If you would like higher limits than $1M, you would get an Umbrella Policy.  

I also suggest you buy an Umbrella policy covering lawsuit.

It seems that the tenant has decided to sue whoever it is.Also, PM asked me if the property is under LLC, or just has umbrella policy.

I was then able to form the LP with myself as general partner and him as a limited partner, and took out an umbrella policy to cover my liability. 

I will likely be adding umbrella coverage sometime in the near future assuming I can find something at a reasonable rate that will cover all of my activities.

@Mike Dymski, Totally agree that a professional investor is an investor in all weather whether they're buying umbrellas or sun screen. 

Hold in our own name and purchase liability insurance (incl. umbrella insurance)2. 

Lots of people do it and she has never seen a loan called for full payment because of it.She also mentioned the trend now is people are just getting huge $1M umbrella policies to protect themselves versus moving into an LLC.

If you are independently wealthy or have a boatload of equity in the property buy an umbrella policy, otherwise I wouldn’t bother With an llc.And of course....These words were typed by a non-lawyer saying what he would do, now what you should do. 

@Mike RyWhen establishing a LLC under the umbrella of a parent self-directed IRA LLC or Solo 401(k), there is nothing particularly special about that LLC that is required.