There are several aspects to drawings that are far more in depth than just basic line work. The way layers are handled, the way colors are handled, the way layouts are sized and title blocks are placed etc. and much more. Creating this setup every time you want to start a drawing is extremely time consuming and templates save a lot of time.
From my current day to day each of our clients has specific way they want their drawing returned. We have created templates so that every drawing created for the client meets their needs.
CADnoob
Templates offer a number of ways to help develop consistency in your drafting efforts. Like @TheCADnoob stated, there are a number of different ways different clients, groups or disciplines want things setup in their drawings. Templates can be used to standardize your layers, your initial drawing settings (Snap, grid...), plot settings, Title Block, Typical blocks, Linetypes, Text Styles, Table Styles, Dimension styles and more... Some companies rely on Templates to help stay consistent and juggle varying standards for different clients, some will use AutoLISP (one of the many AutoCAD APIs) and customization methods (thinks Menus, Pallets, toolbars...) to do the same or even a mix of those and templates. One thing about AutoCAD is there are typically many ways to do something. Finding balance and an organized and efficient method of managing it all can be challenging at times, but once you get things setup consistently and properly train your users, it will hum like a well oiled machine. Till of course someone breaks it. LOL
Good luck,
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