Insurance market Lloyd's of London has said its chances of making a profit in 2005 are small following the costs of US hurricanes Katrina, Rita and Wilma.
The US hurricanes may have cost the insurance industry $60bn
Lloyd's said it estimated the net loss from Katrina would be £1.9bn ($3.4bn), up from a previous estimate of £1.4bn.
It added that the net loss from Rita was expected to be £535m, while Wilma would lead to losses of £483m.
However, Lloyd's said it remained financially strong and "expects to be able to meet all its liabilities".
The market added that there was "nothing to suggest that any syndicate will be unable to trade forward as a result of the hurricanes".
This year the southern states of the US have had to weather the worst hurricane season on record.
Katrina struck the US Gulf of Mexico coast in late August, Rita hit Texas and Louisiana in late September, and in October Wilma caused widespread damage in Florida.
Earlier this month, reinsurance giant Swiss Re estimated that the damage caused by the three hurricanes would cost the global insurance industry $60bn in total.