Insurance
Insure is defined as to guarantee against risk or loss of (income, life, property, etc.).
We can self-insure, or we can share risk by purchasing insurance. When we self-insure, we accept responsibility for the cost of replacement. For example, if we break a coffee maker, we simply replace it, because we can do so without undue financial hardship. However, having to replace a house, or income (due to illness, injury, or death) would likely result in financial hardship, so we might share the risk by purchasing insurance.
Since most people do not have the financial resources to cover substantial losses, it is important to protect your standard of living by purchasing insurance.