I've been trying to read up on the letter of assurance and it seems one thing is clear: no one seems to know anything. One baffling number I saw was that the USNA issues 1500 LOAs. However they are also reportedly rare. They accept 1200 into each class. So they issue more LOAs than they have positions, plus everyone else, the huge majority of people, don't get LOAs. Are the kids getting LOAs that reluctant to take an appointment? I also have seen that the MOC gets a copy from the academy and elsewhere I have read that you need to mail your MOC a copy of the LOA. The LOAs compete equally with everyone else for nominations, and other places say the academy will find you a place. Then there is the whole question of whether or not the MOC is charged against his 5 places for the LOA. Some say yes. Some say no.
Without any sort of authoritative voice on these issues, I think the best bet is to say, "it's nice to have one, but doesn't mean anything until you have the appointment in hand, you aren't in a better or worse positions with or without one". Is that fair?
My DS received a LOA early this year for the Class of 2019. As stated by others the LOA is nice to have. The number I've heard is 150 also. But I also "heard" LOA's are done in December. My DS received his in January. LOA's come in a TWE, so our hearts dropped when we received it. When he opened it a big smile went across his face, but the LOA has a stipulation. His was a nomination. There is also medical and a number of others. So back to worrying. He received the nomination from our MOC 8 weeks later. Celebration, but it's short. Now more worrying as you bubble wrap your DD or DS, and decide will they continue in sports, will they cross a street, can they leave their room....LOL! You think I'm kidding but these will all be thoughts, albeit fleeting thoughts.
The LOA serves this purpose; think Early Admission at any other college. If your DS/DD is very competitive and could go to other outstanding universities (ie; Ivy League, Stanford, UC's in California) and the Academies want your kids, they may send a LOA. Some are used for outstanding athletes as well. MOC's want their candidates to get into an academy. They don't want to submit a slate, and not have a candidate chosen, so in that respect the LOA guarantees their candidate will receive an appointment. However MOC's don't
have to nominate the LOA holder. The MOC does receive a copy of the LOA. Our MOC called us to congratulate DS for his appointment based on him receiving the nom and having the LOA. The LOA is charged against the MOC's slate. However as you said, the Academy can find a nomination source for your DD/DS. There are parts of the country where MOC's do not get even one application for nomination. The Academies do not let those go to waste. Remember that there are also Presidential nominations for children of career and retired military personnel, and SECNAV nominations for prior service applicants.
You think the worrying is done after I-Day after you hear in a thunderous roar echoing across Tecumseh Court, "I Do!". It doesn't. The class of 2019 had 13 candidates DOR (drop on request). All males, first time in history that happened. One was a NAPSter. You will not stop worrying until Commissioning Day, and then a whole new set of worries will come with your DS/DD being assigned to the fleet.
My advice; How do you eat an elephant? One bite at a time. This is how you have to look at your DS/DD receiving an appointment. One step at a time. I know it isn't easy, but its all you can do.