Which of the following is an example of insurance fraud?

Overstating damage in a claim clearly exemplifies insurance fraud because it involves intentionally providing false information to an insurance company with the intent to receive a larger payout than what is justly owed. This deceptive practice undermines the integrity of the insurance system and can lead to significant financial losses for insurance companies and ultimately higher premiums for honest policyholders.

In contrast, failing to report a minor accident does not necessarily constitute fraud, as it may simply be an oversight rather than an intentional act to deceive. Not renewing an expired policy is a normal part of managing insurance coverage and does not involve any misrepresentation or illicit intent. Lastly, seeking a claim for a minor loss does not inherently equate to fraud either, especially if the loss is legitimate and falls within the coverage parameters of the policy. In this case, only the act of overstating damages reflects the fraudulent behavior that is marked by intent to deceive.