Zero advantage for your great family friend. 17k disadvantage to them for knowing you.

So how much did they lose in the crash - Zero!

What are the steps to collect full payment and to get balance to zero, as tenant always promises they will pay off balance next week, next week etc.Can we start eviction process?  

We use 14 days.Btw, this policy IS enforceable, even if you don't live at the property. 

Zero chance I would buy anything that next buyer has to assume.

Let them know you're an investor, looking to get hold over policies on properties (fi you might do some wholesaling or flipping) but also let them know you're a buy and hold investor and want to start building relationships with your title rep.

I know for many landlord insurance policies there are certain breed restrictions for dogs, and this bill would make it illegal to discriminate based on breed. 

@Caleb Smith a standard policy for rentals should have liability insurance built in.

She is close to retirement, wants to move to out of state with us, and have the peace/zero risk of not having the home in her name anymore. 

That decision depends on who you are, what you are willing to tolerate and what your market is.I thought the comment concerning the different types of damage was great - accidental, negligent and purposely.