Eliminating the fact that it could be abused, and I thought of it while posting this so I did not think in through all the way. Would you (any of us) be willing to pay more for a hardware wallet with some form of insurance. From an actual major company, that if the wallet if compromised and funds are lost through the manufacturers fault, the users get some or all of their funds back?
How to prove to the insurance company how much crypto was stored on the device? Let's say you can no longer access it for whatever reason to check and provide them with the needed proof. The insurance company would want an insight into your portfolio. If the manufacturer cooperates with the insurance company, we are back on the question of trust. Will they be keeping logs of your portfolio to send to the insurance company in case problems arise? Will you have to do that? Maybe I am approaching it from the wrong angle.