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) In accordance with the law; after fund affiliates along with monthly salary and/or revenue endowed people and their rights holder transfer to Social Security Intuition, these people’ uncovered social rights and payments is paid, even if it is written in the foundation’s obligation which they are belong to, by funds and fund affiliate’s employer institutions. The benefits stated in the settlement deeds of pension fund but not subject to transfer will continue to be covered by the pension funds. The technical financial position of the Milli Reasürans Pension Fund is audited by the registered actuary in accordance with the Article 21 of the Insurance Law and Actuary Act. As per the calculations based on the above mentioned assumptions, actuarial and technical deficit amounting to TL 339.283.006 (December 31, 2022: TL 235.267.182) is accounted as “Provision for pension fund deficits” in the accompanying consolidated financial statements. An actuarial report has been obtained from registered actuary regarding calculation of the amount to be paid to the Social Security Institution by the Company in accordance with the new law. The CSO 1980 mortality table for December 31, 2023 9.8% of technical deficit interest rate are taken into account in the calculation of the said technical deficit. No real increase/decrease is anticipated in salary and health expenses. The health benefits to be paid will be considered by the Group management due to the changes in the Social Security Institution legislation and other regulations. At December 31, 2023 and 2022, technical deficit from pension funds comprised the following. December 31, 2023 December 31, 2022 Net present value of total liabilities other than health (852.626.284) (477.099.568) Net present value of insurance premiums 345.969.987 143.627.068 Net present value of total liabilities other than health (506.656.297) (333.472.500) Net present value of health liabilities (106.904.194) (56.866.044) Net present value of health premiums 189.967.585 78.927.742 Net present value of health liabilities 83.063.391 22.061.698 Pension fund assets 84.309.900 76.143.620 Amount of actuarial and technical deficit (339.283.006) (235.267.182) Pension fund assets are comprised of the following items: December 31, 2023 December 31, 2022 Cash and cash equivalents 4.864.338 38.295.525 Associates 68.043.220 31.736.625 Other 11.402.342 6.111.470 Total plan assets 84.309.900 76.143.620 Up to date, as per the actuarial calculation performed, there has not been any deficit in Anadolu Anonim Türk Sigorta Şirketi Memurları Emekli Sandığı and Anadolu Sigorta has made no payment for this purpose. It is believed that the assets of this institution are adequate enough to cover its total obligations; therefore, this shall not constitute any additional liability on Anadolu Sigorta. 23 Provision for other liabilities and expense accruals As of December 31, 2023, and 2022, the provisions for other risks are disclosed as follows: December 31, 2023 December 31, 2022 Provision for pension fund deficits (Note 22) 339.283.006 235.267.182 Provision for employee termination benefits 160.676.648 135.521.632 Provision for unused vacation pay liability 22.210.647 11.902.901 Total provision for other risks 522.170.301 382.691.715 242 MİLLİ RE