That’s the whole point of insurance... to cover an expensive product if something happened. If nothing happened, great. But life isn’t like that for everyone, that’s why we buy insurance in the first place.
I am super careful with my devices. Despite that I’ve broken several screens and AppleCare+ made the replacement of those screens a LOT cheaper than had I not had it. I’ve also had AppleCare+ replace my devices (for free) in several situations where the Apple Genius decided they’d replace it for free because of X defect. It has more than paid for itself over the course of the many years I’ve had iPhones.
I’ve experienced preferential treatment at Apple Stores with AppleCare+ - saving me tons of time.
In a perfect world - is it a waste of money? Yep. Is it a perfect world? Lol.