There are multiple ways to protect your assets. While there is no one-size-fits-all approach, there are a number of options that should be implemented.
1. Insurance: Depending on your assets and profession, you should have various policies to adequately cover potential losses. For example; 1) Renter's Insurance if you rent property; 2) Homeowner's Insurance with an Umbrella Rider is you own your home; 3) Automobile Insurance to cover each vehicle you own/drive; 4) Business Insurance if you own a business to cover general liability, professional liability/malpractice, and employment practices.
2. Marital Property Planning: If you are contemplating marriage, the first method of asset protection is a Prenuptial Agreement to protect the assets you bring to the marriage from a divorce. If you are already married, you can still enter into a Postnuptial Agreement. Marriage itself can also provide some protection by carefully titling assets in either both or one of the spouses' names.
3. Business Entities: You can have a business entity hold assets to limit liability between your business and your personal assets.
4. Comprehensive Estate Plan with Trust(s): You can establish specific types of trusts to hold some or all of your assets to protect them from variety of situations including, bankruptcy, creditors, divorce, and estate taxes.