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https://www.techadvisor.co.uk/how-to/windows/msvcr100dll-is-missing-3589464/
Here is the important part:
This is an uncommon problem that hampers some TL2 players. Have to re download those files from Microsoft themselves at their site.
https://www.microsoft.com/en-us/download/details.aspx?id=5555
EDIT: The real problem here is not the fact I needed to get MSVCR100.dll from MS. It's that for some reason when you install Torchlight 2 through steam it doesn't think it needs to run the VC++ 2010 installer if it sees that you have a newer version when it DOES need to run it. Otherwise it will not install MSVCR100.dll and the game will crash on startup.