US insurers face $10bn losses

Devastating tornadoes, floods, earthquakes overseas and a busier-than-usual hurricane season have US insurance companies bracing for record losses in 2011. Insurers could suffer as much as $10bn (£6.2bn) from weather-related losses in the US in 2011, which is up from the average of $2bn to $4bn, according to EQECAT, which provides disaster and risk models to insurance companies. On top of the potential US losses, insurers are also reeling from disasters overseas, including large earthquakes across the Pacific Rim.