|If you format & reinstall, of course you will lose everything. If you do an "over the top" (aka "dirty") install, you shouldn't lose anything, but it may not fix whatever problem you're having. Just make sure that if you try the dirty install that you pay close attention to what you're doing. Windows setup will detect the original Windows installation & will then try to install to C:\Windows.000. Do NOT let that happen! All you need to do is change the folder to C:\Windows, in other words, remove the .000 from the end of the folder name.|
I don't know what your reasons are for using Win95, but if you'd spend some time googling, you'd be able to find exactly what you're looking for & then some.
Windows 9x Over-the-Top Reinstall
Microsoft's Windows 95 Install step by step