As for identity, for those who aren’t observant having a land is having a home base. Probably, most of those who identify as Jewish and aren’t observant, do so because of Israel. It also meant a lot to those stuck in the USSR.
The safety argument is that now there is an army. Another safety argument is that Hadar Be’eretz Yisroel Domeh Kemi Sheyesh Lo Elo’kah. There is a special Hashgacha in Eretz Yisroel — Tamid Einei Hashem Elokecha Bah…
I imagine you are asking about having it as an official state. The merits of being there is well known.