So if you wanted to have ZERO out of pocket, then you would need to offer $67,500. 

@Geri May I'd recommend saving $ on the LLC and going with General Liability limit of $1M, and add an Umbrella policy if you feel you need higher limits.  

All depends on what your goals and risk tolerance are.

To protect myself, I have an umbrella policy versus the LLC. 

Typically zero closing costs, often you get access to more equity and you don't pay any interest until you draw on your line.

If you default, the lender has no recourse / protection (the lender takes back a property with zero equity in it).

But once you have a net worth over a few hundred thousand buy an umbrella policy.

In general I believe the LLC is the Insured of the policy and not the GP or LPs therefore the coverage should continue. 

What i'm struggling with is whether it's worth trying to do a non-recourse portfolio rental loan that combines all these into one loan. advantages are mainly that i get to wipe off the recourse nature off the record, can structure a 10-year IO period and ARM after that; however, the cost to complete is meaningful - 1% origination fee, $2-4k closing fees, new title policies cost of $15k or so, higher coupons of 4.3% +/-, prepay penalties and non-assumable, probably more difficult to selloff properties individually.

What i'm struggling with is whether it's worth trying to do a  non-recourse portfolio rental loan that combines all these into one  loan. advantages are mainly that i get to wipe off the recourse nature  off the record, can structure a 10-year IO period and ARM after that; however, the cost to complete is meaningful - 1% origination fee, $2-4k closing fees, new title policies cost of $15k or so, higher coupons of 4.3% +/-, prepay penalties and non-assumable, probably more difficult to selloff properties individually.