London Market insurers will suffer as a direct result of the collapse last week of Japanese insurance company Taisei Fire and Marine Life Insurance.
Taisei owned 26% of Fortress Re, a major reinsurer of aviation risks.
The Lloyd's Market, Hannover Re, GE Frankona Re and Global Aerospace Underwriting Managers (GAUM) are all reported to have exposure to Fortress Re.
Taisei sought court protection from creditors on 22 November after being hit by huge reinsurance claims caused by 11 September. Company president Ichiro Ozawa said he had not foreseen the scale of the losses,
Two other Japanese companies that, with Taisei, are the main shareholders in Fortress Re, said they would fall into the red.
Ratings agency Standard and Poor's director Stephen Searby said Taisei's failure would impact on London.
"The London Market generally was a big writer of aviation risk and Fortress Re was a big reinsurer.
"You have to conclude some London Market companies will be affected. How much depends on individual treaties and to what extent those companies had Taisei as a reinsurer. My current understanding is Taisei only had a percentage of the risks written and other members of the pool will pay out under their commitments."