Non-genuine parts used by insurance companies

[Crispin]

I was on the phone today with an insurance broker who mentioned that a lot of the larger companies - he named Admiral - use copy parts if the car is older than 3 years and at their discretion if the car is newer than 3 years.

I thought this was a bit of a con. You crash, you get non-genuine brake components for example.

Has anyone had this / argued this?