Prepaid insurance is when you pay your insurance premiums in advance. It is like a security deposit, so it is an asset, because if you cancelled the policy, it would be refunded to you).

Insurance expense goes on the balance sheet, as it is an operating expense.
What usually happens with these transactions is that the upfront payment goes on the balance sheet, and then each month, as you use the insurance up, you transfer a share of it out of the asset to insurance expense (possibly under cost of good sold).

prepaid insurance is paying insurance in advance & it’s an asset because it’s used for future benefit. insurance expense is used insurance that has expired.

prepaid insurance-balance sheet (all assets, liabilities, & equity accounts go on the balance sheet)

insurance expense- income statement (all revenue & expense accounts rev-exp=net income/loss)