Actually, according to this article, certain kinds of insurance are less effective at optimizing happiness, because we are psychologically equipped to adapt to new (bad) circumstances:
Obviously, certain kinds of disaster pose a greater threat to happiness than others. For example, health insurance may be a worthwhile investment for some, while property insurance may not.
http://www.wjh.harvard.edu/~dtg/DUNN%20GILBERT%20&%20WIL... (page 6 for remarks on insurance)
Obviously, certain kinds of disaster pose a greater threat to happiness than others. For example, health insurance may be a worthwhile investment for some, while property insurance may not.