Hey I here that u don't need a llc if u got a good insurance policy. My question is what does that mean Wat is usually the coverage for insurance policies that are good. Which companies offer them
This is something that is discussed here on BP all the time and I went through it not too long ago.
There are so many unanswered questions such as what type of properties, how many, etc...
If you just have a couple of houses, I think it's fine to not go the LLC route. My insurance has a $1mill liability ceiling. You can check into umbrella policies too.
As far as what companies offer it, once again this depends on the type of property but if it's just a rental house or small multi, any of your regular insurance companies should provide landlord policies.
There are 2 types of liabiliuty - criminal and financial.
Criminal liability comes out of you knowingly doing something wrong and someone getting hurt as a result. No LLC or insurance policy will protect you against this.
Financial liability is a function of us living in a litigious society and everyone wanting something for nothing. When people find out you've got money, they want to sue you to get some. The question is: Do you have money? If they sued you, what could they get?
With this in mind, unless you have a lot of money and other assets, an umbrella insurance policy may suffice. An LLC wouldn't hurt, but you are not getting a 30-year Fannnie/Freddie loan with one of those...
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