As tobacconist firebombings intensify in Melbourne, nearby stores are being denied insurance

Arson attacks related to illegal tobacco trade are also causing revenue and reputation problems for neighbouring businesses

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Small businesses located near tobacconists are being denied insurance or priced out of coverage as rising arson attacks turn neighbouring shops into collateral damage.

The problem has intensified after a spate of firebombings, which includes a recent Melbourne blaze that destroyed a Richmond tobacco retailer and nearly a dozen neighbouring shops, requiring 80 firefighters to contain.