People with no morals

I barely know this boat owner who recently had his transmission go out in his boat. This is his first boat (highend boat company) and he bought it pre-owned (no warranty). He's apparently is trying to get his insurance to cover the cost of the repair by claiming he hit something in the water although nothing is wrong with his prop, drive components, and no damage to the hull or structure underneith the boat. It's to the point where the insurance company is calling the passengers on the boat and they are lying. I hope the insurance company is not that stupid.