Local and state tax codes are far less complicated, and easier to research and don't play as significant of an impact into your business planning.

They are also a real pain to deal with and are complicated for a first timer.

It can be a very complicated world out there for turnkeys!

This is much more complicated and would need a lawyer to set up.

Once construction is completed, you will refinance with a conventional mortgage for the permanent financing.The fact that you have partners will complicate things for FHA and other mortgages.  

Surely I can't rent just to the insurance company; if I didn't get paid I suppose that would make it harder to evict the tenants.Despite these complications, I recognize that, if this and other insurance companies have a ready supply of clients with a need for temporary rentals of a few months, that could fit into my plans for this house, which my wife and I hope to use ourselves, but only in the summer.I'd appreciate some suggestions.

Are there upgrades that would help in easing some of the various "complications" that may arise while renting?

I know this is a complicated deal, I hope I clarified things.

Yeah that is quite a complicated one you have there.

VRs (and I'm assuming we are not talking the traditional beach or cabin rental) require a lot of day to day work, more money upfront, higher management and maintenance fees, varying degrees of complications and regulations depending on where you are.