Why llc vs umbrella policy for first rental ?

[John Burtle]

What are the pros of putting a property in a llc vs just getting a 1-2 million dollar umbrella policy to protect yourself?

I’m refinancing my home that I currently live in into a conventional loan. Once I buy another house to live in I will rent the old house out. It will be my first rental. I’ve had people tell me put it into a llc when I’m ready to rent it for protection and tax benefits. Can I still get tax benefits if i just add an umbrella policy? 

I was going to hold off on the llc until I have 3-5 rentals. At that time I’d put all of them under the same llc. I understand talking to an attorney/CPA is recommended, but I figure I’d ask on here to get advice as well. 

Any advice would be greatly appreciated.