MILLI RE 2023 ANNUAL REPORT

Notes to the Unconsolidated Financial Statements As of December 31, 2023 Millî Reasürans Türk Anonim Şirketi (Currency: Turkish Lira (TL)) (Convenience Translation of Financial Statements and Related Disclosures and Footnotes Originally Issued in Turkish) 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 Company capitalizes commissions paid to the intermediaries related to policy production under short-term and long-term prepaid expenses. As of December 31, 2023, deferred production expenses amounting to TL 1.151.447.899 (December 31, 2022: 540.362.676 TL) deferred production commissions amounting to TL 1.147.768.978 (31 December 2022: TL 537.519.645) and deferred loss surplus amounting to TL 3.678.921 (31 December 2022: TL 2.843.031) It consists of premiums. As of December 31, 2023, and 2022, the movement of deferred commission expenses is presented below: December 31, 2023 December 31, 2022 Deferred commission expenses at the beginning of the period 537.519.645 280.371.627 Commissions accrued during the period (Note 32) 2.259.936.635 1.091.429.957 Commissions expensed during the period (Note 32) (1.649.687.302) (834.281.939) Deferred commission expenses at the end of the period 1.147.768.978 537.519.645 18 Investment contract liabilities None. 19 Trade and other payables and deferred income December 31, 2023 December 31, 2022 Financial Liabilities (Note 20) 29.846.096 126.259 Payables from reinsurance operations 841.905.698 157.282.931 Short/long term deferred income and expense accruals 48.379.059 26.927.997 Taxes and other liabilities and similar obligations 15.176.235 6.317.060 Due to related parties (Note 45) 722.655 419.272 Other payables 9.665.367 13.057.845 Total 945.695.110 204.131.364 Short-term liabilities 929.095.646 162.229.199 Medium and long-term liabilities 16.599.464 41.902.165 Total 945.695.110 204.131.364 As of December 31, 2023, and 2022, other payables largely consist of outsourced benefits and services. Short/long term deferred income and expense accruals include deferred commission income (Note 10) amounting to TL 8.565.638 (December 31, 2022: TL 9.482.897). 150 MİLLİ RE