SELF MANAGED LLC = NO ASSET PROTECTION?!

[Joel Burt]

I'm getting ready to go to closing for my first rental property and I am terribly confused. 

Facts:

-I am purchasing a single family rental property with a conventional mortgage from my bank.

-I have created a Pennsylvania LLC in my wife's name with her as the only member.

-The loan and property will be 100% in my wife's name. (The reasoning for this is that she is a PA resident and I am not)

-My name is no where on the title, LLC documents, or mortgage.

-The bank will not allow us to put the property under the LLC because that would require a commercial loan.

-My wife and I were each involved in an auto accident in the last 3 years so we are unable to qualify for an umbrella insurance police.

Question:

How can I best protect myself from lawsuits? Is it true that an LLC provides no asset protection if you self-manage the property? If the LLC is in my wife's name and I manage the property does that count as self-managed?

Thank you!!