GOVT. MOVING AHEAD WITH NATIONAL HEALTH INSURANCE

In keeping with Government's Legislative Agenda, efforts are currently
underway to advance Government's initiative to embark on a national health
insurance scheme for the Territory.

Two representatives of American Express Tax and Business Services
Incorporated, Messrs. David Honig and Adam Schreiber, have been in the BVI since March 22 to develop ideas about the scheme and provide feedback to Government. As a part of their visit, which ends on March 25, the consultants are meeting with a workgroup comprising Government officials representing areas such as finance, health and law.

On March 24, Messrs. Honig and Schreiber met with key stakeholders from the construction industry, locally based insurance agencies, the medical
profession and local businesses to facilitate discussion on the insurance
scheme. In addition, the workgroup has been in contact with American
Express since the consultants first visited the Territory in December 2003.
During that visit, which was part of the initiation and information
gathering phase of the project, they met with Government officials as well
as representatives from public and private health services providers,
insurance agencies and the private sector.

Government has recognized the need for improved health services within the
Territory for some time now. In a report prepared in 1998, it was pointed
out that people in the BVI were not getting value for their money on health
services. It was therefore decided that Government should investigate
options for ensuring a more cost effective future for the nation's health
care. One option for achieving this was the development of a national
insurance system, under which the working population contributes and health care, both in the BVI and overseas, is available to everyone based on need.

Consequently, the BVI embarked on the process of developing a comprehensive national health care insurance scheme. The approach included looking at strategies for service delivery, funding for the health sector and reform of the public sector. Since 1998, Government has engaged a number of consultants and participated in research and discussions with the public and the private sectors to develop the best possible scheme. In 2003, the Chief Minister's Office entered into an agreement with the Healthcare Services Group of American Express, which previously submitted a detailed project proposal to assist Government in establishing a national insurance health plan.