The Clarion-Ledger, 6/12/7

State Farm policyholders will receive more money if the company is ordered to use guidelines approved by a federal judge to settle tens of thousands of Hurricane Katrina claims, Attorney General Jim Hood said Monday.

State Farm officials agreed in January to create a process to re-evaluate claims and submit the process to a federal judge for approval, according to a settlement agreement.

But the company has failed to honor the agreement despite his repeated requests, Hood said Monday in announcing a lawsuit he had filed against State Farm alleging breach of contract.