TDI is reviewing an original application for a Texas life and health agent license. Which of the following is a proper basis for TDI to deny the application?
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Answer & full 3-part explanation (select an option above, or peek)
Why A is correct
Under TIC 4003.001, TDI may deny a license when the applicant fails to satisfy the qualifications set out in the Insurance Code, has made a material misstatement or suppressed material information in the application, or has engaged in conduct that would support suspension or revocation under TIC 4005.101-.102. Grounds such as lacking an appointment, choosing a territory, or having no continuing education history are not statutory disqualifications: an appointment follows licensure and is filed by the insurer, and continuing education is a renewal obligation.
Why the other options are wrong
- B) An appointment is filed by the insurer after licensure, so not having one cannot be a ground for denying the license.
- C) TDI does not deny licensure based on which Texas county the applicant plans to work in.
- D) Continuing education is required to renew a license already held, not to obtain an original license.
Memory hook
Denial needs a statutory disqualifier — bad application answers or disqualifying conduct, not missing business trappings.