Churning

The practice whereby policy values in an existing life policy or annuity (cash values, dividends, other assets) are directly or indirectly used to purchase another policy or annuity with that SAME insurer for the purpose of earning additional premiums, fees, or commissions — without an objectively reasonable basis for believing the replacement gives the policyholder an actual and demonstrable benefit; in a fraudulent or deceptive fashion; without informing the applicant that existing values will be reduced, forfeited, or used; or without disclosing that the new policy will not be paid up or that additional premiums are due. Penalty: first-degree misdemeanor + fines up to $12,500 non-willful / $187,500 willful (F.S. 626.9521).

Cannibalizing a client's own cash value to "sell" them a new policy at the same company — a commission machine dressed as advice.