Milli Re 2025 Annual Report

d. Disclosures should be based on the information available through the date of issuance of the financial statements, – IFRS 19 Subsidiaries without Public Accountability: Disclosures’ and amendment; effective from annual periods beginning on or after 1 January 2027.This new standard works alongside other IFRS Accounting Standards. An eligible subsidiary applies the requirements in other IFRS Accounting Standards except for the disclosure requirements and instead applies the reduced disclosure requirements in IFRS 19. IFRS 19’s reduced disclosure requirements balance the information needs of the users of eligible subsidiaries’ financial statements with cost savings for preparers. IFRS 19 is a voluntary standard for eligible subsidiaries. A subsidiary is eligible if: – it does not have public accountability; and – it has an ultimate or intermediate parent that produces consolidated financial statements available for public use that comply with IFRS Accounting Standards. – IFRS 19 Subsidiaries without Public Accountability: Disclosures’; with these amendments, IFRS 19 reflects the changes to IFRS Accounting Standards that take effect up to 1 January 2027, when IFRS 19 will be applicable. These amendments help eligible subsidiaries by reducing disclosure requirements for Standards and amendments issued between February 2021 and May 2024, specifically: – IFRS 18 Presentation and Disclosure in Financial Statements; – Supplier Finance Arrangements (Amendments to IAS 7 and IFRS 7); – International Tax Reform-Pillar Two Model Rules (Amendments to IAS 12); – Lack of Exchangeability (Amendments to IAS 21); and – Amendments to the Classification and Measurement of Financial Instruments (Amendments to IFRS 9 and IFRS 7). The Company has assessed the impact of the aforementioned standards and amendments on the financial statements and has concluded that the changes do not have any significant effect, aside from the impacts of TFRS 17. The Company has established the necessary accounting policies under TFRS 17, and analyses and evaluations regarding the effects of TFRS 17 on the financial statements are ongoing. TFRS 17 contains significant differences compared to the existing Insurance Accounting and Financial Reporting Legislation, particularly concerning the measurement of insurance liabilities, the recognition of insurance revenue, and the presentation format. The Company is in the process of transitioning to TFRS 17, and at this stage, the quantitative effects of the transition on the financial statements for the year 2025 have not been finalized. The transition is expected to be significant, particularly in terms of the re-measurement of assets and/ or liabilities associated with insurance and reinsurance contracts, the periods in which insurance income/expenses are recognized, and the impact of these changes on equity. 153 Notes to the Unconsolidated Financial Statements As of December 31, 2025 Millî Reasürans Türk Anonim Şirketi GENERAL INFORMATION FINANCIAL RIGHTS PROVIDED TO THE MEMBERS OF THE GOVERNING BODY AND SENIOR EXECUTIVES RISKS AND ASSESSMENT OF THE GOVERNING BODY ACTIVITIES AND MAJOR DEVELOPMENTS RELATED TO ACTIVITIES RESEARCH & DEVELOPMENT ACTIVITIES FINANCIAL STATUS FINANCIAL INFORMATION (Currency: Turkish Lira (TRY)) (Convenience Translation of Financial Statements and Related Disclosures and Footnotes Originally Issued in Turkish)