I think the problem is that many people are reactive when it comes to risk. Most people tend to be risk averse, which is counterintuitive to the empirical obser

I think the problem is that many people are reactive when it comes to risk. Most people tend to be risk averse, which is counterintuitive to the empirical observation that they don't prepare well for so-called "black swan" events. I suspect it's a case of moral hazard, which makes perfect sense. It's a lot easier to gamble someone else's money.