Wrap Nucleus has teamed up with Integrated Protection Solutions to offer protection on its platform.
The service called Wealth Protect is being piloted to 11 Nucleus firms and will be rolled out to all wrap users in 2013.
The protection product is a daily renewable term assurance policy and has been underwritten by Elips Life, a subsidiary of Swiss Re.
It will pay out a sum on death equivalent to the difference between the value of a client's platform assets and the client's target portfolio value.
The single life policy is available for clients between the ages of 18 to 75 and the sum assured will be automatically calculated every day based on the actual value of the invested assets.
Clients have the option to limit the sum assured and have the flexibility to change this limit at any time while the policy is in force.
David Ferguson (pictured), chief executive of Nucleus said: 'Over time every legacy product will be reinvented for a platform world and this announcement with Integrated Protection Solutions is an important part of this market evolution. What Steven and the team are doing at Integrated Protection Solutions is brilliant and it will change for the better the way protection products are built and used in the UK.'