Which of the following is NOT a ground for compulsory refusal, suspension, or revocation?

The correct answer highlights that soliciting insurance in other areas of the state is not a ground for compulsory refusal, suspension, or revocation of a license. Insurance licensing is regulated at the state level, and agents must adhere to the specific requirements imposed by their licensing state. However, soliciting insurance in different areas within the state does not typically constitute a violation that would lead to disciplinary action unless it violates a specific provision of state law or regulations.

In contrast, the other options represent serious violations that can directly jeopardize an insurance agent's ability to maintain their license. Unlawfully rebating involves illegal practices that can undermine the competitive integrity of the insurance market. Fraudulent submission of a Worker's Compensation application signifies dishonesty and deceit, posing risks to the welfare of employees and employers alike. Lack of reasonably adequate knowledge indicates a deficiency in expertise essential for providing suitable insurance advice, thereby placing consumers at risk. Each of these actions reflects a fundamental breach of the ethical and professional standards required to uphold the integrity of the insurance profession.