That's interesting. My personal reasoning has been that insurance is a bad deal unless either: 1. you believe you are at higher risk than the typical person bu

That's interesting. My personal reasoning has been that insurance is a bad deal unless either: 1. you believe you are at higher risk than the typical person buying the insurance (or more practically, that [cost of insurance] < [payout amount] * [likely of payout]). 2. the outcome you're insuring against would otherwise be financially ruinous (e.g. life insurance on family breadwinner, homeowners' insurance on expensive house)