We are kept going by the illusion that banks are too big to fail.

Insurance is bigger than that. It's the invisible fence around your community; being insured puts you inside the castle walls if you are a timid risk taker.

Insurances do the maths.

Depending on where in the world you reside, a traditional Insurance might take pride in offering a nationwide rate, excluding none. In Britain this would have been a point of honour that we are so damn civilised, in Germany it would represent a nationalist sentiment and so on. Now there are exclusion areas - recently for floods, now for droughts - up till now insurances have picked up the bills but that won't last.

When you or your neighbourhood are no longer insurable then you are living on borrowed time.
Make a saving throw every round.