In my housing loan application it gives the breakdown of the principal mortgage payment, taxes, hazard insurance and mortgage insurance. What is the mortgage insurance? It's an additional $70 per month.

Mortgage insurance, is PMI – if you put down less than 20%, YOU pay for the insurance that covers the bank, if you default on the loan. You pay this, until you have 20% equity in your house.

Hazard insurance is mortgage talk, for insurance that covers your house if something happens to it. Homeowners insurance, is insurance talk, for the cheapest kind of policy, that covers your house if something happens to it.

So. Mortgage insurance is PMI, and hazard and homeowners insurance are sort of the same thing.