Invalidation of the registered title deed by the courts solely on the basis of civil law, while disrupting the legal and psychological security of the society, has a destructive effect economically. Registration is based on human actions. Therefore, despite all supervision and controls, errors in the process of land registration, and even fraudulent registration of transactions, are possible. Since it cannot be stated that all information recorded in the registration books is in accordance with legal reality and correct, in order to be able to trust the information included in the aforementioned books, the principle of the indefeasibility of the title deed is needed. On the other hand, the principle of “insurance or guarantee” expresses the concept that if a property right is registered, it is guaranteed by the state. An economic analysis of the country’s registration system requires the acceptance of the insurance principle. In addition, the public trust theory, the theory of the independence of the registration system, the theories of citizenship rights, risk-based civil liability, the principle of full compensation, the principle of fairness in compensation, the examination of explicit legal cases, the citation of the jurisprudential rule of no harm, the rule of reasonable restitution of property and reasonable redress of damage against public interests, the legal capacities of state compensation for damaged, and the legal analysis of the rule of Article 22 of the Registration Law are all principles supporting compensation for damage caused by registration errors instead of invalidation the title deed. The authors of this article also believe in the modified acceptance of the principle of "insurance" after adapting it to the country's registration and legal structure. However, the latest will of the legislator in Article 13 of the Law on the Requirement to Register Real Estate Transaction, contrary to the aforementioned rules and even contradictory to some of the strategic principles accepted in this law, incorrectly implemented the institution of "title insurance" and explicitly accepted the possibility of invalidating the registered transaction.