Insurance fraud is not a victimless crime. Fraudulent claims drive up prices for honest customers and make your insurance more expensive.

The above quote is from the Association of British insurers and is constantly repeated in the media, seemingly without scrutiny.

In reality, it is the insurance companies that decide to pass on the cost of fraud to their customers, they could simply choose not to do this and accept lower profits.

It is, of course, entirely possible that they are doing this already, namely absorbing some of the costs or even all.

I just find it annoying that the profits of the companies are never mentioned as nobody would bat an eyelid* about company profits but everybody cares about their premiums.

* Would somebody think of the pension funds?