liability and property catastrophe reinsurance category of new insurance laws, according to a release.

"The Bermuda market will begin with approximately 12 Class 4 companies. Under the Insurance Amendment Act 1995, these carriers are required to maintain minimum capital and surplus of $100 million,'' said Mr. Kymn Astwood, Inspector of Companies in the insurance division of the Registrar of Companies.

The Act became law March 29, 1995 and comes into force on Saturday. All companies defined by the Act as class 4 insurers must have obtained new certificates of registration from the insurance division of the Registrar of Companies by Saturday.

Government is currently processing the applications from the Island's excess liability and property catastrophe reinsurers.

The remaining insurance and reinsurance companies -- about 1,350 -- will be required to complete re-registration by the end of the year.

Any new company applying for a Bermuda insurance licence after April 29 must comply immediately with the provisions under the Act.

Bermuda's Finance Minister, the Hon. Dr. David Saul, has said the Act will have little impact on single-parent class one captive insurers.

He has also said the Act applies tough new solvency and capital requirements to class 4 companies as well as put the Island's $29 billion insurance industry into a regulatory class of its own.

Mr. Astwood is recommending all class 1, 2, 3 and long-term insurers required to register by the end of the year do so by September 1.

"We can virtually guarantee that those who have filed by September 1, 1995 will be re-registered by January 1, 1996,'' said Mr. Astwood.

"We are not, however, prepared to give the same assurance for applications received after that date,'' he added.

Transition application forms for existing class 1, 2, 3, and long-term insurers will be available in early May, he said.