If that insider information comes from someone reliable, so reliable that you’d be willing to mortgage your house for it then take that opportunity. One big bet could change your life and make you a profitable gambler.
But when we talk about living off gambling, that means doing it consistently. And the thing is, insider info isn’t something you can rely on all the time.
Yes, that's pretty muich spot on.
Maybe someone somewhere will get lucky once, with insider information, and that might happen.
But as you say, that is actually quite a rare occurrence, and most probably the gambler will lose money since the odds are against them.
Even if they manage to win, when the gambler continues, then eventually all money will be lost.