As far as I know, most banks around here require you to put your insurance and taxes in your monthly payments. We weren’t given an option. Is your bank giving you a choice?
It may be a state requirement or something, I don’t know. The only people I know who don’t have it in their payment are people who have their house paid off and don’t have a payment 🙂
imo, it does make it easier. our property taxes and insurance aren’t terribly high here compared to other parts of the country, i think they are each around $500/year. But it’s easier to let it go in the payment than have to come up with a one-time payment of $1,000 each year.