What is a Letter of Protection?

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Sometimes an accident victim does not have health insurance, and while they may have PIP or medical payment coverage for medical bills, those benefits may not be sufficient to cover all medical expenses following a serious accident.  In addition, auto insurance companies will not reimburse medical expenses as they are incurred, but instead wait until recovery is complete and all medical bills have been submitted and they are ready to discuss settling the case.  

When the plaintiff cannot pay for all of his medical expenses after an accident, sometimes medical professionals will accept a letter of protection and continue to treat the injured victim. A letter of protection is a contract between the patient or accident victim, his personal injury lawyer, and his medical providers which allows the injured party to get the treatment he need in exchange for a promise to pay the provider(s) directly from any future settlement funds or verdict award. In many cases hospitals or doctors will not accept the injured party’s medical insurance because private health insurance claims often deny responsibility and look to the driver’s auto insurance for money. A letter of protection helps solve this problem and allow necessary medical treatment to continue until the case is settled or litigated.

Please contact us to discuss your personal injury benefit issues.

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