The Insurance News Net reported last week that insurers will pay out a whopping $56.8 billion for claims in 2005 -- 90 percent of which is being blamed on the disasters in the gulf states.

ISO, a major supplier of statistical, acturarial and underwriting data, reported that hurricanes Katrina, Wilma, Rita, Ophelia and Dennis affected nine U.S. states, making up nearly 93 percent of expected claims. Louisiana was hit especially hard; insurers will pay out over $27 billion for claims in Louisiana alone -- which is roughly the amount property and casualty insurers paid out in total for 2004.

The ISO also noted that catastrophic damage has doubled every year since 2002, due in large part to the number of exposed properties in high-risk areas, such as those in low-lying elevations New Orleans and surrounding cities.

Will 2006 be an expensive year for insuers? We've got a ways to go to find out.