MILLI_RE_ANNUAL REPORT 2022

Valuation methods used in profit share calculation for saving life contracts with profit sharing None. Distribution of new participants in terms of their numbers and gross and net contributions for individuals and groups None. Distribution of new participants in terms of their numbers and gross and net contributions for individuals and groups which were transferred from other insurance companies during the year None. Distribution of individual and group participants and their gross and net contributions which were transferred from life insurance portfolio to private pension portfolio during the year None. Distribution of individual and group participants which were cancelled or transferred to other insurance companies in terms of their numbers and gross and net contributions None. Profit share distribution rate of life insurances None. Deferred commission expenses The Group capitalizes commissions paid to the intermediaries related to policy production under short-term and long-term prepaid expenses. As of December 31, 2022, short-term prepaid expenses amounting to TL 2.233.645.155 (December 31, 2021: TL 1.047.686.045) consist of deferred acquisition cost; deferred commission expenses amounting to TL 2.168.689.800 (December 31, 2021: TL 956.239.676) and other prepaid expenses amounting to TL 64.955.355 (December 31, 2021: TL 91.446.369). Long-term prepaid expenses amounting TL 22.375.330 (December 31, 2021: TL 1.281.781) are composed of other prepaid expenses. The movement of deferred production commissions for the accounting periods ending on 31 December 2022 and 2021 is as follows: December 31, 2022 December 31, 2021 Deferred commission expenses at the beginning of the period 956.239.676 661.636.162 Commissions accrued during the period (Note 32) 4.275.683.928 1.491.127.525 Commissions expensed during the period (3.063.233.804) (1.196.524.011) Deferred commission expenses at the end of the period 2.168.689.800 956.239.676 (*) Commission expenses accounted under reinsurance commissions are included. Individual pension funds None. 18 Investment contract liabilities None. 253 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