Most people save files to the Desktop or Documents folder. OneDrive folder backup copies those folders to the cloud automatically, so a lost, stolen or broken computer does not mean lost work.
You need to be signed in to OneDrive with your work or personal Microsoft account, and have enough OneDrive storage for those folders.
In some versions this option is called Back up folders or Back up important PC folders. The idea is the same.
If your company manages your computers, this may already be turned on for you by policy. If the option is greyed out, that is usually why.
The OneDrive app on Mac can also back up Desktop and Documents on many setups. Open OneDrive from the menu bar, click the gear icon, choose Settings (or Preferences), and look for the backup option. If it is not available, you can save your work directly in the OneDrive folder in Finder, or use iCloud Drive's "Desktop & Documents Folders" option. Use one of them, not both, to avoid confusing duplicates.
Next to each file in File Explorer or Finder, OneDrive shows a small icon:
The OneDrive icon in the taskbar or menu bar should look normal, with no red or yellow mark. A cloud with a line through it means you are signed out or offline.
OneDrive syncs deletions too. If you delete a file on your computer, it is deleted in OneDrive. Use the OneDrive Recycle Bin to get it back, and keep a separate backup for important business data.
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