The problem, the HUGE problem is the lack of coverage while paying for insurance.

You are paying more and more, and then have to fight to get paid.
Many places just have no coverage for the major things. Like Florida and Hurricanes. California and earthquakes and fires.

So, you pay a lot, for a lot of nothing.

If you are a good handman, it costs considerably less to fix your house. But, if you have insurance, you don't save anything by doing so. In fact, you could get into all kinds of problems.

And, one thing humans do is they red-line it. Put off things, and hope it gets better, and they stay lucky.

Last, many areas where a natural disaster happened, the people without insurance got more than the people with.