Unfortunately we (UK) are somewhere in the middle, and we can't agree on a way forward. The answer is to let the insurance/private people do some things, but not just the profitable things. It's a tricky thing to set up permanently without having to muddle around in the future (which would look bad)
Just another socialist idiot claiming that "market failure" is the cause of problems in the industry that has been the most highly regulated and controlled for over a century.