LPL Assurance Plan for Advisors

Your advisor business is one of your most important assets, grown from hard work and dedication. Safeguard that business and plan for the future with LPL’s Assurance Plan. It's your legacy. We'll help you protect it.

Safeguarding Your Business and Legacy

The Assurance Plan is a cost-effective solution for coverage that can safeguard the equity of your financial business in the event of your unplanned exit from the industry.

Should the unplanned occur, your beneficiaries receive a guaranteed upfront payout, as well as any additional proceeds above the minimum following the potential sale of your book of business.

The Assurance Plan offers peace of mind, knowing your legacy is protected in the event that you’re not there to protect it yourself. The Assurance Plan is an easy way to provide a safety net for what is likely your largest asset.

Watch Video: Learn what advisors have to say about the Assurance Plan and what it has to offer.

"There’s value that comes out of the practice to my family, but more importantly, the team understands there is some protection for them if something happens."

Rich Tegge

Wealth Strategy Group

Key Benefits of Assurance Plan

 

Guaranteed buyer

A guaranteed buyer for your practice: An easy cost-effective way to provide a safety net in case of an unplanned exit from the industry.

 

Guaranteed payout

A guaranteed upfront payout of 1.5 times recurring revenue, receiving additional proceeds upon sale of the business.

 

Detailed report

With the Assurance Plan, advisors receive a detailed business valuation report provided by LPL Financial on an annual basis.

Why LPL's Assurance Plan?

Approximately 70% of financial professionals do not have a current succession plan in place**, leaving them and their families vulnerable. 

The Assurance Plan can assist you and your family by providing funds during a time when they may be needed most. 

You can count on LPL to help protect the practice you’ve built.

Ready to learn more?

The Assurance Plan is a cost-effective solution that can safeguard the equity of your financial business, ensuring your legacy is protected in the event that you’re not there to protect it yourself.

Interested in learning more about the exclusive programs and services at LPL Financial, such as the Assurance Plan? LPL’s representatives are here to answer your questions.

Get in Touch

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The Assurance Plan FAQs

How does LPL define unplanned exit and incapacity?

Unplanned exit or incapacity is defined as your involuntary exit from the industry due to death or an accident, injury, or medical condition that prevents you from working due to physical or cognitive impairment.

The initial valuation will take place within six months of purchasing The Assurance Plan. The valuation will be assessed annually during a three-year contract. After the triggering event, a new valuation will be conducted to help guide fair market value for potential buyers.

It is based on a 1.5x multiple of your recurring revenues. Recurring revenues are defined as existing trail commissions and advisory fees generated through LPL (and do not include off-platform assets such as TAMPs). Does not include assets held outside of LPL.

The initial payment is typically paid out via check to the beneficiary within 45 days of LPL being notified of your death or incapacity.

**Source: https://www.cnbc.com/2019/10/29/financial-advisors-need-succession-plan-to-benefit-clients-and-firm.html

Important Disclosures

The views and opinions expressed by the Financial Advisor(s) may not be representative of the views of other Financial Advisors and are not indicative of future performance or success. Neither LPL Financial nor the LPL Financial Advisor(s) can be held responsible for any direct or incidental loss incurred by applying any of the information offered.

For Financial Professional Use Only.