[riri]

That means everyone else pays for it. No way

I have actually read an idea regarding risk management that could include livlihood insurance. For example an individual could buy a policy against an erosion of income of people in his occupation, against erosion of income of people with his characteristics (in terms of job history or education.)

It is an intersting book and the author puts forward a lot of "outside" the box ideas regarding dealing with the risks that we face and how to deal with them without government intervention, droves of people living in poverty and at the same time not discouraging people from taking the kind of risk that could lead to great success stories.

[lelio]

It is an intersting book and the author puts forward a lot of "outside" the box ideas regarding dealing with the risks

Got a title for that book? Would like to read it. I've often thought that insurance is the way to take care of corporate financial scandals. The company takes out audit insurance.

Now the company doesn't pay its own auditors which 99% of the time taints them. The insurance company is responsible for it as they're on the hook for millions if an investor digs up some dirt. Everyone now has an incentive to be better.

As for personal earnings insurance, that could be a hard one to sell. The companies would have to know a lot more about you and that involves spending a lot of money and I don't think they could make it back in premiums.

I suppose bankruptcy is a form of insurance. If you get way into debt then you could declare that and the people that leant you money end up paying a premium of sorts.