@Paul FagotThere are several considerations that can go into the analysis of whether you need an LLC or whether a large insurance policy will suffice.

@Michael Pursell @Jonathan R McLaughlin is right about the liability, which made me think about homeowner's insurance.Be sure you talk to your insurance agent about whether an "unofficial rental unit" is covered or needs a different kind of policy.If there was some sort of claim, it wouldn't surprise me at all to see an insurance company deny the claim if it wasn't a legal, permitted ADU.

My question is, should I find the title insurance company or is that the buyers responsibility?

Texas  = high property tax  foundations and storms.FLA = medium prop tax  HIGH insurance.. check that. 

I got a quote of $1000 for 44 months coverage with a deductible of $45 each claim.

Brian Jensen at cross insurance in Windham PM me if you want his number 

I could insure it myself at that rate.

I know it is in a flood zone for it has flood insurance.The current flood insurance is about $150/month which totals $1800/year.

SFR in Humble for $2000 annually, which is in addition to any other hazard insurance or liability coverage.

And yes, insurance will cover some of that but you'll have a deductible and it will cause your rates to go up.But probably the worst thing with trees is underground.