The meaning of insulation in dream | Dream Interpretation
Separates and protects one from the undesirable , i.E. Spiritual armor; see “padding”; research item
Dreams of insulation are symbolize that you are padding yourself, wanting protection, warmth and nurturing. Perhaps you are having the foresight to prepare for potential lean times.
If you are too protected, then you may be attempting to escape or hide from intimacy. See Fat.