The department may discipline a license holder or deny an applicant a license under Subchapter C, Chapter 4005:
(1) for any cause for which, if known by the department, issuance of the license could have been refused; or
(2) if the license holder or applicant:
(A) wilfully or knowingly violates this chapter, an insurance law of this state, or a department rule;
(B) obtains or attempts to obtain a license through wilful misrepresentation or fraud;
(C) fails the examination required by this chapter; or
(D) is convicted on final judgment of a felony.