Things can go wrong.

Floods and bushfires and car accidents. You get sick.

All of them can cost you money: things you'll have to replace; things that might cost a lot of money.

What you can do though, is pay somebody a smaller bit of money each year so they will replace what you've lost. It's called Insurance.

You cover the risk that something bad will happen by paying an Insurance company a thing that's called an Insurance Premium.

Of course there's always a risk that you might pay Insurance Premiums all your life and never make a claim - while other people make claims and the insurance company uses your money to pay them out.

It's a risk, but so is having a car accident - and if that happens, you'd be happy you paid your Insurance Premium.

It's all about putting money away for a rainy day ...