Why does piracy exist? It's profitable.
Pirates never have to work again after one hijacking (they make $10,000 to $20,000 for a hijacking, the average Somali family lives off of $500 a year) and insurance companies are reaping windfall profits of off ransom insurance. Catering companies make money serving food to the ship while the ship's crew is being held hostage. Prostitution is big in piracy too.
Listen to the story at NPR.