Well, at least in the US the point of an insurance company is to get as many people to pay as much as possible while paying out as little as possible.
And our government, rather than nationalize the risk-pooling to remove the scam aspect, prefers to mandate that people buy it while allowing the companies to do as they please and continue scamming everyone.
That's how auto insurance works. And I have a sad feeling that's what our "universal healthcare" will look like. Thankfully I don't think the government will mandate home insurance... at least not until the next big hurricane.

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"It's never over... BOY!"
The Tall Man, Phantasm III

Re auto insurance, Queen Madge our head of state, head of the church of England, defender of the faith, and her husband, Phil the Greek, appear to be the only people in the UK who can drive a vehicle on public roads without auto insurance, one reason given is that she has so much money she does not need insurance, another is that all prosecutions in the UK are made in her name, is this why Americans love the UK?