I have two problems with your claim. One is that it is okay for someone to buy "insurance" after they find out that they need it, and it is not okay for the provider to refuse. The other problem is that refusing to act can somehow be extortion.
I never said that. He didn't want 'insurance', he wanted the fire put out. They wanted him to pay for the time when he had no protection. It's one thing to simply say 'no', another one entirely to say No, unless you pay us for all the time we weren't helping you.
Again, it would be like a doctor refusing to treat a patient until they pay for all the time they weren't insured. Preposterous.
It's not a fully private department, it's county, but optional. I'm not sure if they allow competitors.
First, it's irrelevant what they say they want payments for. If they refuse to help unless you pay for their hookers and coke, it's the same: an offer which you are completely free to accept or decline.