There can be a lot of confusion around the different types of insurance when purchasing home. Here is a quick overview: Default insurance: This is provided through CMHC, Genworth or Canada Guaranty. It is required for purchases with less than 20% for down payment. It is a percentage based on several variables but mainly your down payment amount, down payment source and amortization. It is generally just added into your mortgage at origination. Home insurance: Otherwise known as Homeowner’s insurance. It is a type of property insurance that combines various personal insurance protections, which can include losses occurring to one's home, its contents, loss of its use (additional living expenses), or loss of other personal possessions of the homeowner, as well as liability insurance for accidents that may happen at the home or at the hands of the homeowner within the policy territory. It is required for anyone who is obtaining a mortgage. Life ...