If you’re thinking of buying a home by taking out a mortgage, you may have some idea about an escrow insurance account. As a homeowner, understanding how an escrow account works can simplify financial planning.Your escrow insurance covers part of your homeowner’s insurance, mortgage insurance, and property taxes. In case any of these payments fall due, your mortgage lender can use the amount from your escrow account to pay them on your behalf. So how does an escrow account pay for homeowner's insurance? Click here to learn how.