Question 1. My estate is very modest (under $150,000). What do I need to do in this sue-happy country to obtain maximum asset protection?

Answer.   This is often very difficult to achieve. The answer primarily depends upon the type of assets that you own, and whether they are free of indebtedness. If a residence is your primary asset and you live in a state which provides for a substantial homestead protection ($100,000 or greater), such as Arizona, Florida, Iowa, Kansas, Massachusetts, Minnesota, Montana, Nevada New Hampshire, Oklahoma, Rhode Island, South Dakota, and Texas, then you may be protected from the claims of creditors. If you own your real estate in tenants by entirety, then if only one of you (husband or wife) is subject to a liability claim the property may be protected as long as you remain married or the debtor predeceases the non-debtor spouse. In certain states, annuities may also be exempt from the claims of creditors.