Which of the following actions is considered illegal under fraud and false statement regulations?

Submitting false statements that jeopardize an insurer is unlawful under fraud and false statement regulations because it undermines the integrity of the insurance process. This type of fraud can have serious repercussions, not just for the insurer but also for the policyholders and the insurance market as a whole.

Insurers rely on accurate and honest information to assess risk and determine premiums. When false information is submitted, it can lead to inappropriate underwriting decisions, financial losses, and a lack of trust in the insurance system. Regulators strictly enforce laws against fraudulent statements to protect consumers and ensure a fair operating environment for insurers.

The other actions mentioned do not inherently involve fraudulent intent or deceit. For instance, failing to report a claim may be negligent but is not fraudulent, and accidentally omitting information from an application typically lacks the intentional deceit required for fraud. Being late on premium payments, while potentially resulting in policy cancellation or additional fees, does not involve dishonesty in reporting or statements made to an insurer.