One of the most important challenges of distributed generation (DG) development in distribution systems is their protection. It is necessary to have a scheme for keeping the protection settings unchanged. In this paper, adverse impacts of the inverter based distributed generation (IBDG) are evaluated, and an algorithm is proposed to limit the fault current, feed, which is generated by IBDGs. This algorithm is only implemented on the inverter controller and other elements are not used in fault current limitation. The simulation results are provided to verify the proposed control scheme.