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What is the purpose of a letter of protection?

A letter of protection is a document that enables a personal injury victim to treat medically and forestalls collections on such serviced until after the case is resolved. In other words, it is akin to a contract wherein the injury victim and often the attorney will acknowledge that the balance will be earmarked at the conclusion of the case (i.e., by either settlement or verdict) to ensure the provider will be compensated. In consideration for such, the medical provider will not seek to collect on the outstanding balance until the claim is resolved. In many cases, the available no-fault benefits are not enough to cover all necessary medical treatment. Hence, the need for a letter of protection or LOP.

Posted in: Understanding Your Personal Injury Case