As a person who plays exclusively in open, I find this amusing.
First; the penalties are there for balancing. It's just as bad for the pirates if they die as it is for you.
Second; if it takes you hours to grind up to that ship you have, then you die in it, that's on you. If it takes you hours to afford the INSURANCE, that's on you.
One load of cargo is enough to pay my insurance for all my ships. You need to be better at managing time.
Third; Suggesting that we should want to throw away more time and money for the possibility of losing to someone a second time is ludicrous.
Gamers are proud, unless we're sure- we won't fight a person a second time.
This is coming from experience as well.
If people can't handle open, then they can play in private. It's up to them to decide whether they want to risk their ship or not. Making it easier for people is just pandering to the less skilled players.
If a game did that for me, I would consider it an insult. It's like the game saying "you're not good enough, so have a easier time so that you don't feel bad"
Don't blame the game, or FD for people wanting to play safe.
They have the option because they want it.