If you put something on the internet surely you expect that your content will be viewed and as such shouldn't be able to moan once people do.. No hotlinking rule is silly imo.
Do you realize it costs money to host images? Why should I pay when somebody takes an image off my website and puts it on his own? The image is on his website yet I'm paying for it. If you can't see what's wrong with that, you're not thinking hard enough.
Let's say I make a watch appreciation website - I take photos of this particular watch, I then host it on my website, which costs money. Then another person thinks 'oh I'll make a watch appreciation website too', but instead of paying for his website or taking his own pictures, he goes to mine, presses right click on my pictures, and copys the image location onto his website. If people visit that website and sees the images, -I'm- paying for it, and not him.
Money, people! Simply rehosting will be fine with 99% of image hosts. If that person asked to take the images on my website and hosted them himself, I would be ok with it, because then I'm not paying for it anymore. The image being copyrighted, and the image being hosted, are two entirely different issues. So you can actually 'steal' an image in two different ways. One is to take the picture still being hosted on my server and putting it on another website. The other is to duplicate the image or making it appear on a website other than the place it originated from. The vast majority of images aren't copyrighted at all, unless explicitly stated otherwise (the rule of the internet - it's not copyrighted unless it says otherwise!) So the 'oh it's not your picture so it's stealing anyway even if you rehost' is a rubbish argument and rebuttal! Not rehosting is stealing and forcing others to pay! Don't do it!
Yes I used to run a website, and had massive problems with image leechers before in the past. I eventually set it up so that when it detected hotlinking, the image on the usurper's website would be replaced with explicit and extreme homosexual pornography. It's harsh but it's really the only way to deter bandwidth stealers.