Company: FRFXF
Filing Date: 2025-10-01
Form Type: F-10
Source: 0001104659-25-095645
Chunk: 100

Company: FAIRFAX FINANCIAL HOLDINGS LTD/ CAN
Filing Date: 2025-10-01
Form: F-10
Chunk 100
---
 to their operational resilience. In Europe, the Digital Operational Resilience Act came into force on January 17, 2025; and

(ii)

a focus on the commercial insurance market. On July 29, 2024, the FCA issued a discussion paper (DP24/1: Regulation of Commercial and Bespoke Insurance) which set out proposals focused on attempting to ensure an appropriate balance between consumer protection and competitiveness in the commercial insurance market.

Other Relevant Issues for the Insurance Sector in the United Kingdom

Passporting

Firms authorized in a European Economic Area (“

#### EEA
”) state to carry on activities regulated under one of the relevant directives emanating from the European Union (the “Single Market directives”) are entitled to

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carry on those regulated activities in any other EEA state without needing to become directly authorized by the regulator of the host EEA state. This is known as “passporting” and can involve either the setting up of an establishment in the host EEA state or the provision of cross-border services. The Solvency II Directive is, for example, a Single Market directive. Whilst the United Kingdom was part of the EEA, Brit Syndicates Limited had permission from the PRA to exercise passporting rights out of the United Kingdom and into other EEA states.

The United Kingdom left the European Union at 23:00 (Greenwich Mean Time) on January 31, 2020. Prior to this date, the European Union (Withdrawal Agreement) Act 2020 (the “

#### Withdrawal Act
”) entered into law in the United Kingdom on January 23, 2020. The Withdrawal Act provided for an “implementation period,” during which time existing arrangements between the United Kingdom and European Union would continue to apply, until December 31, 2020 (and, during that period, U.K. firms were able to continue to benefit from their passporting permissions). Following December 31, 2020, U.K. firms are no longer able to exercise passporting rights. To enable clients with EEA business to continue to access the Lloyd’s market, Lloyd’s has established a subsidiary in Belgium, Lloyd’s Insurance Company S.A. (“

#### Lloyd’s Europe
”), which is authorized by the National Bank of Belgium (“

#### NBB
”), regulated by the NBB and the Financial Services and Markets Authority in Belgium and benefits from passporting permissions in all EEA states