Insurance protects you against many different things. Within the product type home insurance that Hedvig sells, the insurance should compensate for financial losses that you suffer if your villa or private property were to be lost or damaged. The insurance also compensates you if you should get into trouble when you are traveling, or if you become responsible for having injured other people or their property. In addition to all of this, your insurance will also reimburse you for litigation costs. Litigation costs.