For example let's say you have an older home with plaster walls, your contractor will replace them with drywall at a fraction of the cost but the insurance covers the cost to replace with plaster which could be thousands of dollars more.

If managed correctly, the rental income should cover your property expenses (like mortgage, insurance, and maintenance) while still leaving you with positive cash flow.

They probably had to come up with money to cover a lien claim or such, resulting in the charge. 

Nevertheless, I'll likely need the cash to cover the mortgage and repairs.

In my research, default rates are pretty high amongst 401ks loans. 5) If you leave your employer and want to rollover your remaining balance to an IRA to be able to invest in real estate, known as a self-directed IRA, you have to either A) Payoff the loan first, or B) When you rollover funds, the loan balance will be immediately distributed to you, thus taxes and penalties, and you forfeit all that tax-advantaged money back in the account. 6) 401ks are generally covered under federal ERISA rules, which affords you additional creditor protections, from outside of the 401k judgments.

You treated them as part of your personal finances when you wanted to lay your hands on some money BUT want to think of resulting debt as part of the business and are frustrated that the rents aren't covering that debt.

The umbrella policy covers both of those policies

We have also used a portfolio loan on LTR's to pick up one because we didn't have leverage on around 14 houses so the cash flow from those 14 definitely cover the payment on the str. 

If you're getting a roommate to help cover the costs of bills and expenses, that's one thing, but you would need to be living there. 

You might get a decent discount for adding the policy to your overall stack.I would also look at adding an umbrella policy to cover the whole shebang.