From the Guardian · · 1m 20s
Firebombs force insurers to abandon tobacco shops
Arson attacks over illegal tobacco trade are spreading financial damage to neighbouring businesses, which insurers are now refusing to cover.
In brief
Arson attacks over illegal tobacco trade are spreading financial damage to neighbouring businesses, which insurers are now refusing to cover. Firebombings linked to illegal tobacco syndicates are forcing insurers to deny coverage to shops near tobacconists, leaving legitimate businesses exposed to financial loss…
Firebombs spread damage beyond target

A Richmond tobacco shop fire in Melbourne destroyed the store and nearly a dozen neighbouring shops, requiring eighty firefighters to contain.
Crime syndicates wage tobacco turf war
Rival groups have carried out more than two hundred firebombings across Australia since twenty twenty-three, fighting for control of the illegal tobacco market.
Insurers refuse to cover nearby shops
A Melbourne retailer was denied insurance renewal because they were a few doors down from a tobacconist. Other quotes excluded fire cover entirely.
“Even if we re-located, which is not really an option for us, who's to say a tobacconist doesn't move in next door?”
Proximity rule catches legitimate businesses

Brokers generally consider proximity to a tobacconist as within about twenty metres. Tobacco retailers in shopping complexes are seen as lower risk.
Illegal tobacco dominates Australian market
Illicit tobacco accounted for eighty percent of cigarettes smoked by Australians in twenty twenty-five, costing as little as ten dollars versus over forty dollars legally.
Debate splits over how to fight black market
Politicians debate cutting tobacco excise to make legal cigarettes cheaper. Health experts instead call for enforcement to intercept illegal imports at ports.
What matters most
Firebombings linked to illegal tobacco syndicates are forcing insurers to deny coverage to shops near tobacconists, leaving legitimate businesses exposed to financial loss.




