How much insurance to get on a rental property?

[Pedro Bartolomei]

My partners and i are considering taken individual mortgages outside of our llc to be able to take conventional loans to purchase buy and holds . My question is whats a good rule of thumb for the amount of insurance i should get to protect personal assets in case something happens ?

[Steven Mallow]

@Pedro Bartolomei  I hate to give you a wishy washy answer but that all comes down to the value of the personal assets that you are wanting to protect and the amount of risk that you are willing to take.  I'm an insurance agent in MO and just go case by case on that with the clients I work with.  One thing that could be beneficial to your situation would be an umbrella policy over the top of your underlying liability limits and you may be able to find a company that is willing to use the umbrella to cover all of your personal policies on the different houses that you have in your name.  That should be a less expensive way to give you some peace of mind.  That's where I would start probably.  Hope that helps.