Tobacco shop firebombings leave neighbouring businesses unable to get insurance
Over 200 firebombings have occurred since 2023. Insurers are now refusing coverage. Shops within about 20 metres of tobacconists are affected.
Crime syndicates have been linked to more than 200 firebombings since 2023. Neighbouring businesses are caught in the damage.
A recent fire in Melbourne destroyed a Richmond tobacconist. Nearly a dozen nearby shops were also destroyed.
It took 80 firefighters to put out the blaze. Insurers are now refusing to renew policies.
They are also withdrawing cover from businesses. Shops within about 20 metres of a tobacconist are affected.
One Melbourne retailer told the Guardian their insurer refused renewal. They were only a few doors away from a tobacconist.
Other businesses got quotes that exclude fire cover entirely. The Council of Small Business Organisations Australia says legitimate businesses should not pay.
They should not bear costs from criminal activity beyond their control. Illicit tobacco accounts for 80 per cent of cigarettes smoked in Australia.
Untaxed packets cost around $10. Legal ones cost more than $40.
- over 200
- Firebombings since 2023
- 80
- Firefighters at Melbourne blaze
- about 20 metres
- Distance affected from tobacconist
- 80 per cent of cigarettes
- Illicit tobacco market share
Why it mattersSmall businesses face impossible choices. They can operate without insurance, relocate, or close. Criminal syndicates' wars make their neighbourhoods uninsurable.
AustraliaAcross Australia's cities, retail strips are being destabilised by organised crime, leaving legitimate shop owners caught in the crossfire.
✓ Claims checked against the source and corrected before publish. checked 5 d ago
