The calculator probably doesn’t think that much when it’s basically supposed to be an ad for a bank

The home insurance covers the home, so it’s useful for all interested parties (owner, possibly bank).

Even if the bank doesn’t have any interest in the house (cash sale/no mortgage), I would absolutely want to insure the house!

Owning a house means you don’t pay rent, but you do have to pay taxes and, unless you really want to gamble, insurance.