MILLI RE 2023 ANNUAL REPORT

Notes to the Consolidated 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) As of December 31, 2023, and 2022, movements of the insurance liabilities and related reinsurance assets are presented below: Unearned premiums reserve December 31, 2023 Gross Ceded SSI Share Net Unearned premiums reserve at the beginning of the period 15.226.687.322 (2.523.561.505) (265.022.490) 12.438.103.327 Written premiums during the period 53.164.163.951 (12.109.441.785) (579.640.598) 40.475.081.568 Earned premiums during the period (39.689.217.685) 9.835.693.254 501.397.914 (29.352.126.517) Unearned premiums reserve at the end of the period 28.701.633.588 (4.797.310.036) (343.265.174) 23.561.058.378 Unearned premiums reserve December 31, 2022 Gross Ceded SSI Share Net Unearned premiums reserve at the beginning of the period 6.754.872.769 (1.563.331.963) (119.827.872) 5.071.712.934 Written premiums during the period 28.062.405.894 (5.869.701.512) (427.451.541) 21.765.252.841 Earned premiums during the period (19.590.591.341) 4.909.471.970 282.256.923 (14.398.862.448) Unearned premiums reserve at the end of the period 15.226.687.322 (2.523.561.505) (265.022.490) 12.438.103.327 Outstanding claims reserves December 31, 2023 Gross Ceded Net Outstanding claims reserve at the beginning of the period 17.762.063.355 (4.562.215.886) 13.199.847.470 Claims reported during the period and changes in the estimations of outstanding claims reserves provided at the beginning of the period 57.783.969.193 (29.960.202.982) 27.823.766.210 Claims paid during the period (38.082.050.345) 18.399.604.706 (19.682.445.639) Outstanding claims reserve at the end of the period 37.463.982.203 (16.122.814.162) 21.341.168.041 Outstanding claims reserves December 31, 2022 Gross Ceded Net Outstanding claims reserve at the beginning of the period 11.605.438.124 (2.957.988.891) 8.647.449.234 Claims reported during the period and changes in the estimations of outstanding claims reserves provided at the beginning of the period 18.495.257.199 (3.391.961.453) 15.103.295.745 Claims paid during the period (12.338.631.967) 1.787.734.458 (10.550.897.509) Outstanding claims reserve at the end of the period 17.762.063.356 (4.562.215.886) 13.199.847.470 Table of development of damages The main assumption used in estimating the provision for outstanding claims is Anadolu Sigorta’s previous experience of loss development. The Company management uses its own judgments in determining how external factors such as legal decisions or changes in laws will affect the outstanding claim provision. The sensitivity of some variables, such as legal changes and uncertainties in the estimation process, is not measurable. In addition, long delays between the occurrence of the damage and the time the payment is made prevent the precise determination of the provision for outstanding claims as of the end of the reporting period. Therefore, the total liabilities may change depending on the subsequent developments and the differences resulting from the re-estimation of the total liabilities are reflected in the financial statements in the following periods. 236 MİLLİ RE