After the 2nd unit I have no money out of pocket for purchases or rehab as I have enough equity in my units to continue to buy as an umbrella effect.  

I’ve done rentals to this point  for eight years with just an umbrella policy but wanted to expand on that and also dabble in flipping homes when a good opportunity presents itself.

Obviously, I don't want to lose any property so I would want to make sure I have enough to keep everything safe and after I add a second property I would add an umbrella policy.

I have an umbrella policy for $600/year it covers all my properties, including my primary for $1 million per incident.

@Adam Craig If the coverages are the same and your commercial Liability Umbrella can go over the personally owned properties, then I do not see a reason not to keep the 7 on your personal property for now. 

If not how much of an umbrella should I add to my personal insurance?

I definitely will be getting an umbrella policy in addition to LLCs.I think you have a lot of experience and I thank you for sharing your wisdom with all of us!

It could always show up under the umbrella of the "overall appeal" of the property. 

Regarding lawsuits, I will have to secure myself under an umbrella insurance policy.

I'm getting umbrella insurance above & beyond my landlord insurance but am curious to hear from others on here how they may have gone about setting up an LLC for their investment property under similar scenario?