That is when standard hospital insurance premiums rise by 7.8 percent to $65.43 a month.

On a weekly basis they would come to $15.11.

By law every employer has to provide insurance for staff, which entitles them to standard hospital benefits.

To get these benefits -- the minimum legal requirements -- standard insurance premiums must be paid.

Employers can deduct from employees' salaries up to 50 percent of premiums.

The increases will be made under The Hospital Insurance (Standard Premium) Regulations 1994.

The legislation was tabled in the House of Assembly last Friday.

Yesterday Finance Minister the Hon. David Saul said increases were made annually.

They come in when the hospitals -- King Edward VII Memorial and St. Brendan's -- submit their budgets to the Government, added Dr. Saul.

"We review what they want in their grant. There is a great deal of discussion to and fro.

"The Hospital Insurance Commission studies everything. Then we come to a compromise with the Bermuda Hospitals Board.

"And as a consequence of that we then have to put up hospital insurance premiums for all mandatory coverage.'' Dr. Saul said standard premium increases followed a 4.5 percent hike in hospital rates.

"The standard premium itself is going up $5.75 per month. That's about par with other years.

"It's just the annual increment in hospital costs which compares very favourably with other countries.'' Dr. Saul said costs were tied as closely as possible to the inflation rate.

Government has also tabled the Hospital Insurance (Deductions) Amendment Regulations 1994.

The legislation authorises deductions an employer can make from his employee to pay for premiums.

Said Dr. Saul: "Through legislation we allow employer to deduct from employees' salaries up to 50 percent of the premium.

"They share half and half. Each year we have to specify how much they deduct from their employee.'' Dr. Saul said from April 1 employers will be able to deduct $7.56 a week, or $32.72 a month.

Last night executive director of the Bermuda Hospitals Board Mr. Hume Martin explained standard hospital benefits were the minimum allowed under the law.

Many people pay more for their hospital coverage, he added.

Health Minister the Hon. Quinton Edness said last night the 4.5 percent rise in hospital rates would be discussed this week during the resumption of the Budget debate.