In electrical systems, terminals 95 and 96 on an overload relay serve a crucial role in motor protection. Terminal 95 is the common terminal for the trip circuit, and terminal 96 is the normally close contact. When the overload relay detects excessive current in a motor, it activates the trip circuit. This action causes the normally close contact at terminal 96 to open, initiating protective measures, such as disconnecting the motor from the power supply, to prevent damage due to overcurrent.