I know I'm deviating a little...but this is what bothers me about this story.
I understand that you were flying an engine that gave every appearance of being fine and it was in fact fine. But you didn't KNOW that. And you seemed to be fine with that. What if something had been wrong?
If there had been a problem...and if someone had been hurt....do you think there is any jury in the world that would not have found you completely negligent in maintaining the airplane, even with all pilots on the jury? It would have been an open and shut case.
Brian I never let insurance myths or fears make decisions for me. I make the best judgement I can for the safety of my self and my family. If it is good enough for me, it is good enough for anyone I allow to fly it. First off nearly 75% of all accidents are from pilot related issues not hardware failure. Of the rest of the 25% reasons for accidents engine failure is a small %.
Here are some additional facts:
I took oil analysis every 100 hrs with every oil change and could see the trends with no stand outs.
Of course you check the screen and filter.
Of course there were no leaks, temp problems, oil pressure problems.
Boroscope shows the insides of the cylinders.
When I replaced a cylinder(s) we did as thorough of inspection on the bottom as possible.
Aviation maintenance studies indicate that the failure rates for my engine were better from 1500-3500 hrs than they are the first 200 hrs of a new engine.
Information from Savvy aviators course advocate and support my actions.
All of the A&P IA at my A&P training also advocate same. (i was getting my Powerplant certificate so that I could build my engine when that time came).
So no its science not voodoo.
Also take a step back and read the Nall reports. If your first goal is safety there are plenty of ways that you can be a safer pilot than over spending on unnecissary maintenance:
http://www.aopa.org/asf/publications/00nall.pdf
One of the least possible ways to die in aviation is due to catastrophic engine failure...far better chance with flight into terrain, fuel failure from running out of gas, Night IMC, lack of proficiency for the type of flying you do. Flying less than 20 hrs a year and then taking off into IMC. I think engine quitting is way on the bottom of the list of probabilities.
So If I had any hesitation about an engine over 2000 hrs tbo, I would just always land with at least 1 1/5 hours of fuel ruling out running out of gas. Staying proficient. Not taking chances with weather. Not delaying maintenance that was required. Regular flying with other CFI's or experienced pilots and learning from each of them. Staying current with safety issues and materials. Regularly IRAN mags, starter, alternator.
Life is a trade off. Over all I think my flying has been as safe as someone buying a new Warrior who maybe doesn't pay as much attention to all the ways to die in the nall report.