01
Insurance for the lender
Default insurance protects the lender if a borrower defaults. It is different from home insurance and mortgage life or disability insurance.
02
The cost
For eligible purchases with less than 20% down, a premium is typically added to the loan or paid upfront. Premiums depend on the loan-to-value ratio and the program. Provincial tax on the premium may need to be paid at closing.
03
Eligibility still matters
The property, down-payment source, amortization and borrower must meet insurer and lender rules. The insurance calculator is an estimate for standard owner-occupied scenarios.
General information only. Product availability, eligibility and conditions vary by lender and application.