It is actually the velocity that is squared, not the mass as in 1/2mv^2.
It is no longer a vector quantity unlike momentum. Generally, momentum is always conserved in the absence of an external force, where as energy may or may not be. So in the case of a simple collision that's elastic, energy is conserved, whereas in one that is inelastic, it is not.
In some simple collisions such as where objects stick together, it is enough to use conservation of momentum. In others, even fairly simple ones, such as the following:
a small block of mass m moving at velocity, v, collides with a heavier block of
mass 3m, find the final velocities of each block.
Using conservation of momentum,
mv=m*v1+3m*v2
Two unknowns, one equation. A dead end. Thats where conservation of energy comes to the rescue, it gives us another equation so that both v1 and v2 can be solved for. That help at all?