The Magnetic Insulation node is the default exterior boundary condition for the Rotating Machinery, Magnetic interface. It adds a boundary condition that, on boundaries with magnetic vector potential (Ampère’s Law domains) sets the tangential components of the magnetic potential to zero at the boundary
n × A = 0. On exterior boundaries with magnetic scalar potential (Magnetic Flux Conservation domains) it sets the normal component of the magnetic flux density to zero
n ⋅ B = 0.