Insurance is the most misunderstood concept in the world and it’s needed in more situations than any other financial product. Insurance is the concept in which you cover a risk. So you say what is a risk? well you take a risk everytime you do something. If you get up in the morning there’s the risk that you might not make it through the day.?If a fire started while you were cooking breakfast, you would have to cover the risk of fire. If on the way to work you risk getting into an accident. At the job you risk falling down. Going to lunch you risk being hit crossing the street. So insurance is a way for someone else to cover that risk for a fee. In return when one of these things happen the insurer has to pay to make it up to you. If there’s a fire he will replace the damage and make it like it was. If there’s an accident he will fix your car. If you fall at work he will pay you while you recover and if you get hit crossing the street he will pay your medical bills and if you die in the accident he will pay your beneficiary to put you away nicely.??So everybody needs insurance even if they don’t like paying it.