Hurricane Ivan carved through southern US states on Thursday, battering homes in western Florida and Alabama and leaving US insurers facing between $2bn and $7bn in claims.

Ivan proved less devastating than Charley and Frances, the two storms that have ravaged Florida over the past three months. Having swept through Florida's coastal panhandle region, which is quite populated, it crossed into rural Alabama where it was downgraded to a tropical storm. The storm missed New Orleans, a reprieve for insurers.