SPRINGFIELD | Gov. Rod Blagojevich on Thursday said that companies can't cancel insurance policies of residents impacted by recent flooding, even if homeowners are behind on their payments.

"People are hurting and the last thing they need to worry about is having their insurance policies canceled during this very difficult time," Blagojevich said.

The moratorium on cancelations lasts 60 days, and two major Illinois insurers say the governor's policy is a good one.

State Farm Insurance Cos. spokeswoman Missy Lundberg couldn't say how many flood victims are customers of the Bloomington-based company, but she said the insurer covers about one-third of houses in Illinois.

She said State Farm officials were meeting Thursday to work out flood response details.

"We are cooperating with the moratorium," Lundberg said.

Country Financial spokeswoman Chris Anderson said the Bloomington company heard about the upcoming moratorium Tuesday. She said the policy is not uncommon when natural disasters strike.

"Our concern is that they get their lives back as soon as possible," she said.

Blagojevich's order would cover all 21 counties that had been declared disaster areas as of June 10.

-- Mike Riopell can be reached at mike.riopell@lee.net or (217) 789-0865.