Government actions around taxation and regulation can influence the market or the supply
landscape significantly and, although there is usually notice of this, some are as of business (for
example tobacco) have been impacted by changes of this type. Finally some companies are
exposed to targeted sabotage such as product tampering which can have dramatic effects on
demand and the sustainability of the business. Some of these risks are sufficiently remote to be
insurable while others are not.
Business interruption insurances can mitigate against some of the costs, but many of these factors
are outside the insurance net and the return on a claim is unlikely to compensate the true loss of
market.