Why is a Standard for an Employer Identifier Number (EIN) needed?
There are many instances where employers need to be identified. Since many employers sponsor health insurance for their employees, using a single identifier for the employer would simplify electronic transactions. Employers may need to be identified by healthcare providers when claims for their employees’ care are submitted electronically. In another instance, employers need to be identified when enrolling or disenrolling employees in health plans or when making premium payments.
