Let's say that a township little league wants to put its foot down and take the stance that there's no way they'll ban sliding into bases, as that's not baseball, and as a result it just isn't American. The insurance company says that for the little league to get insurance it's going to cost twice as much if they allow sliding. Hence the little league has no choice but the pass on the cost of participation to the par…
If you think that insurance companies are overstating risk, put your money up and price that risk "correctly". If you're correct, you'll get rich and they'll either adopt your methods or go out of biz.