Insert/Overwrite mode

I'm preparing an introductory class on word processing and have a couple 
of questions.

All of the materials I've been using to prepare for the class mention 
that overwrite mode is rarely used, and is typically entered by 
accidentaly pressing the Insert key.

Here are the questions:

What good is overwrite mode?

Why is it included in word processing software?


Happy New Year, everyone!
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