White House officials have assured business executives that the premium would not exceed 7 percent of payroll.

The premium typically rises with a buyer's age and often exceeds $3,000 a year for people over 70 years old.

Under his amendment, the extra monthly premium for prescription drugs could not exceed $2 in 1991, $3.50 in 1992 or $4.80 in 1993.

When trading began, all the premiums exceeded what had been forecast, ranging from 46 to 76 pence.

In 2000, having built up $530 million of assets, Alfa dropped its tax-exempt status when its premiums exceeded the $350,000 maximum.

However, the premium will never exceed the maximum premium guaranteed in the policy.

The bill adds a valuable protection for low-income families: If premiums exceed 3.9 percent of their income, Federal subsidies would pay the balance.

The cash value is the sum by which the premiums - and the dividends they earn - exceed the insurer's estimated cost of the coverage.

These premiums rarely exceed 50 cents a hundredweight.

That would cost less to start, but annual premiums would exceed those for a 10-year policy after the third year.