writing cover last month and has already faced exposure as a result of Hurricane Luis.

This week's insured losses in the Caribbean, the CHA Insurance Company Ltd.

believes, may affect future rates.

New president and CEO Mr. Bob Virtue has confirmed that, although barely staffed, the company began writing premiums in August and has watched Hurricane Luis' activities with particular interest.

Mr. Virtue said, "We did write policies in the Islands. They are exposed and we are trying to find out by how much.

"The company started underwriting business in August. We think we are exposed on possibly three locations, one of which we know is a loss. We don't know how much. I've been on the telephone with someone who is trying to find out. There is no communication on the island. It is the island of St. Martin.'' Mr. Virtue confirmed losses did not include two hotels that were reportedly completely destroyed in Antigua.

Although an exempted company, the new firm won a special waiver from Government to compete with local insurers in writing cover for local hotels.

Mr. Virtue said, "We have not written any business for hotels located in Bermuda, but there are hotels here that have asked us for quotations.'' He said, "I think we've seen probably 30 submissions in total, during the first three weeks that the company has been open, and we've accepted five or six already. We probably have another 12 or 15 that we've quoted on, and are pending.'' When asked about rates, Mr. Virtue said, "We think the hurricanes will have a hardening effect on the rates. Some of the business renews in October, some of it in January and some of it is just attaching now.''