If you are not substantially wealthy, then your best coverage option may simply be bankruptcy versus a paying more for liability coverage / umbrella.  

You want invested money that's 100% protected if you go under (it's protected from bankruptcy)3. 

I prevailed (in theory) with a Court judgement for 8 months back rent, of which they still won't pay, and now they're filing for bankruptcy which means I'll never see a dime....Moral of the story....Repossession is the goal!  

Owner filed bankruptcy in 2011. 

@Lynne HartWhile you eventually think you can recover the property - just realize most savvy people file bankruptcy and can drag it on for 1-5 years without making payments..I would just counter all cash at list price or slightly below.

If Lessee defaults in the payment of any payment due under the terms of this Agreement, or defaults in any other obligation contained herein, or if such property or any part thereof is seized or levied upon or attempted to be seized or levied upon under any legal process issued against Lessee, or if a debtor's relief proceeding or a bankruptcy, receivership, or insolvency shall be instituted or filed by or against Lessee, or if Lessee shall enter into any arrangement or composition with creditors, this will be considered a breach of this Lease Agreement, which shall automatically terminate it.

If you declare bankruptcy, for instance, it puts your foreclosure on hold.  

The two-income-household is more than twice as vulnerable to financial failure as the one-income-household was.But while Elizabeth Warren got to these conclusions by studying bankruptcy data to figure out how not to go broke, what I found truly fascinating is how Thomas Stanley, author of The Millionaire Next Door, coming at millionaire surveys from a completely different political point of view, REACHED ESSENTIALLY THE SAME CONCLUSIONS ABOUT HOW TO GET RICH.How ordinary people easily succeed financially:1.

I am looking for Some help in regards to sending out some letters to homes in my area that are in “Pre-Forclosure” or “Bankruptcy” status.  

I would like to get everyone's input if you ever had experience with any of your tenants filed bankruptcy, can you share your experience and advice?