In a moment of weakness after my furnance broke down I bought a service contract. Now every few months I get a "free cleaning" during which the furnace repair guy tells me about all the other products I need.
salesman, sorry, I mean furnace repair guy, seems honest and genuinely concerned about my ambient body temperature. Of course, I never listen to him or buy anything and this makes me very happy. See, I figure that most people do purchase additional services from such a fine young man. If so, then perhaps the real purpose of selling the insurance contract is not the insurance- it’s to get the salesman in your door several times a year. And that means that the insurance qua insurance contract ought to be reasonably priced, maybe even under-priced, or at least not jacked up as high as it would be if it didn’t lead to further sales.
Thus, I have cleverly reasoned my way out of foolishness and towards brilliance – such reasoning is to be distrusted. Nevertheless, I wonder whether the argument does not generalize.