Look at argentina, a massive country where it is beeing implemented.
Mininalistic governance, security by private security and insurance
Discussion
I'm not sure if this exact system is being implemented in Argentina, but what you just described seems like a very good middle ground. I think that's where I am also.
What are your thoughts ?
https://mises.org/wire/idea-private-law-society-case-karl-ludwig-von-haller
I bookmarked this and one from the previous user. I will read them properly, and I will definitely try to provide a proper response. Thanks for sharing.