes within the healthcare system. By using NPIs, various healthcare entities—including providers, health plans, and healthcare clearinghouses—can streamline the identification of providers and facilitate efficient claims processing, ultimately enhancing the accuracy and speed of reimbursements.

The NPI is not used to identify patients, record the number of services provided, or track drug prescriptions, which distinguishes its purpose from the other options provided. Its specific focus on provider identification for reimbursement purposes is integral to maintaining a standardized system across healthcare transactions.