All Forum Posts by: Michael Sheibar

I have 3 Rentals that are all housed in their own seperate LLC's.

I would like to get a Umbrella Policy as well.

Spoke with a couple Insurance Agents and finding it difficult to find a carrier to provide an umbrella that covers me personally due to houses sitting inside LLC (Mixed use).

Any suggesstions or Insurance Companies you can reccomend?

@Kevin Hoag - In this scenario below, doesnt umbrella (with no LLC), insulate me better?

$1.5MM settlement fir injury on property

With LLC, after my homeoners $500k is exhausted, im on the hook for additional $1MM, and the $600k in equity is cleared out right, right?

If only umbrella, and no LLC, isnt the equity in the home protected since the umbrella is large enough to handle it and more?

Thanks!

I know this topic has been hammered, but still cant decide whats best. Looking for feedback on a real world example. 

-Singled Family Rental Property

-Rented to College Students Sept-May, and on a weekly basis in the Summer

-House is valued at $600,000. House is paid off, no Mortgage.

It seems going the LLC route, even with a umbrella policy on top of that, leaves me extremely exposed based on the equity in the home.

Would it not be better to have no LLC and take out a very large umbrella policy ($3M-$5M)?

Peace of mind, protecting my equity and personal assets is paramount. I'm less concered about paying a premium for policy, the house generates substantial yearly revenue. The cost of a $3M umbrella policy is the same as the yearly LLC filing fee in my state, but again, cost of protection is not my main concern.

What would you do in this situation?

Thanks!