MILLI_RE_ANNUAL REPORT 2022

For the years ended December 31, 2022 and 2021, salvage and subrogation collected are as follows: December 31, 2022 December 31, 2021 Land Vehicles 1.935.116.639 959.795.444 Land Vehicles Liability 75.862.619 25.275.036 Fire and Natural Disasters 18.394.585 7.114.999 Marine 13.614.925 7.425.922 Credit 66.013 27.005 Breach of Trust 2.597.464 233.681 General Losses 9.040.615 2.483.190 General Liability 5.926.445 888.347 Accident 1.393.565 230.498 Sea Vehicles 601.539 3.856.696 Financial Losses 17.957 -- Air Vehicles 26.283.087 203.610 Air Vechiles Liability 75.597 17.638 Legal Protection 3.453 8.310 Total 2.088.994.503 1.007.560.376 As of December 31, 2022, and 2021, accrued subrogation and salvage income per branches is as follows: December 31, 2022 December 31, 2021 Land Vehicles 162.244.227 94.484.614 Land Vehicles Liability 31.767.257 23.401.253 Fire and Natural Disasters 5.841.411 8.502.989 General Damages 692.923 2.380.740 Marine 787.573 3.150.366 Accident - 516.591 Sea Vehicles 1.274.698 634.894 General Liability 143.221 64.436 Total 202.751.310 133.135.883 Commission income and expenses As further disclosed in Note 2.24 - Reserve for unearned premiums , commissions paid to the insurance and reinsurance companies as a reinsurance Company and the commissions received from the reinsurance companies are recognized over the life of the contract by deferring commission income and expenses within the calculation of reserve for unearned premiums for the policies produced before January 1, 2008 and recognizing deferred commission income and deferred commission expense in the financial statements for the policies produced after January 1, 2008. Interest income and expenses Interest income and expense are recognized using the effective interest method. The effective interest rate is the rate that exactly discounts the estimated future cash payments and receipts through the expected life of the financial asset or liability (or, where appropriate, a shorter period) to the carrying amount of the financial asset or liability. The effective interest rate is established on initial recognition of the financial asset and liability and is not revised subsequently. The calculation of the effective interest rate includes all fees and points paid or received transaction costs, and discounts or premiums that are an integral part of the effective interest rate. Transaction costs are incremental costs that are directly attributable to the acquisition, issue or disposal of a financial asset or liability except for the financial assets at fair value through profit or loss. 207 MİLLİ RE 2022 ANNUAL REPORT Notes to the Consolidated Financial Statements As of December 31, 2022 Millî Reasürans Türk Anonim Şirketi (Currency: Turkish Lira (TL)) Convenience Translation of Financial Statements and Related Disclosures and Footnotes Originally Issued in Turkish, See Note 2.1.1 RISKS AND ASSESSMENT OF THE GOVERNING BODY UNCONSOLIDATED FINANCIAL STATEMENTS TOGETHER WITH INDEPENDENT AUDITORS’ REPORT THEREON CONSOLIDATED FINANCIAL STATEMENTS TOGETHER WITH INDEPENDENT AUDITORS’ REPORT THEREON FINANCIAL STATUS