I can prove it "by picture" by drawing a picture of a circle of radius $|z|$ centered at $(0, 1)$. Then $1 - |z|$ is the length from the origin to the intersection of the circle with the x-axis (to the left). $|1 - z|$ is length from the origin to any point on the circle.
However, I'm having trouble proving this algebraically / with words (aka not proof by picture). I tried using this picture again and the triangle equality, but that didn't work out.