This is, of course and we're all assured - a bad thing, and frankly I take a dim view of people that do it because it causes an increase in my rates.
On the other hand, why should we be forced to have insurance at all? I mean, it's obvious, if you think about it - it's to prevent us from incurring a debt or liability (eg: house fire on a mortgage, car accident that's our fault...etc) that we can't pay. The insurer then assumes the risk and adjusts the premium based on how risky they think we are.
But then, poke a little closer and you'll see some disturbing things. Like how come we have to pay insurance on every vehicle we own? Technically, I can only be driving one car at a time (despite having two hands). This is a nice piece of legislation that seems a tax on the rich. Or - if I have the assets to pay any liability I might incur, why should I have insurance?
Or, consider my case, but I think you can generalize to yourself - never a claim, in almost 40 years, wouldn't insurance then work better - for me, for us, if it was done like a life-insurance premium where we could at the end of our term withdraw (with compounded interest) our contributions?
The more you look at it, the more you realize that insurance is just a scam legislated into law by those interest groups with a share in insurance companies...