LegalShield Compensation Plan Review 2021 Update

LegalShield is a company that offers discounted legal services for specific needs as well as access to lawyers’ speaking time. The company is an industry veteran, founded in 1972. They currently have 1.7 million members.

LegalShield Compensation Plan Review 2021 Update

LegalShield’s attorney network covers all 50 states and includes 39 law firms and 900 attorneys, who have an average of 22 years of experience. In exchange for a fixed monthly fee, small businesses can access the following legal services:

  • General legal consultations
  • Consultations about specific legal issues
  • Document and contract review
  • Assistant with debt collection
  • Phone calls or correspondence on your business’s behalf
  • Trial defense services

In addition to the above, LegalShield has a separate website called Launch for forming a business. LegalShield also offers personal legal coverage and identity theft coverage.

What is LegalShield?

LegalShield is an online legal service that provides affordable legal coverage for small businesses and individuals.

Instead of paying the steep hourly rates typically charged by law firms, customers can pay a fixed monthly rate for legal representation and advice on a range of issues.

LegalShield Pros and Cons



  • No trial membership or money-back guarantee
  • Slow website
  • Limits to legal plan
  • Spotty customer service

LegalShield Pricing

LegalShield pricing Costs vary across LegalShield’s range of personal and business services, but their small business packages come in three varieties:

  • Small Biz 10 – for small businesses with 10 or fewer employees
  • Small Biz 50 – for companies with 50 or fewer employees
  • And small Biz 100 – for businesses with 100 or fewer employees

These different plans start at $39, $89, and $149 per month respectively. This means that as your business scales, your legal needs grow, and so will the amount you pay LegalShield.

This also means that you’re not paying extra when you only have a half dozen employees for coverage suitable for a business of a hundred people.

For the kind of coverage offered by LegalShield, $149 per month for a team of up to a hundred employees is quite affordable. You also get more for your money with the higher price.

For example, both Small Biz 50 and Small Biz 100 come with trial defense services. The other features you receive scale by cost and size of the business, so while a small business on the Small Biz 10 plan is entitled to 20 document reviews per year, a company with Small Biz 100 gets 40 document reviews.

While we work to keep our information up-to-date, it’s always worth checking LegalShield’s website for their latest package and price combinations.

If you’re in doubt about any aspects of LegalShield’s pricing, plans, or coverage, it’s best to contact them directly.

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LegalShield sells legal services, in case their name didn’t tip you off. They claim to offer direct and affordable access to law firms.

They have a network of almost 7,000 independent attorneys throughout the United States and Canada who offer these services. For your monthly membership fee, which varies by state but usually comes out to just under $25/month, you get:

Legal Advice:

If you ever need advice or consultation from a legal representative, you always have one at your service.

Legal Representation:

In the case that you should need legal representation, you have their independent attorneys at your disposal.

Automotive Defense:

Accident defense and moving violation assistance.

Familial and IRS Legal Services:

This covers everything from divorce and name changes to IRS audits.

Considering legal advice can cost hundreds, and representation from an attorney can cost anywhere from $150-$500 per hour, it’s not a bad deal.

The company also now sells identity theft protection services starting at $9.95/month. The basic plan covers you and a spouse and includes:

  • Credit report and credit score analysis
  • Credit restoration
  • Unlimited ID theft consultations
  • Minor protection
  • Credit monitoring and alerts

Honestly, if you have even a halfway decent bank or own a credit card, you probably already have access to all of these services for free.

LegalShield Compensation Plan

You’re selling a monthly membership, and when you get a  new customer, the LegalShield compensation plan pays you an advance for a year’s worth of that customer’s membership.

Sounds great, right? Yeah, until that customer decides to cancel, and you have to pay back a huge chunk of that advance.

The compensation plan is nowhere to be found on their website, and the information you can find is very vague. It doesn’t list any specific commission rates.

There are four ways to earn:

1. Personal Sales

You make a percentage on each membership you sell, which varies by rank. This is roughly what you can make, according to rank:

Junior Associate: Up to 50%

Associate: Up to $75 on each sale

Senior Associate: Up to $100 on each sale

Manager: Up to $125 on each sale

Director: Up to $150 on each sale

Executive Director: Up to $182.50 on each sale

These numbers look generous, but remember, they are advances on 12 months of membership payments. Also, it’s very, very difficult to move up even past Junior Associate, let alone all the way to director levels.

2. Build a Team

Team commissions are offered in the form of bonuses for every membership they sell. Exact numbers are not specified.

3. Residual Income

After a membership that you’ve sold lasts a year, you make a monthly commission on each month they stay active. Whether or not this commission is the same as before isn’t stated, but this is basically number one rehashed.

4. Performance Club

Each time you sell memberships and recruit new associates, you earn points. If you earn enough (fat chance), you can start earning cash bonuses and prizes.

Alternatives to LegalShield

LegalShield may be arguably the most comprehensive online legal service on the market, but before rushing into a decision it’s usually smart to consider your alternatives.

LegalZoom and RocketLawyer

LegalZoom and RocketLawyer

Both LegalZoom and RocketLawyer offer a range of features suitable both when setting up your business entity (like LLC filing or incorporation) and for when it’s up and running for either planned or unexpected legal help.

The price points are broadly comparable and the services similar, although LegalShield edges out the competition when it comes to emergency access with their 24/7 emergency support combined with their app.



To help legal help with business formation, you might also consider incfile.com who specializes in that area, although their range of expertise and the uniqueness of their offering decline a little once your business is established relative to their competitors.

LegalShield appears to deliver the most robust range of features at a decent price point, with products and plans appropriate to companies of various sizes and at different levels.

Combined with the excellent user experience and innovative features., LegalShield seems the strongest competitor in the crowded online legal service market.

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