Company: FRFXF
Filing Date: 2025-03-14
Form Type: F-4
Source: 0001104659-25-024010
Chunk: 132

Company: FAIRFAX FINANCIAL HOLDINGS LTD/ CAN
Filing Date: 2025-03-14
Form: F-4
Chunk 132
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 implemented. PIPA applies to every organization (which includes any individual, entity or public
authority) that uses personal information in Bermuda where that personal information is used by automated or other means which form, or
are intended to form, part of a structured filing system. PIPA does not define privacy explicitly, but rather defines “personal
information” and sets out privacy rules for institutions to follow for the collection, use, disclosure, maintenance, retention,
security and disposal of personal information. For the purposes of PIPA, “personal information” means any information about
an identified or identifiable individual (meaning a natural person), and “use” or “using” are very broadly defined
and means carrying out any operation on personal information, including collecting, obtaining, recording, holding, storing, organizing,
adapting, altering, retrieving, transferring, consulting, disclosing, disseminating or otherwise making available, combining, blocking,
erasing or destroying it. Personal information used by an entity, such as in Bermuda would include (without limitation) information
relating to policyholders, employees, consultants, service providers, officers, employees, consultants or any other third party of the
insurer. Our Bermuda entities are subject to PIPA requirements.

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Insolvency and Winding up

Bermuda’s insolvency
regime is generally premised upon the concept of pari passu distribution of assets amongst the unsecured creditors of the insolvent
company, subject to the rights of secured creditors of that company to enforce their security interests. However, the Bermuda Insurance
Act provides for the prior payment of policyholders’ liabilities ahead of general unsecured creditors in the event of the liquidation
or winding up of an insurer. The Bermuda Insurance Act provides, amongst other things that, subject to certain statutorily preferred debts,
the insurance debts of an insurer must be paid in priority to all other unsecured debts of the insurer. Insurance debt is defined as a
debt to which an insurer is or may become liable pursuant to an insurance contract excluding debts owed to an insurer under an insurance
contract where the insurer is the person insured.

An insolvent Bermuda company
may be the subject in Bermuda of winding up proceedings. In the context of insolvency, the other proceedings that may be used in Bermuda
are a scheme of arrangement or receivership, but these are not exclusive to insolvency. There are two types of insolvent liquidations
in Bermuda: voluntary and compulsory. The former