Thomas Cook revealed an increase in illness related claims from UK consumers in its interim half-year results and said it believes many to be “questionable”.
The operator would not give figures but said the rise was in line with the rest of the UK package travel industry.
Abta has talked of a 500% increase in claims and attributed the rise to a number of “unscrupulous” claims management firms.
Chief executive Peter Fankhauser said the fraudulent claims were the actions of a “small minority”.
“This is an issue for the whole industry. We need to work together to clamp down (on the problem),” he said.
Fankhauser said the company had seen an increase in claims from Greece where it has also seen a 40% group-wide rise in demand.
But he insisted the company would not be paying out on any fraudulent claims.
A spokesman added: “At a time when customer satisfaction levels are increasing, we believe many of these claims are questionable and are motivated by the actions of certain claims management companies.
“We are working closely with our hotel partners and the authorities, particularly in Spain, to improve processes in resort and will continue actively to lobby government for changes to legislation in this area.”