Pair that with a decent umbrella insurance policy, and you've got something that I've seen lawyers say is comparable in many respects to the goodies you get from an LLC.

Question - do I buy it in an LLC or in my name with an umbrella policy- These two are not mutually exclusive. 

I do one thing different with my clients than Kevin, I only recommend maxing out your liability coverage if you only have 1 or 2 rentals.... if you have more than that it is more cost effective and beneficial to place your liability coverage at the level that is required by an umbrella policy. 

Besides, if you don't have an Operating Agreement and if you aren't following it like a business, your LLC has the value of recycled paper.It's better to just get an umbrella policy unless you have more than $100,000 in equity.You can contact Keyt Law in Scottsdale to get further advice on LLCs and Taxes. 

My question is about an umbrella policy.

Do you have an umbrella policy, or LLC set up?

They each have a mortgage with a rate between 3.5% and 4.0%, so I don't want to refinance them into an umbrella loan or anything like that.  

There are many different insurance options you can look into, generally you would look into an umbrella policy if you are in the property with other tenants, if you have a single family home as a rental usually you would only have what they call a "fire policy" to cover the building but not the tenants belongings.

I also hear this is not likely if you are loyal and make your payments, but it sounds like a big risk to me.Others have mentioned getting an Umbrella policy to cover you.

Do I need to call my homeowners insurance or umbrella policy or anyone before doing this?