Some insurance is a legal obligation, for example car insurance . The law says that any driver must be insured against the possibility that they injure another person or cause damage to another person's property. Most policyholders choose to extend their car insurance cover to protect them against other risks too.
Some insurance is a wise choice when there is a risk that you would be responsible for thousands of pounds worth of damage. If someone tripped down the stairs at your house or was hit by a falling tile from your roof they could be out of work for a long time and have expensive medical bills that you are liable to pay for. Insurance offers you protection for these costs.