Combined Insurance Company of America (CICA) has dismissed claims by Labour MP Paul Flynn that it has upheld corrupt working practices in insurance sales.

Flynn raised the issue in Parliament on 11 June, based on leaked documents from a former CICA employee. The documents alleged "appalling corruption" and gave "detailed information and precise cases of mis-sold policies". Flynn passed the relevant documents to the Financial Services Authority (FSA).

"The sale of general insurance is the new scandal that will be as damaging to the consumer as the sale of endowments and personal pensions," Flynn said.

CICA compliance and sales head Gordon Coleman denied the allegations: "We are very disappointed he saw fit to make these assertions in parliament, without first coming to CICA to check his facts."