I don't think most corporate software does such important work as "cancelling insurance contracts" or "eliminating pensions". And most of the software I've worked on has been designed--eventually--to fail safely. It's not "Oh noes! I crashed so I'm going to cancel everyone's life insurance!" It's more like "I crashed so I'm going to let people know and if the programmers take too long to fix it processing will be done manually."
The real problem would have been that the system wasn't designed for most everything to fail at the same time. That would have sucked.
I recognize there were
The "problem" is that it's like any other disaster preparation exercise. Most of the spending probably wasn't needed--the applications would have been fine or the consequences manageable if nobody audited or fixed it. But you don't know what you don't know so you spend money protecting yourself against any and every Y2K-related risk you can imagine. Those of us who were in the trenches KNOW there was an actual problem that we largely avoided. The monday morning quarterbacks who look back and say we scammed everybody because we spent more than was strictly necessary to "fix" things that didn't end up breaking (kind of the point...?) are just noise.
OTOH, the Y2K consulting industry could smell the money, so I'm not going to argue that every dollar in "Y2K prep" was spent wisely. Not by a long shot. But I'm pretty sure that's not a Y2K problem--it's a consulting industry problem. I think in some ways big consulting firms are extremely subtle and sophisticated scammers overcharging for what they can't possibly deliver.
Blessed be those who initiate lively discussions with the hopelessly mute, for they shall be known as Dentists.