EXHIBIT 10.1
EXECUTION COPY

FOURTH AMENDMENT AGREEMENT

     This Fourth Amendment Agreement (“Amendment”) is entered into as of
December 11, 2002 among Montpelier Re Holdings Ltd., a Bermuda company (the
“Borrower”), and the Lenders listed on the signature pages hereto (the
“Lenders”) and Bank of America, N.A., in its capacity as Administrative Agent
for the Lender (the “Administrative Agent”).

R E C I T A L S

     WHEREAS, the Borrower, the Lenders and the Administrative Agent are parties
to the Credit Agreement dated as of December 12, 2001, as amended by Amendment
Agreement dated as of December 26, 2001 and by Second Amendment Agreement dated
June 17, 2002 and by the Third Amendment Agreement dated August 1, 2002 (the
“Credit Agreement”) pursuant to which the Lenders made available to the Borrower
a revolving loan facility and a term loan facility; and

     WHEREAS, in consideration of the mutual agreements, provisions and
covenants contained herein, the parties agree as follows:

     SECTION 1. CREDIT AGREEMENT DEFINITIONS. Capitalized terms used herein that
are defined in the Credit Agreement shall have the same meaning when used herein
unless otherwise defined herein.

     SECTION 2. AMENDMENT TO CREDIT AGREEMENT. Effective on (and subject to the
occurrence of) the Fourth Amendment Effective Date (as defined below), the
definition of “Revolving Commitment Termination Date” in Section 1.1 of the
Credit Agreement shall be amended by the deletion of the date “December 11,
2002” and the substitution of the date “December 10, 2003” therefor.

     SECTION 3. REPRESENTATIONS AND WARRANTIES. In order to induce the Lenders
and the Administrative Agent to execute and deliver this Amendment, the Borrower
hereby represents and warrants that:

       (a) no Default or Event of Default has occurred and is continuing or will
result from the execution and delivery or effectiveness of this Amendment; and

       (b) the warranties of the Borrower contained in Article IV of the Credit
Agreement are true and correct in all material respects as of the date hereof,
with the same effect as though made on such date (except where such
representation speaks as of a specified date).

     SECTION 4. CONDITIONS TO EFFECTIVENESS. The amendments set forth in
Section 2 shall become effective on the date (the “Fourth Amendment Effective
Date”) upon (i) receipt by the Administrative Agent of four counterparts of this
Amendment executed by the Borrower, the Administrative Agent and the Revolving
Lenders, (iii) payment by the Borrower to the Administrative Agent of an
amendment fee

 

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equal to 0.075% of the aggregate Revolving Commitments, pro rata to the
Revolving Lenders and (iv) payment by the Borrower to the Administrative Agent
and the Arranger of such fees as shall have been agreed upon between the
Borrower, the Administrative Agent and Arranger.

     SECTION 5. GENERAL.

     5.1 Reaffirmation of Loan Documents. From and after the date hereof, each
reference that appears in any Loan Document to the Credit Agreement shall be
deemed to be a reference to the Credit Agreement as amended hereby. As amended
hereby, the Credit Agreement is hereby reaffirmed, approved and confirmed in
every respect and shall remain in full force and effect.

     5.2 Counterparts; Effectiveness. This Amendment may be executed by the
parties hereto in any number of counterparts and by the different parties in
separate counterparts and each such counterpart shall be deemed to be an
original, but all such counterparts shall together constitute but one and the
same agreement.

     5.3 Governing Law; Entire Agreement. THIS AMENDMENT SHALL BE GOVERNED BY,
AND CONSTRUED IN ACCORDANCE WITH, THE LAW OF THE STATE OF NEW YORK.

     SECTION 6. LOAN DOCUMENT. This Amendment is a Loan Document.

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     IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be
executed by the respective officers as of the date and year first above written.

  MONTPELIER RE HOLDINGS LTD   By: /s/ Neil McConachie

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Title: Senior Vice President and
Financial Controller   BANK OF AMERICA, N.A., as
Administrative Agent   By: /s/ Mehul Mehta

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Title: Principal   THE BANK OF N.T. BUTTERFIELD & SON
LIMITED   By: /s/ illegible

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Title: Vice President   CREDIT SUISSE FIRST BOSTON   By: /s/ Jay Chall       
/s/ Cassandra Droogan

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Title: Director                 Associate   THE BANK OF BERMUDA LTD.   By: /s/
R. Brunson

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Title: V.P. Corporate Banking   FLEET NATIONAL BANK   By: /s/ David A. Bosselait

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Title: Director   THE BANK OF NEW YORK   By: /s/ Evan R. Glass

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Title: Vice President

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    BARCLAYS BANK PLC   By: /s/ Chris Lee

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Title: Manager   COMERICA BANK   By: /s/ illegible

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Title: International Banking Officer

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