"It would be a case of 'Pay $75/year in insurance, or pay the full cost if there is a fire.'" And what if they can't pay the full cost of the fire. And how would you know... right then... while the house is burning down? Oh and since libertarians aren't against all governments, then we are just debating which government services are essential. Personally, since my body doesn't seem differentiate between my dying from a terrorist bomb or cancer, I'd put health care on the essential list. Truth be told, since my chance of dieing from a terrorist attack is much, much, much less than from say a heart attack, I prioritize health care above the military.