A Zone Program Integrity Contractor (ZPIC) edit resulted in the incorrect denials of some claims and line items, Medicare Administrative Contractor Palmetto GBA recently discovered.

Palmetto announced Dec. 23 that it would perform mass adjustments for these claims. For some Florida agencies' claims, however, the edit may be correct and won't be removed.

"Providers have had denials for full claims with Reason Code 5Z7D1 or line denials with Reason Code 5Z7D2, narrative 'Home Health Skilled Nurse Not Reasonable and Necessary,'" a Palmetto release states. "The 'Z7' of the Reason Code refers to ZPIC Zone 7, Safeguard Services, the ZPIC for home health and hospice in Florida. Claims incorrectly denying for this reason code should NOT be referred to Safeguard Services."

The erroneous edit was removed from the files, Palmetto said Dec. 23.