The insurer cannot replace sentimental value or bear the psychological cost of a loss. The death of a loved one can cause almost unbearable mental suffering that is in no way relieved by receiving a sum of money from the insurer. Because these noneconomic risks create uncertainty, it is apparent that:

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a

insurance is not required.

b

insurers should pay for the claims in financial and nonfinancial terms.

c

insurance cannot completely eliminate uncertainty.

d

insureds need not take an insurance policy.

e

large insurers do not have an edge over small insurers.