As there is no specific direction given in Scripture about entering into contracts to be reimbursed in the event of loss, we are to make up our own mind, without judging those who hold to a different view (Rom 14:1,5). Formulate your own convictions through Bible principles and reason, remembering we are to be wise stewards and protect what we have been entrusted with. It is wise to have at least third-party insurance on your vehicle so if you damage an expensive car that vehicle is covered and you are not liable for an exorbitant bill. House insurance is mandatory when there is a mortgage on it. Regularly review the level on your policies that have variable cover so it is adequate yet not extreme.
See also: choice, free will, stewardship.