Utilities and Insurance for an LLC

[Kim Davis]

My husband and I just recently formed an LLC for a rental property we now own. The deed to the property is in the name of our LLC- with my husband and I being the 2 owners/members. My question revolves around utilities and insurance- do these need to be in the name of the LLC or can they be in one of our names? I originally thought I would put them in the name of the LLC but it is a major hassle and we seem to be paying more (especially for insurance) as they want to bill us more for "commercial"- even though the rental property is for a vacation rental/ residence. Is there a risk to putting the utilities in my name as long as I have our LLC name listed somewhere on the paperwork?

Note- we live out of state (not sure that matters) and we never plan to actually live in this property. It will always be a vacation rental.

Any help or advice would be appreciated. Thanks! Kim

[Nicole A.]

I would think it should all match. If this is a rental property owned by a business, then your business should insure it and pay utilities. If not, then it looks like you're comingling funds between LLC and personal funds.

Have you shopped around for insurance quotes? We have Statefarm.

My LLC owns two duplexes and the insurance is in the LLC name. So are utilities during vacancies (and water).