Three large catastrophe insurers have plans to locate in Bermuda, says Finance Minister the Hon. David Saul.

And it was doubtful that Independence talk was hurting Bermuda's desirability as a place for large insurance firms to locate, Dr. Saul told The Royal Gazette yesterday.

He said he was not questioned about Independence at the recent Risk and Insurance Managers Conference in New Orleans.

And he knew of two American and one European catastrophe insurers with plans to set up physical presences on the Island.

Bermuda's reputation as "a quality place'' to locate remained high, and he expected "a deluge'' of international companies'' trying to locate in Bermuda in the next six months.

Each of the three companies he referred to would have at least $500 million in capital, he said.

Each would have a small physical presence to start, then "ten or more people as they build up,'' and later likely "a score or more,'' he said.

The plans were being discussed by the boards of the companies which he said he could not name.

But Mr. Brian Hall, chairman of Government's Insurance Advisory Committee, said he understood Lexington Insurance planned to open a branch in Bermuda.

Lexington is a subsidiary of the American International Group.

Asked whether the Independence debate was discouraging offshore companies from locating in Bermuda, Dr. Saul said: "That's a very difficult question to answer.'' Businesses which were already located in Bermuda "may show some anxiety but basically are quite content'', because they knew Independence would "have little effect'' on the Island as a place to do business.

As for companies in other countries that were considering Bermuda among several other places to locate, "it's almost anyone's guess,'' he said.

"Would they go to other places, just because there's talk about Bermuda going Independent? I doubt it.'' Dr. Saul said money did not like uncertainty, and the best thing was for Bermuda to hold its referendum and make a decison one way or the other as soon as possible. Which option was selected was largely irrelevant to business.

With the Independence Referendum Act 1994 set for debate this Friday after an amendment in the Senate, Dr. Saul said it was his "hope,'' and "everyone else's intention'' that the Independence referendum could still be held this year.

The United Bermuda Party is believed to be close to agreement on a revised referendum plan in response to internal dissent. Independence is to be discussed again at a caucus meeting on Wednesday.

Meanwhile, two public forums are planned for this week.

The Progressive Labour Party is hosting a meeting at Devonshire Recreation on Tuesday to discuss Independence, the Commission of Inquiry, and the referendum. Speakers at the 8 p.m. meeting are Opposition Leader Mr. Frederick Wade, MPs Mrs. Lois Browne Evans and Mr. Alex Scott, and PLP candidate Mr.

Calvin Smith.

On Thursday, a forum titled "Independence: Now or Later'' is planned for 7.30 p.m. at St. Paul Centennial Hall. Its speakers are lawyer Mr. Arnold Francis, writer Dr. Eva Hodgson, PLP MP Mr. Ottiwell Simmons, and UBP MP Mr. Harry Soares.

Mr. Wade said yesterday he planned to debate his motion rejecting Government's call for a Commission of Inquiry at the earliest opportunity.

Having supported an amendment to the Independence Referendum Act passed in the Senate, Mr. Wade said he expected the PLP would support the amendment in the House. However, "in the House on Friday there could be all kinds of motions and manoeuvring by the Premier and his people,'' he said.

The Senate amendment, which Government opposes, would require a majority of registered voters to cast ballots in favour of Independence before there was a mandate to sever ties with the United Kingdom. As written, the Government bill would only require a majority of those who cast ballots to vote yes.