Minister, the Hon. David Saul, following this afternoon.

The Risk and Insurance Management Society Incorporated conference is considered a key, and one of the largest congregations of insurance professionals in the world.

More than a 100 insurers and other professionals left Bermuda over the weekend to attend the conference. They include representatives from management companies, law firms, accounting firms, and insurance companies. They are joined by Government officials such as the Financial Secretary, Dr. Idwal Hughes, and Registrar of Companies, Malcolm Butterfield.

Some are expecting to field questions on the controversy that has emerged over Bermuda's regulatory climate, as the London market, perhaps seeking to divert attention from its own troubles, has unofficially, but not too tactfully, implied that weak insurance regulations on the Island should be a source of concern to underwriters seeking to place business in Bermuda.

A key player in Bermuda's offshore market has privately admitted that he expected it to be an issue that will not go away. One of the reasons is because of the amount of uncollectable insurance that has cropped up in the US and the UK.

Dr. Saul said that he did not expect that there would be too many questions asked, or too much concern expressed, at the RIMS conference.

He said, "RIMS is a North American event. I don't think that there will be too many raised eyebrows. That concern is not expected to surface at RIMS.'' The Minister was optimistic that the conference would be a more upbeat affair.

"Even Lloyds List talks about certain Bermuda companies in glowing terms. Mid Ocean Re, for example, is top drawer.'', Lloyd's List is the UK publication that ran several articles reflecting what they said was concern in the British insurance regulator's office, the Department of Trade and Industry (DTI) over the strength of "certain Bermuda companies''.

Dr. Saul said that no one in London has yet said which companies are being referred to. He admitted that concern had been expressed since the controversy over the Bermuda Fire and Marine failure, but there was no need to extrapolate from that that other companies were in trouble.

President and CEO of Mid Ocean Re, one of Bermuda's blue chip property/catastrophe reinsurers, admitted that the whole issue was a complex insurance issue.

"This is not just a Bermuda issue. Security and Financial credibility goes to the very heart of our industry. It is a permanent on-going concern in all facets of the insurance industry.

"The issue is almost always raised directly after a recession or down cycle.

There are no significant markets that haven't had these problems.

"From our perspective, our concern is the credibility of our own company. I believe that the buyers of insurance and reinsurance are increasingly selective about who they wish to do business with.'', Bermuda will get a chance to really test the waters on Wednesday evening at the annual reception hosted by the Premier and his Government. The Bermuda affair is generally one of the more popular of social events.

The invitation list reads like a "Who's Who'' of the worldwide insurance industry and about 500 people are invited.

Finance Minister, the Hon. David Saul.