Lyle will be outside your door every Saturday, offering insurance until you finally buy it. Once you buy it, the next day he will have sent you 100 Bells for each time you tripped, fell in a hole, or got stung by a bee.
On Saturdays, you'll notice someone walking around your house in a suit. This is Lyle. He'll offer you "Accident Insurance" for 3,000 Bells. While the way he talks and the yellow star in his eye make it seem like a scam, it really is not. Buy the insurance and if you ever fall over, get stung by bees, or fall in a pitfall trap, he will send you 100 Bells for each event. Note: Definitely take advantage of this. The next Saturday, he will offer you fraud insurance for 6,000 Bells. If you buy it and ever receive an item that is fraudulent, you will get back the amount of bells you paid for the item(s). Both are definitely useful.
Buy the insurance from Lyle. Animals sometimes say "I hear there is an insurance scam going on! Be careful!", but he is actually trustworthy and you should buy his insurance. First, bring about 7,000 Bells to Redd's and become a member. Redd appear at random. When taking Lyle's quiz, he will ask you what day you want Redd to appear and, even though Lyle claims he has no association with Redd, Redd will appear. Next, shake trees repeatedly until a bee appears and stings you. Do not put medicine on it. Lyle will send you a letter with 100 Bells attached. Also, spend a few thousand Bells on the Tut helmet and run all the way down to the beach. You will fall and Lyle will send you another letter with 100 Bells. Note: Lyle does not send letters when you fall in a pitfall.