What is cancellation insurance?

It involves taking out a policy that covers both your outbound and return trip. It also includes your vehicle in case of an accident or malfunction. You can consult the conditions here. 

You'll need to take out the insurance before the reservation is confirmed and paid. 

The company you'll take out the insurance with is Allianz. You must direct your reimbursement claim to them in case of cancellation (you'll find all the information you need in the policy you receive with your ticket).