That is simply not true for all insurers, maybe some. I specifically got this clarified before I bought mine.
That said, I'm not even sure I care, so what if they don't? It's not like you paid close to new car retail if you got a good deal on a pre. registered. Also, by law the insurer has to fund a like for like car as good as, and no older than the one you had before, so what's the issue?
I realise I may have a different view as I drive cars I can afford and paid cash for, I suppose those driving cars they can't really afford on PCP are terrified of any possible shortfall in the event of an accident.
And, for anyone who wants to jump on me for that last statement... I know people can afford the PCP payments from regular income, great, but that means you can afford to fund the depreciation of a car over a period of time, you still can't afford the car... (unless you actually can of course lol!

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