> Particularly non-insurable and non-tax deductible liability

Too often liabilities exceed assets, or the liabilities are externalised.

Liability doesn't work as an incentive for many risks. For uncommon but extreme risks, it can be better to roll the dice on company failure than regularly pay low amounts for mitigation.

It is especially effective to ignore liabilities when a company has poor profitability anyways.

And then you see major companies sidestep the costs of their liabilities (plenty of examples after security failures, but also companies like Johnson&Johnson).