Most people who can take "massive risks" end up, at worst, in the same situation as the average American if they fail. The average American, on the other hand, can't take those risks at all because they could end up homeless or with mountains of medical debt. Reducing how far you can fall would allow for more risks to be taken.
If the worst-case scenario is starting over perhaps the risk isn't so "massive." But when the worst-case scenario is starving then it's certainly a massive risk.
But do they take massive risks without potential massive reward? A lot wouldn’t.
Unless they’re under the rule of a dictator and their life is threatened. That’s an incentive.