The cumulative impact of a lifetime of spending $5 per week is much less than winning a lottery. Most people can sustain a $5 per week hit, especially if they get the mental benefits described by the parent article.
There are better things to spend $5 on, but it's not a huge deal either way - as long as you stay out of the addictive/compulsive zone.
The losses covered by insurance are very impactful. Most people can't sustain the massive financial hit that comes from, say, their house burning down. It can make sense to lessen their day-to-day quality of life by spending money on insurance, to guard against that massive downside risk.
Hm. Most people collect on insurance for very-sustainable costs - drug benefits, dental for checkups, routine visits to the doctor. Where do those fit into this argument?
Personally, I would like insurance that pays only for large expenses. I know its a sucker game to pay insurance; since the insurance companies profit I must be losing. But 'group insurance' is not something I can change.
There are better things to spend $5 on, but it's not a huge deal either way - as long as you stay out of the addictive/compulsive zone.
The losses covered by insurance are very impactful. Most people can't sustain the massive financial hit that comes from, say, their house burning down. It can make sense to lessen their day-to-day quality of life by spending money on insurance, to guard against that massive downside risk.