Hi there! Stats say that if you are an investor for more than 10+ years, you have a 90% chance of being sued at some point. For long term investors, its not so much of if you will be sued, but when. While insurance is a good first line of defense, it is not conclusive. Insurance ompanies are a business and inside of that looking to mitigate costs. In doing so, they will often find reasons to not pay out on a claim. If thats the case for you, you want a true line of defense in a lawsuit - thats where an LLC comes in. An LLC separates you from your business so that if your are sued, your personal assets arent at risk. There are always ways to mitigate business liability by seperating out assets. Using an LLC not only provides liability protection but can open up opportunities for you for working with 3rd parties such as lenders or partners who require an LLC. If your LLC is set up correctly, the operations and financial pieces of it can be minimal and easy to manage. I recommend using a streamlined structure such as a series LLC to minimize bookkeeping, banking, etc. It is recommend that you put only one proeprty per LLC to minimize liability. If you have all proeprties in one LLC, they are in one "liability bucket" so if one property gets sued, the other(s) are at risk. For that reason, I would recommend one LLC per property or using a series LLC which is scalable. The series LLC will allow you to put on property in each child series so liability is minimized.
