I feel like insurance on my business/rentals is a complete scam.

Only an idiot would pay off their credit card and ignore the $20 000 profitThe only calls the average Karen or Darryl gets to make quick cash will be majority scams. 

When they tried to make it bigger, everyone thought they're being scammed, I think because it's hidden in the monthly fee.

If they gave you fake info, they are scammers, and you got scammed.

Sounds like you might have got scammed by a fake lender.

Majority of them are scams.

(The seller was a complete crook and had pulled this type of scam before, tying up earnest money to extort some sort of settlement.)  

Last year, I had a situation where my buyer decided to not buy title insurance, title company buy mistake bought it, 6 months later they called and said high you got scammed but we made a life saving mistake and bought the title insurance policy.Turns out, this guy creates llc's with the same owner name on different states and claims the properties, and sells them.FBI is looking into this but I would never buy one without it after what I witnessed.

The Illinois side intimidates the snot out of me with what I hear of their anti landlord laws.  

If they are scamming you, or just stringing you along and playing you for a fool, file the eviction already, or file for a 501(c)(3), since you're operating a charity and not a business.