State RegulationsTX specificDifficulty 1/5
Under TIC 86.001, on what ground may the Commissioner of Insurance revoke or modify an insurance carrier's certificate of authority?
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Answer & full 3-part explanation (select an option above, or peek)
Why B is correct
TIC 86.001 authorizes the commissioner to revoke or modify a certificate of authority if a condition or requirement prescribed by law for granting the certificate is no longer satisfied. The trigger is a failure to continue meeting the statutory conditions of authorization, not a general judgment about the public interest and not the outcome of private litigation.
Why the other options are wrong
- A) A general public-interest judgment is not the standard; the statute looks to whether the legal conditions for the certificate still exist.
- C) Civil liability in a private suit is not the statutory precondition to revocation or modification.
- D) A policyowner petition is not required; the commissioner acts on the statutory ground.
Memory hook
Lose the qualifications, lose the certificate.