1. Insurance can provide an economic guarantee. When the insured faces illness, injury, death or other unfortunate events, the insurance company will give certain compensation or reimburse medical expenses according to the provisions of the insurance contract, thus reducing the economic pressure of the insured.
2. Insurance can also be used as a tool for retirement planning. Some life insurance and health insurance products can provide income after retirement and help people maintain a certain standard of living after retirement.
3. Property insurance can protect the property of individuals or enterprises from fire, theft, natural disasters and other risks. If the property is damaged, the insurance company will compensate according to the insurance contract.