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The threat introduced by any given individual is assumed collectively by the neighborhood who all bear the price of rebuilding misplaced property and supporting individuals whose needs are all of a sudden higher after a lack of some type. In supportive communities where others can be trusted to observe neighborhood leaders, this tacit type of insurance can work. In this way the community may even out the acute differences in insurability that exist among its members. Some further justification is also supplied by invoking the moral hazard of specific insurance contracts.
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