Medical and health insurance is a scam. Other types of insurance not so much. Without insurance half of the economy wouldnβt exist.
Discussion
yes, lots of insurance scams about. Can insurance work in a hard money environment? Not really.
Insurance has worked brilliantly under the gold standard. You can have production at scale without quality insurance.
You canβt*
You can. Insurance cant work without fiat printing to cover the scam.
Insurance is nearly 4000 years old. It predates the oldest paper money by about 2000 years.
We dont know the true timelines in history and none of this i verifiable.
However, mathematically, no insurer can cover all of their liabilities - so it is a fraud, the same as fiat money and central banking.
We know the timeline here because itβs written in stone (literally). Itβs called risk management. Apart from catastrophic events, every other claim is easily handled. Mathematically. For catastrophic events there is reinsurance. 99% of catastrophic claims are handled and paid with ease as well because they donβt occur every day. The 1% is usually War/Radioactive type events that are not covered by most contracts on Earth.
Look at Saylors chart - as an example and do the math
Real estate is worth 330T - Gold $16T. how can everyones house be insured? At some point, under hard money standard, they will default as liabilities>assets.
This means they would be insolvent and operating fraudulently. 
Heath insurance in the US is a scam. Where I live it's definitely not a scam and is useful to protect against outlier events.
Risk priced fiat is the problem.
Yeah you need to adjust the time horizon based on how much fiat garbage you think they're going to print over the policy period
Some niche insurance products like βBest Doctorsβ actually work well. In my country, voluntary health insurance is offered as a free employee benefit, and itβs decent. The problem is adoption. The more companies provide it, the more people demand it and the total costs rise. Eventually this eats into wage growth, which hurts most those who donβt use it often.
Insurance works because pooled contributions cover infrequent events with margin left over. But if claims rise past a certain threshold, the tradeoffs outweigh the benefits. Health and life insurance start to look like pensions - fine until they arenβt, because the system goes to shit once too many people rely on it.
Thatβs not the case with property, cargo, construction, or business interruption insurance. Those risks are rare, but when they strike, they can wipe out an entire factory or supply chain. For businesses, the value of insuring against catastrophic loss is obvious and lasting.