{"data":{"id":"us-tx/tex.-insurance-code-4151.301","jurisdiction":"us-tx","citation":"Tex. Insurance Code § 4151.301","heading":"GROUNDS FOR DENIAL, SUSPENSION, OR REVOCATION OF CERTIFICATE OF AUTHORITY.","body":"The department may deny an application for a certificate of authority or discipline the holder of a certificate of authority under this subchapter if the department determines that the applicant or holder, individually, or through an officer, director, or shareholder:\n(1) has wilfully violated an insurance law of this state;\n(2) has intentionally made a material misstatement in the application for a certificate of authority;\n(3) has obtained or attempted to obtain a certificate of authority by fraud or misrepresentation;\n(4) has misappropriated, converted to the applicant's or holder's own use, or illegally withheld money belonging to:\n(A) an insurance carrier, as that term is defined by Section 401.011, Labor Code;\n(B) an insurer, as that term is defined by Section 4001.003;\n(C) a health maintenance organization; or\n(D) an insured, enrollee, injured employee, or beneficiary;\n(5) has engaged in fraudulent or dishonest acts or practices;\n(6) has materially misrepresented the terms and conditions of an insurance policy, certificate, evidence of coverage, or contract;\n(7) has been convicted of a felony;\n(8) is in a financial condition, or is operating or conducting business in a manner, that would render further transaction of business in this state hazardous or injurious to insured persons or the public;\n(9) has failed to comply with any judgment rendered against the applicant or holder before the 60th day after the date on which the judgment becomes final;\n(10) has wilfully violated a commissioner rule;\n(11) has refused to be examined or to produce accounts, records, and files for examination as required by this chapter or commissioner rule;\n(12) at any time fails to meet a qualification for which issuance of the certificate of authority could have been denied had the failure then existed and been known to the commissioner;\n(13) has had a certificate of authority, license, or other authority issued by this state, another state, or the United States suspended or revoked; or\n(14) has failed to timely file the annual report required by Section 4151.205.\nAdded by Acts 2007, 80th Leg., R.S., Ch. 1176 (H.B. 472), Sec. 1.21, eff. September 1, 2007.","path":["INSURANCE CODE","TITLE 13. REGULATION OF PROFESSIONALS","SUBTITLE D. OTHER PROFESSIONALS","CHAPTER 4151. THIRD-PARTY ADMINISTRATORS","SUBCHAPTER G. DISCIPLINARY ACTIONS; PENALTIES"],"source_url":"https://statutes.capitol.texas.gov/Docs/IN/htm/IN.4151.htm#4151.301","current_through":"89th 2nd Called Legislative Session, 2025","vintage":"","retrieved_at":"2026-08-27T01:47:21Z","sha256":"b10d5d349ae6d12f52879522436b40e63ce7607706d330daa5463e34322ceead","source_id":"us-tx","stale":false,"prev":"us-tx/tex.-insurance-code-4151.257","next":"us-tx/tex.-insurance-code-4151.302"},"notice":"GroundRules: Original legal text. Not legal advice."}