Why are neurones insulated?
Without insulation, the neurone's electrical signal would dissipate as it travelled along the axon, making long-distance communication inefficient. Furthermore, myelination allows for an increase in the speed of neural signal transmission. The greater the thickness of the myelin sheath, the faster the conduction of the neural signal. This is important for quick neural reflexes and other time-sensitive neural processes.
Therefore, insulation of neurones by myelin enables fast and efficient transmission of electrical signals and allows for complex communication within the nervous system.