Asset Protection 101: How to Protect Your Home from Lawsuits & Creditors

You can’t take it with you.

But if you’re not careful, someone else just might.

Americans face one of the world’s highest totals of annual lawsuits—over 40 million lawsuits are filed in the U.S. each year, according to OneLegal. Whether it’s a car accident, unpaid medical debt, or a business dispute, your home could be at risk if your assets aren’t protected.

You work hard to build something. One unexpected event shouldn’t be able to take it all away.

Why Asset Protection Matters

Think lawsuits only happen to the ultra-rich?

Tell that to the single mom sued after a neighbor slipped on her walkway. Or the retired couple hit with a six-figure judgment when a rental property tenant got injured. No estate plan. No trust. Just fear and chaos.

If your house is in your name alone and not held in a trust, creditors can come after it. Plain and simple.

Common Risks That Can Threaten Your Home

• Personal injury lawsuits (even from minor fender benders)

• Medical bills leading to liens or garnishments

• Credit card debt, especially after a death or divorce

• Business liabilities (if you're self-employed or a landlord)

And yes — if you pass away without a proper estate plan, your family could lose the home in probate battles or to outstanding debts.

What You Can Do Right Now

1. Set Up a Revocable Living Trust
   Transfer your home title to a trust to keep it out of probate and provide a layer of privacy and protection. It won’t protect against lawsuits, but it makes inheritance smoother and faster.

2. Use Your State’s Homestead Exemption
   Most states protect a portion of your home’s equity from lawsuits — but it’s not automatic. You have to file it.

3. Get Umbrella Insurance
   For $150–$300/year, you can get an extra $1M in liability protection. That’s a small price for peace of mind.

4. Keep Business & Personal Assets Separate
   If you're a freelancer, landlord, or business owner, form an LLC. Don’t let someone suing your business get access to your personal home.

You Earned It. Now Protect It.

We don’t plan to get sued. But we lock our doors at night anyway — not because we expect danger, but because we prepare for it.

“It’s not paranoia if it’s protection.”

Don’t let one lawsuit destroy everything you’ve worked for. Build your safety net now.

Start your journey with Legacy Promises Networks today and learn how to secure what matters most.