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> But by reducing risk, it also reduces accountability which allows people to take advantage of people in other, often illegal or unlawful ways, without any meaningful consequences when they get caught.

Is the above also an argument against insurance? If not, why not?



Insurance companies payout, unlike people with assets structured in a way that protects them. Thus insurance companies are heavily incentivized to reduce the likelihood of having to pay out claims. They are experts at estimating risk and managing risk.


In some places it is illegal to insure against liabilities stemming from criminal activity, for this exact reason.




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