It means infinitely more than that.
Like most Christians, you have swallowed the church paradigm hook line and sinker, but if you look a little further afield you will see it is utterly wrong.
Lets look at some other parallels.
Ex19v 6And ye shall be to me a royal priesthood and a holy nation: these words shalt thou speak to the children of Israel.
1Pet2v9But ye are a chosen generation, a royal priesthood, an holy nation, a peculiar people; ..............
The above Exodus19 verse is taken from the Septuagint translation of the OT, which many of the NT references come from, which is why there is such a parallel. But even in other OT translations, Israel is called a"Kingdom of priests", which means exactly the same as a royal priesthood.
Next parallel.
Ex23v20“Behold, I send an Angel before you to keep you in the way and to bring you into the place which I have prepared. 21Beware of Him and obey His voice; do not provoke Him, for He will not pardon your transgressions; for My name is in Him.
We should ask who was that Angel that God sent to accompany them in their escape from Egypt.
The answer of course is found in the NT-
1Cor10v1Moreover, brethren, I do not want you to be unaware that all our fathers were under the cloud, all passed through the sea, 2all were baptized into Moses in the cloud and in the sea, 3all ate the same spiritual food, 4and all drank the same spiritual drink. For they drank of that spiritual Rock that followed them, and that Rock was Christ. 5But with most of them God was not well pleased, for their bodies were scattered in the wilderness.
As can be seen, the Angel referred to in Exodus, who accompanied them out of Egypt, can only be Christ Jesus.
And again.-
Eph2v14For He Himself is our peace, who has made both one, and has broken down the middle wall of separation, 15having abolished in His flesh the enmity, that is, the law of commandments contained in ordinances, so as to create in Himself one new man from the two, thus making peace, 16and that He might reconcile them both to God in one body through the cross, thereby putting to death the enmity.
As can be seen, we the Gentile believers, have been grafted into the original body of Christ, the original ekklesia that God started when he called Abraham out of Haran!
Additionally, all through the OT, Israel is referred to both as a son, and the wife of the Lord, just as we are referred to as sons of God and the Bride of Christ.