Section 4152.301 - Grounds for License Denial or Disciplinary Action The department may deny an application for a license or discipline a license holder under Subchapter C, Chapter 4005, if the department determines that the applicant or license holder, or a person who would be authorized to act on behalf of the applicant or license holder under Section 4152.057, has:
(1) wilfully violated or participated in the violation of this chapter or another insurance law of this state;(2) intentionally made a material misstatement in the license application;(3) obtained or attempted to obtain the license by fraud or misrepresentation;(4) misappropriated, converted to the person's own use, or illegally withheld money required to be held in a fiduciary capacity;(5) materially misrepresented the terms or effect of any contract of insurance or reinsurance, or engaged in any fraudulent transaction; or(6) been convicted of a felony or of a misdemeanor of which criminal fraud is an essential element.Tex. Ins. Code § 4152.301
Added by Acts 2003, 78th Leg., ch. 1274, Sec. 7, eff. 4/1/2005.