Scott Richardson, Allstate's Northwest region field corporate relations manager based in Bothell, Wash., said Allstate has been working with the department for the last 18 months to get approval of the endorsement. He said the company is seeking the endorsement to limit its exposure to suits stemming from mold claims.

Mold claims are not an issue in Alaska, Mr. Richardson said. But the carrier wants to protect itself from the type of onslaught of suits that has arisen in some states by having the endorsement.

The need for the endorsement is of added concern, he added, because Allstate has the largest share of the homeowner's insurance market in Alaska at 30 percent.

The moratorium only affects new business with Allstate. He said existing Allstate customers can still get coverage for a new home. It affects no other line of insurance the company sells.

Mr. Richardson said the endorsement that Allstate is seeking would cover mold damage from a maintenance problem up to $5,000. Currently, there is no such coverage for mold damage from maintenance issues. Mold, he said, is only covered if it forms as the result of an accident or catastrophic event.

Of the five states he covers in his region--Alaska, Idaho, Oregon, Hawaii and Washington--Alaska is the only one without some endorsement.

Linda Hall, director of the Division of Insurance, said her department is concerned that the proper consumer protections be in place.

"All carriers are concerned with this exposure," said Ms. Hall, who has been in the post since March. "It is a national concern."

On Allstate's decision to stop writing new business, Ms. Hall said, "I'm disappointed in anything that removes coverage or makes the market smaller for our consumers."

Both Ms. Hall and Mr. Richardson said the two are cooperating and remain committed to reaching an agreement. Mr. Richardson said Allstate was optimistic that the carrier would reach an agreement soon with the state.