Delivering on election platform promises, the Government will make investments to cover health insurance programmes amid a wider plan to launch universal healthcare next year, the Premier said.

David Burt told the House of Assembly that an additional $56.25 million from the Consolidated Fund was set aside in the Budget for healthcare.

He added that investments in the fiscal year would cover support for the Bermuda Hospitals Board, including subsidies for youth, seniors and those in need.

The Premier said that investments in the Health Insurance Department were geared towards supporting the expansion of the Health Insurance Programme and FutureCare.

Although it suffered shortfalls, funds will be poured into the Government Employee Health Insurance scheme, the Premier added.

Mr Burt said that the Government had used funds from the excess borrowing account to freeze the Standard Premium Rate for the third year in a row.

He explained: “This action shielded families and businesses from additional costs during a period of high global inflation.

“This year, we are moving beyond freezes and making investments to improve the healthcare benefits available to Bermudians.”

He said the Government would not be able to freeze the SPR this year and it may be necessary to introduce an inflationary adjustment to the rate to ensure that “vital benefits" could be sustained.

Through an allocation of $13.25 million from the Consolidated Fund, he said the Progressive Labour Party government was delivering on the pledges set out in its election platform to eliminate the waiting period to access the personal home care benefit

Coverage through the investment will eliminate a 12-month waiting period for new HIP and FutureCare policyholders to access the benefit.

Mr Burt said that as the island’s population aged, access to affordable home healthcare became increasingly essential.

At the moment, he said newly enrolled HIP and FutureCare members waited a full year to access personal home care benefits, even when immediate support was urgently needed.

He added: “That will now change. By removing this waiting period, new policyholders will be able to receive assistance to help defray the costs of home-based care services when they need it most.”

The Premier cautioned that although the benefit would significantly ease the financial burden for families, it did not cover the full cost of private home care.

The assistance is designed to support families by providing care while helping to reduce the pressure on hospital services and long-term inpatient care.

Mr Burt said the move represented fairness in action “by helping seniors to age with dignity in their own homes”.

It also provides vital support to Bermudian families who may need assistance to care for a disabled relative.

Mr Burt said funds from the Budget would also go towards the expansion of prescription drug coverage for HIP and FutureCare policyholders.

Although access to prescription coverage increased over the past few years, the Premier said that many Bermudians, particularly seniors, faced financial hurdles when trying to access essential medications.

He announced an increase to the coverage limit for HIP from $1,000 a year to $3,000 and an increase to the FutureCare limit from $3,000 to $5,000 a year.

The Premier explained: “By enhancing prescription drug coverage, we will make it easier for individuals to manage chronic conditions like diabetes, heart disease and hypertension — leading to better health outcomes and reduced reliance on costly emergency care.”

Mr Burt said the Government would introduce and expand coverage for annual health exams for all HIP and FutureCare clients.

He noted that regular annual check-ups detected potential health issues early before they escalated into costly medical emergencies.

Ensuring Bermudians covered by the programmes had access to an annual preventive health exam minus out-of-pocket costs was a transformational shift towards a healthier Bermuda, the Premier added.

Mr Burt cautioned that medical inflation globally was forecast to exceed 10 per cent this year, which could drive up the costs of medical care, equipment and pharmaceuticals.

He announced a $3 million allocation to boost the human resources required to implement universal healthcare, which had been a longtime goal of the PLP, in 2026.

He said the achievement required the necessary resources to ensure that changes to the island’s healthcare system were well planned and executed.

Mr Burt’s Budget statement allocated $245.4 million to the Ministry of Health, an increase of $45 million or 22 per cent compared with last year.

A significant portion of the funding will support the BHB, including $112.5 million in patient subsidies as well as a $42.1 million operational grant for the Mid-Atlantic Wellness Institute.

Under the Ministry of Health’s allocation, $3.3 million will go towards renovations at Mangrove Bay Clinic, St George’s Clinic and Hamilton Health Centre.

The sum will also cover architectural planning for the expansion of Sylvia Richardson Care Facility and Lefroy House.

Mr Burt said $6.6 million of capital funding was designated for BHB infrastructure upgrades, maintenance and system improvements at King Edward VII Memorial Hospital and MWI.

The total capital allocation for 2025-26 reflects a 9.83 per cent increase over the previous year.

Mr Burt said that while it was important for the Government to support the hospital to provide a high level of healthcare, he called on the private sector to support the KEMH so that it could acquire the latest medical technology.

For the first time since 2018, GEHI rates will be increased over the next two years to close a shortfall.

The move is part of the agreement with public sector employees, Mr Burt said.

He said the insurance scheme had experienced a deficit in recent years and shortfalls in funding had been financed from the excess borrowing account.

The scheme will receive an $18 million boost from the Consolidated Fund for the next fiscal year.

Mr Burt said the allocated sum was not the full amount to cover the shortfall, which is estimated at $31 million.