<prompt> Human: My mom recently bought a large and old;1908, which is why insurance is so high home in Detroit for around 27,0000 cash. It really was a bargain as it did not need much repair and the neighborhood is fairly nice, by Detroit standards anyway.She shopped around for insurance and the best price she got was 530 a month. I thought this was ridiculous so I called and got some quotes myself. I got the same prices. She decided thats the best shed get and just went with the company who also handles her car insurance. I cannot get over how much this costs. After all, I was the one who talked her into NOT saving her previous home from foreclosure as it was supposedly better financially for her she was paying a 700 mortgage and had 20 years left...the home sold after we left it for 7000...more than she paid in a years time. She is only paying 200 less than she was with that mortgage and is 63 years old and will be retiring in the next few years or so. At this price, she would have paid 30,000 to the insurance company in 6 years time, for a 27,000 home! I think she would be better off by not having any insurance and saving her own money for the home. That way, if something happens, she has the money. If nothing does happen, she just has an abundance of money...rather than paying some company aimlessly for however many years. I know this is not a common or probably even a well received idea, but I cant seem to find a problem with it.So my question is this. What would be the downside to her putting money aside on her own into a savings account every month? aside from the obvious; her not having much saved up should something happen between now and those 6 years That way, in 6 years time, she will have the money needed to cover the cost of the home. I feel like Im missing something, that is why I am asking this.On a side note: She is not the best with money, very undisciplined. Is there a such thing as an account that she can only deposit into and not withdraw from? I thought of maybe putting an account into my name, having the money deducted from her pay straight to the account and I am the only one who can withdraw from it...but there must be a better way for undisciplined folks, right?TLDR;My moms home insurance is 500 a month on a home she paid 27,000 for...wouldnt she be better off saving her own money in a savings account? What would be the downside?  <response>: Is this homeowners insurance? It protects more than just the cost of the house. For example, someone gets hurt on the property and sues. 