An applicant intentionally lying on an insurance application to obtain a cheaper premium is an example of?

The situation described, where an applicant intentionally provides false information on an insurance application to secure a lower premium, is indeed an example of fraud. Fraud involves deceitful practices intended to secure unfair or unlawful gain, such as misrepresenting facts on an application to manipulate the terms of a financial agreement. In the context of insurance, this can lead to a distorted risk assessment and unjustly lower premiums, which can ultimately affect the entire pool of insured individuals by increasing costs for honest policyholders.

Rebating relates to the practice of returning a portion of the insurance premium to the insured as a means of enticing them to purchase a policy, which is not directly about lying on an application. Coercion involves compelling someone to act against their will, while twisting refers to persuading someone to exchange one policy for another in a way that might not be in their best interest. None of these accurately capture the act of misrepresenting information for personal financial gain as fraud does.