The way the imp guide is written - there's no way for the payer to say "no middle initial" and not violate an X12 rule. Bottomline to me as a provider - every time a payer does this - my 835 FAILS in validation... and has to be manually handled.
The scenario is John Z Doe is the patients Name - but the payer system has him listed as John Doe - and thus his Benefits are under his name withoug a middle initial.
Provider submits the claim WITH the "Z" in the middle name, and the payer wants to report back that there is no middle initial.
Here's the problem in an example: Patient name John Z Doe - payer has John Doe:
NM1|74|1~ - invalid since there's not any NM03, 04, or 05 data
NM1|74|1||| ~ - invalid - leading spaces not allowed, excess delimiters
NM1|74|1|Doe|John~ - violates the guide as Doe and John were correct - however - this would tell me the "Z" is what is NOT on the payer system - if the IG were to be worded to allow this (i.e. report the full name as the payer has it on their system).