Insurance on a rental that's on my primary residence

[Zach Shull]

I have a property with a main house and a guest house/studio that is attached with a separate entrance. The house is my primary residence. I was told that I needed to have a minimum of a $1M umbrella policy for the  unit if I'm renting it out, in addition to my main homeowners insurance (the homeowners policy includes the guest house since it's all one building). But in the event something happens to the guest house, is there any additional insurance I should maintain? I was told I could only take out a separate policy if it was a completely separate building/parcel. Just trying to learn the whole insurance world! Thanks!

[Jason Bott]

@Zach Shull some of the issues you cite sound specific to the insurance carrier you are currently working with.  If you get some other quotes you will find different guidelines.

 If you live in the main house as your primary residence, you need to insure this property with a Homeowners policy.  A Homeowners policy can add Landlord Liability.  You would not go out to find a second policy for the rental.