First off some of what he is saying is not new and actually is being done. There are insurance companies that give customers rebates every year they are not in an accident or reduce deductibles every year they are not in an accident. As far as driver insurance, the problem is that your Mercedes and my Corolla have very different values, so why should I pay more to drive my Corolla on the odd chance that someday I may drive your Mercedes one time (facetiously, but you see the point). There are some similar concepts to this driver insurance, such as many policies would cover you on any other car you drive besides the cars on your policy. For example, if you are driving a rental car or a friend's car, your policy would cover you for doing so.
Before you invest any money here, which I wouldn't suggest, also realize that the insurance company is tightly regulated and insurance companies have to comply with both federal and state regulations on what they can and cannot do and in many cases you would not be able to change the state laws, so this guy's very nice sounding theories would not ever be able to happen. For example, forming a non-profit with a bunch of other people and pooling your money, fine you can try that one. How much are you willing to pool? Say you want to pay $500 into the pool, you would need 20,000 members just to have $10M in the pool. Now $10M sounds like a lot, but it really is not in the insurance game and many of these insurance companies actually have "reinsurance" which is a policy the insurance company has against a large loss. So what happens if you have a catastrophic event in AZ, such as a wild fire and 10,000 of the 20,000 members of your pool each lose their $30,000 car, where does that $300,000,000 come from because your pool only has $10,000,000. So in reality his alleged pool would have to be immense and the buy in could be tremendous for it to work.
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