OK,
say you have a 1-chloro-2-methyl butane,
during a reaction with chlorine being the leaving group, the intermediate would be a primary carbocation with a positive charge on the #1 carbon. Once that happens, the methyl group on the #2 carbon will shift to the #1 carbon position, giving the #2 carbon the positive carbocation configuration, which would make it a secondary carbocation which is more stable than the original primary carbocation. Once the shift happens, the nucleophile can now attack the #2 carbon that is a secondary.
during a hydride shift, just a hydrogen shifts from the #2 carbon to the #1 carbon, giving the #2 carbon the positive charge, then a nucleophilic attack can proceed.
both are same ideas, where one is a methyl group shifts and the other is a hydride shifting...
also, a "1,2" shift means that it is just shifting from one carbon position to the other carbon directly next to it...the numbers don't necessarily designate that the shift occurs only at the #1 carbon and the #2 carbon...
Draw the structure out and take off the chlorine leaving group and look at the carbocation intermediate and it will make sense...