Would you purchase the insurance policy as a trader for yourself?
Also interesting point about Coinbase, what would they do if they got hacked and they do not have enough funds to recover all their accountholders?
I think the market really needs some insurance products.
Yes, I would purchase the insurance policy but under the certain conditions. Some time before I thought 3% is not expensive but now I think I would pay 2% max, 1% would be even better. I would also like to have an insurance against more events than just hacks. Exchange/wallet can lose some part of its assets not because of the hacks only. For example, earthquakes, fires, another catastrophes, hostile authorities actions, seizures, exchanges/wallets workers criminal activities, etc. I would absolutely purchase an insurance against my personal exchange account freeze or block. There may be scenarios when the exchanges clients funds will be closed/frozen selectively by the administration without any reason. This way the exchange can continue its operation for a long time taking away the users funds. And it won't be your insurance event in the current business model.
Regarding Coinbase, I am not its representative. I can only guess. As they say,
As you said everything depends on statistics which is pretty much unavailable because of the industry's very young age. Probably after Year 1 there will be more clarity on the market and we definitely have plans to add more events where our platform can be of some help.