Definition
Canada Guaranty Mortgage Insurance Company is the youngest of the three Canadian mortgage default insurers, founded in 2010 from the buyout of AIG United Guaranty's Canadian division. It is wholly owned by the Ontario Teachers' Pension Plan (OTPP) and Ontario Pension Board.
Its premium grids and eligibility criteria are aligned with CMHC and Sagen. Its market share remains more modest than CMHC's (~50%) and Sagen's (~30%), but it is regularly chosen by certain lenders for its Low Doc program (less-documented income) and recognized customer service.
From the borrower's standpoint, like Sagen, the choice of Canada Guaranty is made in the background by the lender. No impact on your everyday payments or conditions; potential impact in case of refusal at another insurer.