XL Capital Ltd., a Bermuda-based property and casualty insurer, said last night claims from Hurricanes Katrina and Rita will lead to an operating loss for the year. The storms and other third-quarter catastrophes will cost the company about $1.47 billion, XL said in a statement distributed by PR Newswire.

Operating results exclude changes in the value of the company?s investments. Based on loss reports and estimates, the company said it expects that pre-tax net losses arising from Hurricanes Katrina and Rita will be approximately $1.16 billion and $263.6 million, respectively.

Pre-tax losses from other previously announced natural catastrophes in the third quarter will be approximately $89.7 million.

Brian M. O?Hara, president and chief executive officer of XL, commented: ?These hurricanes are market changing events for our industry. We believe that we are well-positioned to serve our customers and expect to be an active lead participant in the upcoming renewal season. XL will take the steps necessary to maintain its fundamental financial strength.? The company will release its third quarter results on October 31.