Know Your Insurance

Home Insurance (Fire Insurance)

If asked what your most valuable asset is you are likely to answer your home. Not only are you going to want to protect your greatest investment and the contents within, but your lender is going to want to see you are protected as well. You will be required to show proof of insurance via an Insurance Binder Letter via your insurance provider.

Homeowners insurance is separate from both default and mortgage payment protection insurance. It is designed to provide insurance in case of fire or other damaging events. It protects the home itself and the contents within. It protects you should you be sued because of injury or damage caused on your property. Contact an Insurance Broker for further details on policy terms and conditions.

Almost all insurance companies offer some form of homeowner insurance.  If you purchase your home insurance from the same provider as your vehicle insurance you will likely qualify for a multiple policy discount of 15-25%.

Mortgage Payment Protection Insurance

Buying a home is a major financial commitment; likely your largest investment. It also provides security and a safe space for family. Are you prepared to manage if life throws you a curve-ball?

When a loved one is hurt or passes away, the last thing family members should have to worry about is whether or not they can keep their home.

Our Mortgage Insurance plans are specifically designed to assist with mortgage payments in the event of injury, illness or death. You’ll have peace of mind knowing your family won’t have to give up their home if something were to happen to you.

Our clients are presented with a quote and receive the benefit of affordable premiums. Your premium is set at the time you apply for insurance and does not increase as you get older. It’s also portable so you can take it with you if/when you move. 

No matter which mortgage payment frequency you choose, your premiums will be conveniently collected from your bank account along with your mortgage payment.

If you would like to learn more or would like to apply for a mortgage with mortgage life insurance included:Contact Us.

Mortgage Default Insurance aka CMHC Fees

For most Canadians the hardest part of buying a home (especially a first home) is saving the necessary down payment.  

If you have less than 20% of the purchase price to put down, you will be required to purchase mortgage default insurance through your lender. There are three mortgage insurance providers in Canada: CMHC, Canada Guaranty and Sagen and one of these providers will provide the insurance coverage to protects your lender against the event the mortgage goes into default.

By providing Mortgage Default Insurance to lenders, CMHC, Canada Guaranty and Sagen enable you to finance up to 95% of a home. This means you can buy a property with as little as 5% down payment. While you may have to pay an extra premium for their services, these mortgage default insurers have made home ownership possible for millions of Canadians who would otherwise have had to wait much longer while saving for the necessary down payment.

The amount of the premium you will pay varies based on the amount of your down payment and amount of your mortgage loan. To determine actual costs click to see CMHC’s Premiums or Sagen's Premiums