If your down payment is less than 20%, you must pay the mortgage insurance premium. This cost is added to the mortgage.
This insurance exists to only protect the lender. It’s important to understand that this is not to be confused with mortgage insurance that might be referred to as life insurance, which is paid upon your death to cover the remainder of the mortgage.
There are three mortgage insurers: Genworth, CMHC, and Canada Guaranty. Most lenders work with at least two of these insurers, and all insurers provide comparable products and similar packages.