The attempt by Mississippi attorney general Jim Hood to stop insurance companies trying to pay claims has been slammed by a US insurers body.
The National Association of Mutual Insurance Companies (NAMIC) said the efforts being made by Hood could have profound consequences for the insurance industry.
NAMIC issued a statement in which it said: "It is outrageous for an attorney general from a state that requires regulators to approve insurance forms to retroactively seek changes in cover already scrutinised by Department of Insurance staff.
“Attorney general Hood's efforts to secure a temporary restraining order against insurance companies trying to pay claims could have profound, unintended consequences for Mississippians and the insurance industry in that state.
"If granted, the motion will effectively bring the entire claims paying process in Mississippi to a halt. Taking this action may have made a great headline, but its success will only leave people more confused than before.”
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