I did notice their expenses were lower then I estimated, also no line item for insurance.

You should, however have a copies stored somewhere for audit, lending, and insurance purposes.

County records, insurance records... whatever agency deals with the aftermath will likely have a record

If someone falls off your roof an insurance policy starts paying immediately while an LLC just sits there.

Are there any insurance brokers licensed in California on here?

Once again, taxes and insurance are going to be highly variable.

When making it a rental, do I need to change anything with insurance? 

Where there is some additional questions are whether items like health insurance for myself and my wife (the premiums not the actual medical expenses) would be considered part of this overhead (in the past we HAVE NOT put this into the "cost allocated" calculations for Sch E but instead listed them in Sch A.

There are duplexes.....in C Neighborhoods....on Zillow right now.....In Cleveland that are going for $73,000 that Mortgage, taxes, escrow, insurance, water, sewer, vacancy and capex  where the Gross Rents are $2,200 to $2,500 per month.......   

Before you DIY this check with your insurance company this is not going to cause some exclusions in coverage.