You are nearly right, I think you got your wires crossed somewhere
If you install Lastpass to say Firefox and that is where you have all your current passwords stored Lastpass will offer to import them all in to Lastpass and disable the built in password manager in your browser.
Stoner81.
Just an update on that I used lastpass yesterday on my wife's explorer and it was able to find logins and passwords for quite a few sites stored locally she's now on lastpass and finds it great. No matter what site she visits she's instantly logged in.
Also the app allows you to change the password for something more robust and since you have lastpass everywhere you go it's no problem even if you choose a 32 char key.
I also like the OTP idea for use on public pcs.
Still a bit of reading to do but for me it seems like a great solution.
just have to see if I can run portable firefox from the office.