When you are frugal you tend not to spend a fortune on "stuff". Sure, we have a very nice stroller and computers. But our home over is void of the trappings of moder life. A small, used TV that is turned on for Presidential Addresses and the like. We have no DVD player or DVD collections. The kids clothes are from second hand stores and cast offs from friends. The furniture is solid, but not of heirloom quality. We have no headboard, no jewels, no mega screen TV.
We don't have a lot of stuff, at least pricey stuff. But we a solid emergency fund. The agent who tried to sell us property coverage had a hard time wrapping her mind around this. One, she didn't understand we didn't have the trappings of most Americans....not even an engagement ring (I insisted on not having one). And two, we have money in the bank to handle and "emergency".
Frugality to us means not accumulating a lot of stuff and keeping our money instead of giving it to an insurance company. We like the arrangement, I doubt the insurance business does.