Change the .MOD file extension to a .MPG file extension and it should work just fine.
I just tried it in Media Encoder and it didn't work so I'm nervous about it working for premier. I got this mesage.
The file xxx could not be imported. Error while decompressing the source file.
Premiere Pro does not support mod files.
Some are lucky by just changing the extention.
Others have to convert:
However Premiere Elements does support mod files.
Thank you Ann. It looks like the converter is the way to go for me. Appreciate the link.