A federal judge in Mississippi has ruled that Attorney General Jim Hood cannot investigate State Farm’s handling of hurricane claims after agreeing last year to drop his probe of the insurer.

Under the January 2007 agreement, State Farm agreed to reopen 30,000 hurricane claims from 2005 and pay out a minimum of $50 million to settle the claims. In return, Attorney General Hood agreed to drop his criminal probe of State Farm’s handling of the claims.

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