Home Insurance is not a mandatory product while availing a home loan, but sometimes banks/financial institutions take your consent in the initial conditions(or sanction letter) itself that the property will be insured properly. Home insurance and home loan insurance are not mandatory as far as home loan is concerned but many banks have tie up with particular insurance companies, so they can force you to take policy from them. Though it is not mandatory but it is advised to take a home insurance to cover from unseen risk.
There is not much variety available when it comes to property insurance. For a structure specific cover, the premium could range between Rs 50-70 per Lac of the sum insured. In your case, suppose the sum insured (built up area in sq ft(2145) x cost of construction per sq ft (Rs 2000)) is Rs 42.9 Lac, you will have to pay an annual premium of Rs 2574(at Rs 60/Lac).