Integrity Surprises Employees With $125M Payout And Equity Stake

On the heels of a $1.2 billion minority equity investment and just in time for the holidays, Integrity Marketing Group, an omnichannel insurtech leader in life, health and wealth solutions, today surprised its 5,500 employees with an unexpected $125 million in cash payouts to employees participating in the company’s Employee Ownership Plan.

The company further shocked employees by awarding equity units to all those who had yet to qualify for them through the plan — making every current full-time Integrity employee an official owner of the company. Integrity’s Co-Founder and CEO, Bryan W. Adams, traveled across the country to meet in person with over 2,000 of the company’s employees — and virtually with the remainder of Integrity’s 120 offices — to share the news and distribute the $125 million.

Eligible employees will receive cash awards of varying size, based on factors such as position and tenure. Employees who have participated in the program since its 2019 inception will receive a minimum of $8,000, and still have an estimated $60,000 in current equity value remaining in company shares.

“Integrity is a business built by caring and committed people who go the extra mile to help other people. Two years ago, we became an employee-owned company with our innovative Employee Ownership Plan, which gave ownership in our company to all our employees. As we experience success and create value as an insurtech company, we share that upside with all our employee owners,” said Bryan W. Adams. “Our employees are the key to making our vision to transform the industries we serve a reality. We are thrilled to show our gratitude by including our entire team in our success. By coming together to work, win, prosper and share, we have been able to create one of the industry’s first companies where every employee is also an owner.”

“Integrity is truly a company powered by people and we’re passionate about our culture of giving back,” said Steve Young, Integrity’s chairman of the board. “Without question, our motivated, dedicated employees have made Integrity one of the fastest growing companies in America. We couldn’t be happier to reward their contributions and dedication — and show them how appreciated they are by sharing in our growth.”

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Integrity has achieved an impressive year-over-year annual growth in excess of 100% for five years running, and has a one-of-a-kind omnichannel insurtech platform — with 420,000 agents serving more than 10 million clients annually. The company expects new sales in 2021 to exceed $7 billion and to reach more than $20 billion of assets under management and advisement through its RIA and broker-dealer platforms by the end of the year.

The company recently announced a strategic equity partnership led by Silver Lake to expand Integrity’s digital innovation and insurtech capabilities.

“Integrity’s culture of employee ownership is a key differentiator. It’s an incredibly powerful way to align objectives that spur growth and reward people for delivering on innovation,” said Egon Durban, Co-CEO of Silver Lake. “We are supportive of how the employee ownership program at Integrity is inclusive, sharing and demonstrates a belief in their people.”

“When you work with a committed, talented group of individuals who are helping improve the lives of Americans, the decision to share our success becomes an easy one,” explained Adams. “In addition to the $125 million they’re receiving today, our employees will continue to have considerable equity ownership in Integrity. When you consider that the average household savings in America is roughly $17,000, it’s easy to see how ownership can help our employees prepare for the good days ahead. This is unquestionably the most meaningful decision and outcome I’ve ever been part of in my career.”

Integrity became an employee-owned business in 2019 with the formation of the Employee Ownership Plan, and the company paid out a retroactive cash distribution of $50 million to Integrity’s 750 employees at the time. With this latest payment, Integrity has now paid out a total of $175 million to its employees in a little over two years through the Employee Ownership Plan.

“We want all of our employees to know they are in the right place, making valued contributions every day,” continued Adams. “Together, we are executing our mission to serve the life, health and wealth needs of Americans and help them prepare for the good days ahead. That makes it even more fitting that we share in the prosperity we achieve together.”

“I’ve been part of some incredible things throughout my career, but nothing comes close to the joy of being able to share true ownership with our employees — it’s a day that will change their lives forever, and the potential value it offers is unimaginable,” shared Young. “Integrity is committed to transforming the insurance and financial services industries, and what we’ve been able to achieve would not have been possible without the amazing team we’ve assembled. This unique opportunity and reward for our employees is well deserved.”