Personally I push for at least $1MM liability coverage.

Everyone always confuses PMC liability insurance on their own office and Errors & Ommission insurance with rental property liability coverage.

I didn't get an LLC but got an umbrella policy and talked with my insurance agent about the amount of coverage on the home. 

I thought to myself and thought the workshops must be very intensive.For me, the 3-day Real Estate Workshop was held at Roosevelt's Hotel.First Day:I was given two booklets--1) Real Estate Workbook (wich supplements the book they gave out before the workshop)2) Real Estate Elite Workshop Events Catalog (which I first thought was the daily schedule for the workshop but later found out it's an information packet on the $39,500 "elite" courses that they sell)The ironic part is that, through this three-day event, the so-called instructor Jason Jones referred to the Ad packet "Real Estate Elite Workshop Events Catalog" SIX times (he literally asked us to take it out and flip to certain page) and didn't mention ANYTHING nor asking us to read the "Real Estate Workbook ".

I would add that this is a geat time to reassess not only insurance coverage but any recurring expense as well as maintenance needs.

Typically I am seeing investors put down 30-40% to break even or cash flow a bit, so that is about the same as your 80% coverage ratio. 

It is the lender’s discretion as to whether the credit report should be supplemented with this information.Hope this helps.

My main advice for avoiding liability is: (1) work with a great insurance broker to get comprehensive coverage; (2) avoid signing full recourse personal guarantees whenever possible; (3) max out your 401(k) or defined benefit plan with ERISA protection; and (4) strive to reach a point where you’re not personally involved in the business’s day-to-day operations.Disclaimer: While I’m a licensed attorney, I’m not your attorney.

What is a storm rips through and trashes the roof, BUT the condo project does not have enough insurance coverage to fix it, the value of the all the units in the project just went down. or, even if they are able to fix it but  the coverage premium doubles so the HOA has to double the monthly HOA dues but half the complex can not afford it? 

Refinancing loans with a focus on Debt Service Coverage Ratio (DSCR) can be a strategic decision for businesses.