A method and apparatus for palette coding of a block of video data by initializing the palette or triplet palette or using a selected palette or triplet palette from a preceding image area for the beginning block of the current image area are disclosed. The method receives input data associated with a current image area consisting of multiple blocks. For the beginning block, the palette predictor is determined based on an initial palette or triplet palette or based on a selected palette or triplet palette associated with a selected block located at a location before the end of a preceding image area. For blocks of the current image area, palette coding is applied to the blocks, where at least one block uses the palette predictor for the beginning block as the palette predictor.