A "person" can't sell a naked option, this can only be done by bigger companies with a margin account, and will be margin-called when the price approaches the strike price.

The point is, should call options used for hedging regulated as insurance?

Margin accounts aren't that exclusive. I opened a margin account just because but I've never dipped into it. It's just a tool and if you know how to use it, good for you.

Margin accounts may not be, naked options seem to be.

In any system you aim to stabilize you don’t want unregulated factors with exponential effects.

There's a balance between stability and progress, and we seem to be at about the right spot.

Anyway your argument to regulate hedge trading as insurance is lacking.