What is the term for fraudulent activity involving the unauthorized transacting of insurance outside the scope of a license?

The term for fraudulent activity involving the unauthorized transacting of insurance outside the scope of a license is commonly referred to as fraud. This encompasses any intentional deception or misrepresentation made for the purpose of financial gain or to secure an unfair advantage, particularly in the insurance industry. Engaging in such activities can undermine the integrity of the insurance system, as it violates licensing laws and regulations designed to protect consumers.

The other terms listed do not accurately refer to this specific fraudulent behavior. Misrepresentation typically involves providing false or misleading information but may not necessarily pertain to unauthorized transactions. Sliding refers to a different deceptive practice where additional coverages are added to a policy without the customer's consent, while competition relates to the rivalry among insurance companies rather than fraudulent activities. Thus, fraud is the most appropriate term in this context, highlighting the illegal actions taken by individuals who operate outside the boundaries of their licenses.