You might want to review the laws of your state with respect to the protection afforded you by the corporate shield for tort liability.

An injured party may seek redress for damages arising from an a defective search either under the law of contracts or the law of torts (negligence).

You really need to both incorporate/form an LLC and maintain adequate insurance to protect your personal assets. In Connecticut the corporate shield will protect corporate officers/LLC Members against contract breach liability but not against tort (negligence) liability.  The reason for this being that negligence is beyond the scope of the duties for which the officers/LLC members were hired.

In Connecticut the statute of limitations is shorter for tort claims that the statute of limitations for contract breach. The e&o insurance protects the defendant against tort claims. The corporate shield protects the defendant against contract breach claims provided he has observed the required formalities in execution of the contract, performance of the contract and disclosure of the principal.