Of course there are circumstances when insurance makes sense. What the post says, though is:

For all these reasons, gentle readers, I urge you to wire some money into an offshore account, log into intrade, find some outcome that would make you miserable, and bet heavily on it.

There is no mention of considering whether you might want to take more or fewer risks. This idea that risks are bad and that people should insure against them is not a biologically realistic one. The council given in this post needs to be taken with multiple pinches of salt.