Insurance is concerned primarily with pure risk. Speculative risk are normally taken in the hope of some gain and the provision of insurance may act as a distinct disincentive to effort. For example, if it was possible to insure the profits that a person hoped to gain from an enterprise, then there would be little incentive for some people to do anything to general the profit. Making no personal effort to secure the profit would still result in profit, because the policy would pay up in the event that no profit was generated. The pure risk consequence of speculative risk are certainly insurable, but not the speculative risk itself