The liability beyond $500,000 is carried by the umbrella.

I have enough umbrella policy to cover all my rentals.

With no LLC, we are going to buy an umbrella policy for this one and only rental (though hoping to buy a couple of more in the next several years), but for now, which sounds like a better buy...$2 million for $579/yr or $3 million for $779/yr...I'm inclined to CYA (ours) for $3 million.

I keep pretty good track of all my expenses with mint.com.I have a million dollar umbrella policy through my homeowners insurance company.

And you should consider adding an umbrella liability policy. ( 3-4 hundred dollars annual for a single house for maybe $3,000,000 liability)But, be careful, interest rates are rising. 

All are insured under my LLC's name at current market value (not replacement value - helpful in low-value areas) with a $500,000 umbrella.

He also advised having an "Umbrella" insurance policy on myself for protection....which I have.My plan going forward is similar to yours as well in that I want to use my flip cash to eventually start buying investments to hold.

Just because the trust that held your loan was dissolved prior to the Wamu collapse/Chase takeover, doesn't mean the loans in that trust weren't transferred somewhere else under the Wamu umbrella.

Insurance was about 1300 for the year with umbrella coverage.

Hello BP members,I am considering placing my rental property into an LLC for liability protection and dropping my umbrella insurance due to a spike in the rates and the fact that we don't own an automobile.