Private launches are required to carry insurance in order to receive a license; I looked it up when the Orbital rocket had a similar RUD, and the government had mandated something like $140 million or so between government property contingency and general liability, if I recall.
It's possible to insure against business risk as well as asset risk, though it's usually not worth the premium. Though I've never been in the space business I would be surprised if it were not common for launches.