LLC versus personal umbrella policy for Indianapolis SFH rental

[Tyler Bolton]

My wife and I have owned a single family rental house in Indianapolis for 1 year and are trying to decide between an LLC versus a personal umbrella policy. We currently live in CA, but are moving to Illinois in the coming months - so this will be our state of residence soon. We have an insurance policy on the rental house (through State Farm), that includes a personal liability section, which is essentially equal to our current net worth.

Given that a tenant could sue for more than this if an accident occurred, we are thinking about adding either LLC or an umbrella policy (or both) as extra protection.

Any advice on which way to go, and if LLC, any recommendations for a law firm or company the Indianapolis area?

Thanks so much!

Tyler