We propose Higgsino dark matter as a potential interpretation of the 248 keV nuclear-recoil event of interest reported by the LUX-ZEPLIN (LZ) experiment. LZ studied several rare background processes and detector effects in detail, but did not identify any as a likely explanation of the event. A nearly pure Higgsino naturally realizes inelastic dark matter through the off-diagonal Z coupling of two nearly degenerate neutral Majorana states separated by a mass splitting δ. The same electroweak interaction fixes the inelastic Higgsino-nucleon scattering cross section, rather than leaving it as a free parameter. We show that Higgsino inelastic dark matter is compatible with the LZ result for TeV Higgsino masses and higher, when we take mass splittings ~ 370 keV.