Gold and silver, stored outside the financial system in a safe jurisdiction, is a wealth insurance and a crisis hedge that will protect you in the worst of situations.
Although bullion does not generate fiat interest, preciousness lies in the fact that it is a scarce commodity that cannot be created out of thin air, thereby increasing in real value over time.
As the major world currencies such as the US dollar, yen, euro and the Chinese Yuan devalue their currencies through extremely low interest rates and massive currency creation, the real purchasing power of fiat currencies is eroded despite interest payments.
The US dollar, for example, has lost over 98% of its purchasing value since 1913, whereas gold has increased (in dollar terms) by a factor of 60 over the same time period. Throughout history, excessively debased currencies will eventually become worthless and unsustainable debts will eventually be defaulted upon; but physical gold and silver, despite short-term price fluctuations, will endure as a reliable store of value as they have for over the last 4,000 years.
As we are entering times of financial turbulence and as more people realize the extent of our global financial fragility, it is only prudent to protect some of your wealth through the physical storage of gold or silver outside the banking system. If no significant crisis occurs you will be hardly worse off, but if a currency or banking crisis does occur, your physical bullion will be a financial lifesaver.