You can spend 6 months of the year in Mexico on a tourist visa. Over that, you have to apply for another immigration status to allow full-time residence and there are income and/or asset requirements for those. Re insurance, the out-of-pocket cost of medical care is extremely low - but suggest either extending travel insurance and/or a Air-Evacuation plan like SkyMed that will fly you back to Canada. For permanent residents, they will typically buy an catastrophic insurance plan.  see Focus On Mexico dot com for more info.