# NPI Type 1 vs Type 2: Which NPI a NEMT Company Bills With

Canonical URL: https://nemtguide.com/glossary/npi-type-1-vs-type-2/ · Updated 2026-09-30

A Type 1 NPI identifies one person, including a sole proprietor, and a Type 2 NPI identifies an organization, such as an LLC or corporation. A NEMT company formed as an LLC or corporation bills with its Type 2. A sole proprietor bills with a Type 1 and cannot get a Type 2. An owner gets both mainly when the owner is also a licensed health care provider.

- Your business structure picks the type: a sole proprietorship gets a Type 1, and an LLC or corporation gets a Type 2, even with one owner.
- A person can hold only one NPI. An organization can add more for branches or service lines.
- The billing NPI in box 33a, or loop 2010AA, belongs to the provider asking to be paid, which for most NEMT companies is the Type 2.
- Driving does not call for a personal NPI. The HIPAA rule makes a company require NPIs only from prescribers it employs or contracts with.
- Moving from a sole proprietorship to an LLC means a new Type 2, and often new Medicaid and broker paperwork.

## Type 1 and Type 2, side by side

Every NPI is a 10-digit number from CMS's enumeration system, NPPES, and every one carries an entity type. CMS's NPI fact sheet (December 2024) sums it up: Type 1 is for individual health care providers, "such as physicians, nurse practitioners and sole proprietors," and Type 2 is for health care organizations. CMS's NPI application instructions list ambulance companies among the examples of organizations.

| | Type 1 (individual) | Type 2 (organization) |
|---|---|---|
| Who gets it | One person, including a sole proprietor | A corporation, LLC, partnership, or group, even with a single owner |
| How many | One. An individual gets only one NPI, and it stays the same through changes of name, address, or specialty. | As many as the organization needs. It may get extra NPIs for subparts, such as a second location. |
| Tax number on the application | The person's Social Security number, or an ITIN for someone not eligible for one. Sole proprietors report their SSN even if they have an EIN. | The organization's EIN and its legal business name as filed with the IRS |
| Who signs | The individual | An authorized official who can legally bind the organization |
| NPI Registry label | NPI-1 | NPI-2 |
| When it ends | Deactivated at the person's death | Deactivated when the organization dissolves |

The one-NPI limit and the deactivation rules come from the federal rule ([45 CFR 162.408](https://www.ecfr.gov/current/title-45/section-162.408)), which also bars CMS from giving a deactivated number to another provider. The rest comes from the instructions for Form CMS-10114, the NPI application.

## Which one a NEMT company bills with

Your business structure decides, not your fleet size. CMS's form instructions say a sole proprietorship is an individual, so it is not an organization provider, and solely owned corporations get a Type 2. The CMS fact sheet adds that an incorporated health care provider can get a Type 2 for "their corporation or LLC."

| How your company is set up | NPI you bill with | What goes on the claim |
|---|---|---|
| Sole proprietorship | Type 1, in your name, with your SSN | Your Type 1 in box 33a |
| Single-member LLC | Type 2, with the LLC's EIN | The LLC's Type 2 in box 33a |
| Multi-member LLC, partnership, or corporation | Type 2, with the company's EIN | The company's Type 2 in box 33a |
| A company with a second location or service line | The parent's Type 2, plus a subpart Type 2 if you decide the branch needs one | The NPI of the location that is billing |

Box 33a is the billing provider NPI on the paper claim. On the electronic [837P](https://nemtguide.com/glossary/837p/), the same NPI goes in loop 2010AA, element NM109, according to the NUCC's crosswalk (version 3.3, August 2018). The NUCC's instruction manual says box 33 identifies the provider asking to be paid, so for most NEMT companies that is the Type 2. See [billing provider vs rendering provider](https://nemtguide.com/glossary/billing-vs-rendering-provider/) for when box 24J needs anything.

Texas shows how the type follows you into enrollment. Its provider manual (September 2026) says individual providers, performing providers, and sole proprietors enroll with an NPI type of Individual. Facility and group providers "who have a single employee or thousands of employees" enroll with an NPI type of Organization.

Some states skip the NPI for NEMT companies entirely. North Carolina Medicaid calls non-emergency transportation providers atypical: they do not meet the NPI rule's definition of a health care provider, get no NPI, and bill with numbers from its claims system. Indiana's EDI module (March 20, 2025) says most transportation providers are excluded from the NPI requirement. If your state works this way, the ID that matters is your [Medicaid provider number](https://nemtguide.com/glossary/medicaid-provider-number/).

## Taxonomy codes and NPI types

Every NPI also carries a [taxonomy code](https://nemtguide.com/glossary/taxonomy-code/) that says what kind of provider you are. The NUCC code set, version 26.1 (July 1, 2026), splits its codes into an Individual section and a Non-Individual section. All of its transportation codes sit in the Non-Individual section, including 343900000X, Non-emergency Medical Transport (VAN).

That does not stop a sole proprietor from using the NEMT van code. CMS's form instructions say virtually any health care provider could be a sole proprietorship, including most of the organization examples it lists, and the NPI Registry lists sole proprietors with Type 1 NPIs under 343900000X. The code set also has a Driver code, 172A00000X, in its Individual section, defined as "a person employed to operate a motor vehicle as a carrier of persons or property."

## When an owner-driver needs both

Most owner-drivers need one NPI, not two. The HIPAA rule requires an organization to have the prescribers it employs or contracts with get NPIs ([45 CFR 162.410(b)](https://www.ecfr.gov/current/title-45/section-162.410)). Drivers are not on that list, and a driver who does not bill in their own name has no claims that call for a personal NPI.

| Your situation | What you need |
|---|---|
| You run the company as a sole proprietor and drive | One Type 1. You cannot also get a Type 2. |
| Your LLC or corporation owns the vans, and you drive | The company's Type 2. No personal NPI for driving. |
| You are also a nurse, EMT, or other licensed provider who bills services in your own name | A Type 1 for you and a Type 2 for the company. CMS allows both for an incorporated health care provider. |
| You are switching from a sole proprietorship to an LLC | Keep your Type 1. The LLC applies for its own Type 2. |
| Your state tracks drivers | Whatever ID the state names, which is usually not an NPI |

States that track drivers do it their own way. New York's transportation billing guidelines (August 5, 2026) put the driver's nine-character license number on ambulette and taxi or livery claims, in loop 2310A of the 837P. Minnesota law requires NEMT drivers to be "individually enrolled with the commissioner and reported on the claim as the individual who provided the service" ([Minnesota Statutes 256B.0625, subdivision 17](https://www.revisor.mn.gov/statutes/cite/256B.0625)). Publicly operated transit, volunteers, and not-for-hire vehicles are exempt.

## Switching from a sole proprietorship to an LLC

Your Type 1 does not move to the company. It belongs to you as a person, and the new LLC is a different entity with its own EIN. CMS's FAQs say an NPI is meant to last through changes of name, address, or taxonomy, but that organizations may need a new one after some changes of ownership.

1. **Form the LLC and get its EIN.** The NPI application uses the legal business name the IRS has for that EIN. See [LLC or corporation for a NEMT business](https://nemtguide.com/guides/llc-for-nemt/).
2. **Apply for the LLC's Type 2 in NPPES.** Name an authorized official and choose your taxonomy code. The steps are in [how to get an NPI number for NEMT](https://nemtguide.com/guides/how-to-get-an-npi-number-for-nemt/).
3. **Keep your Type 1.** It stays with you as a person and cannot be given to the company.
4. **Update Medicaid and every broker before you bill under the LLC.** Ask each one how it handles a new tax ID and NPI. MTM Health's standard agreement, in the January 1, 2023 version Pennsylvania posts, says a change in FEIN or legal name "will require a new Agreement."
5. **Switch your claims on a set date.** Put the LLC's Type 2 in box 33a, or loop 2010AA, only for rides the LLC gave after its enrollment took effect.

## Mistakes that mix up NPI types

- **Applying for a Type 1 for your LLC.** The company is an organization, so its NPI is a Type 2 with its EIN.
- **Putting your EIN on a sole proprietor's application.** CMS says sole proprietors report their SSN, not an EIN, even if they have one.
- **Billing with the owner's Type 1 for the company's rides.** The billing NPI must match the entity enrolled and paid for the ride.
- **Letting the record go stale.** A covered provider must report changes to NPPES within 30 days ([45 CFR 162.410(a)(4)](https://www.ecfr.gov/current/title-45/section-162.410)), such as a new address or authorized official.
- **Forgetting it is public.** The NPI Registry shows your name, addresses, taxonomy, and for organizations the authorized official.

## Frequently asked questions

### Can a sole proprietor get a Type 2 NPI?

No. CMS treats a sole proprietorship as an individual, so it gets one Type 1 NPI and reports the owner's Social Security number, not an EIN, even when it has an EIN. If you want an organization NPI, form an LLC or corporation first. The new company then applies for its own Type 2 under its EIN.

### I own a NEMT LLC and drive myself. Do I need a Type 1 too?

Usually not. Your LLC bills under its Type 2, and the NPI rule does not require a personal NPI for a driver who does not bill in their own name. CMS says an incorporated person who is a health care provider may get a Type 1 for themselves and a Type 2 for the company. That fits an owner who is also a nurse or other clinician billing in their own name, not an owner who drives.

### Do NEMT drivers need their own NPIs?

Generally no. The HIPAA rule requires an organization to make the prescribers it employs or contracts with get NPIs (45 CFR 162.410(b)), not drivers. States that track drivers use other identifiers. New York puts the driver's license number on the claim, and Minnesota law requires NEMT drivers to be individually enrolled and reported on the claim. Ask your state if it wants anything more.

### I got a Type 1 as a sole proprietor and then formed an LLC. Can I change it to Type 2?

No. Your Type 1 identifies you as a person, and the LLC is a separate provider that needs its own NPI. The LLC applies for a Type 2 under its EIN. Then update your Medicaid enrollment and broker agreements. MTM Health's standard agreement, in the January 1, 2023 version Pennsylvania posts, requires a new agreement when your FEIN or legal name changes.

### How do I check which type of NPI I have?

Look yourself up in the NPI Registry at npiregistry.cms.hhs.gov. Each record is labeled NPI-1 for an individual or NPI-2 for an organization. Organization records also list an authorized official, and individual records show whether the provider is a sole proprietor. Everything the Registry shows is public.

## Official resources

- [CMS: NPPES, apply for or update an NPI](https://nppes.cms.hhs.gov/)
- [CMS: NPI Registry, look up any NPI and its type](https://npiregistry.cms.hhs.gov/)
- [CMS: NPI fact sheet](https://www.cms.gov/files/document/npi-fact-sheet.pdf)
- [CMS: Form CMS-10114 instructions (entity types explained)](https://www.cms.gov/medicare/cms-forms/cms-forms/downloads/cms10114.pdf)