If you fail to follow the rules, you may open your personal assets to a lawsuit.

I am having a hard time finding insurance that will protect my company from lawsuits from buyers, contractors, etc. 

This can include filing a lawsuit for damages or eviction proceedings.Consider security deposit: If your lease agreement allows it, you can use the tenant’s security deposit to cover the cost of the damages.It’s important to note that before taking any legal action, you should consult a lawyer for legal advice, and always follow the state’s laws and regulations.It’s also important to remember that, as a landlord, you have a responsibility to maintain the property and make any necessary repairs, so you should always inspect the property regularly to detect any issues early on and avoid further damages.

The only downside to having two llcs is the fees for the extra llc but again, I wouldnt have anything in the contracting LLC that I wasnt willing to loose due to the nature of the business and the potential for lawsuits in that arena.

Form a disregarded LLC or multiple ones to hold title to your real estate so that if a lawsuit occurs, the LLC will be the defendant rather than you.

If you look at most gurus they do the guru thing because they can’t make $ in real estateI am in the note space and several of the guru’ are scam artists with lawsuits against them.It’s easy to lie on social media because you don’t have to provide any legitimate info to it to substantiate it

If you get sued by a tenant, you don't want them to lump your flip business into their lawsuit.  

It’s also just as important to search their name as the plaintiff to see their lawsuit history, you might be next :).

There are things you can do to mitigate future lawsuits, etc. under Michigan law regarding contamination. 

However, when dealing with contingency lawyers for frivolous lawsuit, if they can't see what you own and the amount of asset you have, you are a less interesting target and it may prevent some actions against you.