IL Tax Deed - Is a house title uninsurable for a time period?

[Mike Ganske]

Does anyone know where I can find info on how IL tax deeds work? 

I purchased my first BRRRR. I'm about to close on my second and was using the first as extra collateral to get better terms from my hard money lender. The title company for the second deal has informed me the first was a tax deed and they can't insure it for up to two years. The tricky part of this I went back and searched the tax records and now it shows a tax deed was done from "ABC, LLC" to another "XYZ, LLC" and one week prior to me closing on the first deal. This seems very shady. Unfortunately I'm not that familiar with tax deeds so any link to material I can read, or if anyone has experience with this, I'm all ears!