Bandguy,
Here is what our expert had to say! I hope this helps!
If you have already closed on a mortgage which includes a monthly escrow for your insurance, you’ll need to call your servicer and see if they allow waiving the escrow. If you are in the process of closing a mortgage loan, ask your processor if you can waive escrow. By the way, if a lender allows waiving the insurance escrow they will typically allow waiving the property tax escrow as well. Because this is considered an added layer of risk (if the servicer is collecting monthly they are assured the annual payment will be met) most lenders charge a fee to waive escrows.
