Twisting is defined as which of the following?

Twisting is defined as misrepresenting facts to induce a policyholder to replace their current insurance with a new policy, often to their detriment. This practice involves misleading the insured about the benefits or terms of a new policy compared to their existing one, potentially resulting in a loss of coverage, higher premiums, or less favorable terms.

In the context of insurance, it is vital for agents to provide accurate information to clients. Misrepresentation not only violates ethical standards but can also breach regulatory laws governing insurance practices. This behavior undermines the trust essential in the insurer-insured relationship and can lead to significant financial and coverage losses for policyholders. Thus, the definition accurately captures the harmful nature of twisting in the insurance industry.

The other choices involve different types of unethical behavior but do not specifically encapsulate the defined practice of twisting as it pertains to misleading policyholders regarding replacement insurance.