The LiBu and American Labor Alliance Structure

LiBu is the referral marketing arm of the American Labor Alliance, a nationwide 501(c)(5) tax-exempt labor organization that administers a wide variety of employee welfare benefit plans and business services to its 30,000-strong members and their employers since 2006. American Labor Alliance (ALA) is structured as a legally compliant ECE (Entity Claiming Exception) as per section 3(40)(A)(i) of ERISA. To the public, LiBu Reps (aka Member-Associates) offer only ONE product: A Membership into ALA’s Association of Member-Clients (employers, employees, self-employed and family units). Membership costs $25 for an individual/family or $99 for a business. American Labor Alliance and LiBu Member-Associates DO NOT sell insurance products, but rather we promote to our already Member-Clients, ERISA benefit plans held in-trust and business services at prices below private insurers.

These benefit plans held in-trust are strictly regulated by the federal government’s Department of Labor (DOL) under the confines of its Employee Retirement Security Act (ERISA) regulations. Our benefit plans ultimately assist employees and their families, and are covered by ERISA’s provisions. American Labor Alliance derives its authority to offer such benefits in-trust and services from DOL as an ECE, and is structured with a federally chartered union file designation under the DBA name American Labor Alliance. In order to comply with such standards for participation, vesting, benefit accrual and funding, American Labor Alliance conducts itself under strict financial and regulatory strictures. ALA is covered under our Errors and Omissions and liability insurance, Fireman’s Fund and under the ERISA bond umbrella, Traveler’s Casualty, as well as its backing of existing and growing assets: funds, investments, real estate holdings, businesses, affiliated relationships, and stop-loss overage.

Member-Clients may purchase under one Association of Employers within the legal and regulated confines described above, such benefit plans held in-trust and business services as: Workers’ Compensation, Health Care, Dental/Vision, Paid Sick Leave, Retirement Plans and others, meaning there is a Fund and Trust for every one of our benefit plans. American Labor Alliance backs each dollar in those Trusts with the purchase of ERISA bonds, and so each benefit in-trust complies with the federal standard. As a LiBu Member-Associate, what all this means to your clients is an opportunity to carry the legal and necessary benefit coverage they and their employees need, with benefits that are more robust and encompassing (as per ERISA) than the necessary benefit coverage, but at prices below the standard industry market price.

LiBu Representatives must be certified by the American Labor Alliance prior to promoting the ALA Membership to the public. The process starts with a 4 hour course located in LiVA (LiBu Virtual Assistant or back office), under LiBu University, or in the LiBu University App. The course may become a 10-hour course as more benefits are added onto the slate of benefits we offer.

LiBu Member-Associates do not sell insurance products, but rather an exclusive Membership into American Labor Alliance. LiBu Member-Associates do not provide tax, legal, insurance or investment advice. On the contrary, LiBu Member-Associates encourage Member-Clients to seek advice from qualified advisors, and read and understand all enrollment materials carefully.