If you are worth “something” then you need the umbrella policy.

(The claim situation)How did the umbrella policy protect you?

Also, most Umbrella Policies only pay out if your underlying policy pays out, and the underlying policy will do everything they can to find an exclusion or that you were negligent (which you probably were) in the cause of action to get out of paying the claim.

I have landlord policies for my rental properties in TX and AL states, but I am not able to get an umbrella policy form my current insurance company, because I do not have car insurance and primary residence in US, as I am not a resident in US.

Quote from @Brandon Larson: It's important to have established policies and procedures, but I wouldn't put a lot of effort into that with only a duplex under management.

Loss of rental income is only covered if it is listed in your policy.  

My bridge rate is 10% and results in a $1,500/month PITI payment.The negative cash flow stings but is worth it for the equity.

I appreciate all of the detail but what information was provided to the agent that wrote the policy?  

The down fall is a Heloc can "Never" be used as an asset or for PITI reserves required when buying a new Primary or investment property.A heloc can also cause major issues with credit and one slight hiccup or missed payment the bank or lender who is holding the Heloc can close or reduce your line of credit.

However, most of these properties still cash flow well (or enough to cover PITI).