I add tracking, mostly to protect myself. I've never dealt with insurance before, but I hear it is a long and arduous process. For my items, it would be easier to remake something than spend all the time and effort with the insurance. I think this depends on what you are making and selling. I've never had an issue with any shipping, but the tracking is nice to see that the item arrived, especially for buyers who don't leave feedback! It could also be useful at busy times of the year, when people want to know where their purchase is and if it will be arriving in time. I didn't do tracking for my first few sales, but read too many stories on their boards about difficult customers.