I always pay pirates, unless I'm afk, I have no cargo or they charge ridiculously ridiculous amounts (which hasn't happened yet, I've paid 60 million before though, but I am in a barge)
It seems however that it does get slightly worse. The same pirates seem to keep coming back over and over (not directed at one person, I've had about 4 pirates that I meet over and over again, in excess of 4 times within a week).
Switching traderoutes regularly seems to curb the problem a bit though. I would love to see more lawful action about. I try to play my indie lawfuls when I can to help out... but it doesn't seem to work out a lot.
One thing I still fail to understand: Why don't people pay pirates? I'd pay up to 3-5 million in a 5k transport if demanded, often in a barge you have to pay what you get back in profit, and it's better if this happens than if you die - which you will. It's part of trading - you win some, you lose some.