Data Loss Prevention (DLP) is crucial for protecting sensitive information like personal and payment data, ensuring compliance with regulations such as HIPAA and GDPR. It addresses key issues like personal information protection, intellectual property safeguarding, and enhanced data visibility, while also mitigating risks posed by cyber threats and internal leaks. Effective DLP solutions can be tailored to various scenarios, including securing data at rest, protecting endpoints, and implementing specific policies to monitor data movement.