Homeowner insurance does not necessarily have to be escrowed, but it is common for lenders to require escrow accounts for insurance and property taxes. Escrow is a financial arrangement where a third party holds and manages funds on behalf of the buyer and seller during a real estate transaction. In the context of homeowner insurance, escrow accounts are often used to ensure that the insurance premiums are paid on time. This provides protection for both the homeowner and the lender, as it ensures that the property is adequately insured. Lenders may require escrow accounts to ensure that the insurance premiums are paid and that the property remains adequately insured throughout the life of the loan. This requirement helps protect the lender's investment in the property. However, not all homeowners are required to have escrow accounts for their insurance. It ultimately depends on the terms of the mortgage agreement and the lender's policies. It's important to check with your lender to determine if escrow is required for your homeowner insurance.