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