It is important for everyone to understand and give consideration to exactly what you would do should an accident, particularly a severe accident, happen that causes severe damage to the property you own or the property owned by others or a severe bodily injury happens to another person where it could be demonstrated the accident was your fault, or partly your fault.
You may not have need to transfer those risks of financial loss to anyone else IF you have enough cash in your bank to pay for the loss, but…. if you do not have enough cash on hand and are required to pay for such a financial loss, you may wish you could rely on someone else to indemnify/reimburse you the money necessary to make restitution.
When you buy insurance, you are in fact transferring your risk of severe financial loss to an outsider (an insurance company) who will indemnify/reimburse you when a certain accidental event takes place that costs you money.
We urge all to think of buying insurance as a measure to eliminate extreme financial loss or even ... bankruptcy. It doesn’t make paying the premium cost any easier but it does provide a measure of financial security. After all everyone works hard all their life and none would want to face total financial destruction.