Risk Management is to be launched next week. But the programme is already underfunded.

It will start with little more than half of the required student enrolment to make the programme pay for itself. That fact is not stopping the insurance industry from forcing the scheme to proceed.

In fact, there were clear signals this week just how far the insurance industry would go to make the programme work, with word that there was a move to create a fund to help assist students who would not otherwise be able to pay for tuition.

Why is the industry so intent on pushing this scheme? Because it is seen as a significant opening for Bermudians who want to climb the corporate ladder in the insurance world. It is a real opportunity, as one executive recently told The Royal Gazette , for Bermudians to get into top jobs in international companies. The determination, though, can not only be seen at an industry level, but also at the individual company level.

ACE Ltd. could commit as much as $100,000 or more in direct grants over the next five years to its staff members who sign up for the new MBA scheme. That is apart from the company's other educational initiatives. Already, four of their staff have been confirmed to participate in a programme that could take five years to complete, and could cost up to $25,000 per student.

ACE President and CEO, Mr. Brian Duperreault, said, "We think the programme is a very good idea and we are encouraging our staff to do it.'' The first courses in the novel scheme, through the College of Insurance (CIS) in New York, begins a week today at the Bermuda Insurance Institute.

Twelve students have been confirmed for the first course, when CIS lecturers jet to Bermuda.

Although there is confidence that the numbers will eventually increase, officials conceded months ago that they would need 20 people per course to make the programme economically feasible for CIS.

The president of the college, the programme's advisory board and Bermuda's insurance industry have agreed to proceed, anyway. The matter of funding will be resolved at a later date. "That is still something to be worked out,'' conceded Bermuda Insurance Institute director of training and education, Mr.

Peter Doyles. "The College of Insurance wants it to proceed and the insurance industry in Bermuda wants it to go on.

"Yes, you are right, this programme has started at a loss. Somewhere there is going to have to be some extra money needed. Either the College of Insurance will absorb it or the insurance industry will supplement it.

"I don't know. No one has said anything about it yet. The reckoning will come no doubt when the fees are all in and there is a meeting of the advisory council.'' Mr. Doyles also noted, "Some larger international companies are considering sponsoring some students who may not be connected with their own companies.

Their staff may get priority, but the fact that they are considering such a move is indicative of the importance to them of the courses.

"It will give them a reservoir of people who are trained to take top positions. There is an eventual benefit to them.

"There is also talk of putting together a central fund to help some people with interest free loans. Students who are unable to get any other type of funding may be required to pay the money back eventually or work for the firm for a specific period.

"The industry is bending over backward to make this a success.'' The dozen who begin the course next week include nine Bermudians. They are all middle and senior managers working in the industry, although officials emphasise that students need not be specifically from the industry. The programme is structured to allow students to enrol for the intensive study at any time. The MBA programme puts special emphasis on reinsurance because of the Bermuda marketplace. It includes 17 intensive five day courses and is being offered outside of North America for the first time.

READY -- From left, Ms Judy Gonsalves, Mr. Mark Lima and Mr. Paul Wollmann are three of the first students of the new MBA programme in Risk Management.