To be more clear: if society spends X dollars per year per poor person on direct financial transfers, and Y dollars per year per poor person on in-kind services, I am suggesting to move to a system of giving the poor person (X+Y) dollars in direct financial transfers.

Is that better?

About the latter part of your comment:

Yes, that is a real problem. There are (at least) two reasonable approaches that leave insurance as insurance:

First, you can just give the chronically ill or disabled person more welfare money.

Or, second, if you are a purist for equality: enter a very long running insurance contract, before you develop a chronic condition. Because then there's still uncertainty, and uncertain conditions are insurable. In the strictest form, your parents would make the arrangements before conceiving you.

BUT: I do gladly concede that for serious enough conditions just handing out medical services might be a reasonable choice. I don't know. But that doesn't say much about routine check-ups for healthy people.