?Hurricane Felix is expected to cause no more than £200m worth of insured losses, experts have predicted.

The US National Hurricane Centre, which has been tracking Felix, said it was heading north towards Texas.

But it had since veered slightly south and was expected to strike Honduras, Nicaragua, Belize and then the Mexican desert as a Category 5.

Milan Simic, managing director of AIR Worldwide, said the hurricane was taking a similar path to last month's Hurriance Dean, but was further to the south.

Dean cost the insurance industry about £500m.

Because there are no resorts or high exposure along Felix’s path, experts predicted Felix will cost insurers a total of about £100m to £200m. However, human casualties in Honduras could be high.

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