1. (a) The commissioner may impose any sanction or remedy set forth in the Insurance Code Chapter 82 and §981.006, or any other applicable laws or statutes, if the commissioner determines, after notice and an opportunity for hearing, that the applicant or license holder individually or through any officer, director, or shareholder:

   1. (1) has committed any action which would form the basis for sanctioning a general property and casualty agent or a managing general agent, as applicable to the surplus lines agent's other license(s), under the Insurance Code;
   2. (2) failed to allow the department and the comptroller to examine the surplus lines agent's accounts and records or failed to maintain surplus lines insurance business accounts and records as required by the Insurance Code and this subchapter;
   3. (3) failed to make and file all reports when due as required by the Insurance Code and this subchapter;
   4. (4) failed to properly collect and pay required taxes and stamping fees on surplus lines gross premium or failed to submit tax reports as required by law or regulation;
   5. (5) failed to otherwise maintain the qualifications for a surplus lines license; or
   6. (6) is in violation of, or has failed to comply with the Insurance Code, this subchapter, or any other applicable laws or regulations of this state.
2. (b) The agent's surplus lines license shall be cancelled in the event the agent fails to maintain or renew the agent's license as a general property and casualty agent or managing general agent, as appropriate to the license status of the agent.
3. (c) No surplus lines agent whose license has been revoked shall be licensed until all fines, penalties and delinquent taxes owed by the agent have been paid. The suspension of a surplus lines agent's license shall continue in effect until all fines, penalties, restitution, delinquent taxes, and delinquent stamping office fees owed by the agent have been paid.

Source Note:The provisions of this §15.5 adopted to be effective December 12, 2000, 25 TexReg 12179; amended to be effective October 21, 2002, 27 TexReg 9773; amended to be effective September 3, 2007, 32 TexReg 5703.