Test

Group highlights, fourth quarter and preliminary full year report 2023

In the following, the figures in brackets indicate the amount or percentage for the corresponding period in the previous year.

Fourth quarter

Group

Profit or loss before tax expense: NOK 1,606.5 million (1,674.1)
Earnings per share: NOK 2.18 (2.60)

General Insurance

Insurance revenue: NOK 9,394.6 million (8,324.9)
Insurance service result: NOK 734.3 million (1,101.0)
Combined ratio: 92.2% (86.8%)
Cost ratio: 13.3% (13.4%)
Financial result: NOK 1,876.3 million (968.4)

Year as a whole

Group

Profit or loss before tax expense: NOK 5,551.5 million (4,317.5)
Earnings per share: NOK 8.11 (6.78)

General Insurance

Insurance revenue: NOK 36,162.0 million (32,217.7)
Insurance service result: NOK 4,468.9 million (5,536.2)
Combined ratio: 87.6% (82.8%)
Cost ratio: 14.4% (13.2%)
Financial result: NOK 2,590.3 million (minus 2,516.3)

Proposed dividend

• Proposed regular dividend: NOK 4,375 million (4,125), corresponding to NOK 8.75 per share (8.25)

Profit performance Group

NOK millions	Q4 2023		Q4 2022 1.1.-31.12.2023 1.1.-31.12.2022
Insurance service result Private	456.9	758.0	2,495.3	3,093.3
Insurance service result Commercial	667.8	520.6	3,543.5	3,117.0
Insurance service result Sweden	-13.7	26.4	130.2	162.0
Insurance service result Baltics	27.2	-26.8	49.1	-75.8
Insurance service result Corporate Centre	-403.9	-177.3	-1,749.3	-760.4
Insurance service result general insurance	734.3	1,101.0	4,468.9	5,536.2
Profit or loss before tax expense Pension	113.7	134.7	106.1	129.7
Financial result investment portfolio	1,876.3	968.4	2,590.3	-2,516.3
Unwinding general insurance	-289.7	-222.3	-1,023.3	-636.9
Change in financial assumptions general insurance	-651.0	-162.8	-46.9	1,504.4
Other items 1	-177.1	-144.8	-543.7	300.6
Profit or loss before tax expense	1,606.5	1,674.1	5,551.5	4,317.5
Alternative performance measures
Large losses, net of reinsurance 2, 3, 4	433.2	362.4	1,796.9	1,224.9
Run-off gains and losses, net of reinsurance 3	47.3	101.3	490.0	256.4
Change in risk adjustment, net of reinsurance 3	-2.3	-22.0	42.1	44.0
Discounting effect 3	263.5	206.4	1,016.2	613.1
Insurance revenue from general insurance	9,394.6	8,324.9	36,162.0	32,217.7
Insurance revenue changes in general insurance, local currency	9.1%		8.6%
Loss ratio, gross 3	78.0%	71.6%	74.1%	68.3%
Net reinsurance ratio 3	0.8%	1.8%	-0.8%	1.3%
Loss ratio, net of reinsurance 3	78.9%	73.4%	73.3%	69.6%
Cost ratio 3	13.3%	13.4%	14.4%	13.2%
Combined ratio 3	92.2%	86.8%	87.6%	82.8%
Underlying frequency loss ratio, net of reinsurance 3, 5	74.7%	70.0%	69.8%	66.7%
Solvency ratio 6			165.5%	179.3%

¹ Other items are explained in note 8 Specification of other items

2 Large losses in excess of NOK 30.0 million are charged to the Corporate Centre, while claims of less than NOK 30.0 million are charged to the segment in which the large losses occur. As a main rule, the Baltics segment has a retention level of EUR 0.5 million, while the Swedish segment has a retention level of NOK 10 million. Large losses allocated to the Corporate Centre amounted to NOK 147.0 million (82.8) for the quarter and NOK 915.2 million (367.3) for the year-to-date. Accounting items related to reinsurance are also included.

³ Defined as an alternative performance measure (APM). APMs are described at www.gjensidige.com/investor-relations/reports-and-presentations in a document named APM.

4 Large losses = loss events in excess of NOK 10.0 million. Expected large losses for the quarter were NOK 664.0 million.

⁵ Underlying frequency loss ratio, net of reinsurance = (insurance claims expenses + reinsurance premiums + amounts recovered from reinsurance + large losses, net of reinsurance - runoff gains/losses, net of reinsurance - risk adjustment, net of reinsurance)/insurance revenue

⁶ Solvency ratio = Total eligible own funds to meet the Solvency Capital Requirement (SCR), divided by SCR. For the Group and Gjensidige Forsikring ASA total comprehensive income for the year-to-date is included in the solvency calculations, minus a formulaic dividend pay-out ratio in the first, second and third quarter of 80 per cent of net profit. At year end, the proposed dividend is deducted in the calculation of the solvency ratio.

Results for the quarter and the full year impacted by challenging weather conditions

Gjensidige generated a profit after tax of NOK 1,113 million during the fourth quarter and NOK 4,130 million for the full year, reflecting continued strong momentum in revenue growth, but also higher claims costs impacted by challenging weather conditions. The financial result from investments reflects the positive development in the capital markets. Gjensidige will continue to strengthen pricing measures and adjust terms and conditions to ensure that the increase in claims costs is mitigated over time. Delivery on financial targets for 2023 was impacted by challenging weather during the year and one-off expenses in the third quarter. The outlook for Gjensidige's insurance service results remains good. The Board proposes a regular dividend of NOK 8.75 per share.

Group profit performance

Development during the quarter

Gjensidige Forsikring Group recorded a profit before tax expense of NOK 1,606.5 million (1,674.1) for the quarter.

The tax expense amounted to NOK 494.0 million (358.5), resulting in an effective tax rate of 30.7 per cent (21.4). The effective tax rate was impacted by realised and unrealised gains and losses on equity investments in the EEA and an adjustment related to tax expenses in 2022. Excluding this adjustment, the effective tax rate for the fourth quarter was 23.6 per cent.

The profit after tax expense was NOK 1,112.6 million (1,315.7) and the corresponding earnings per share were NOK 2.18 (2.60).

The profit from general insurance operations measured by the insurance service result was NOK 734.3 million (1,101.0), corresponding to a combined ratio of 92.2 (86.8).

Insurance revenue from general insurance increased by 12.8 per cent to NOK 9,394.6 million (8,324.9) in the quarter, or by 9.1 per cent measured in local currency. This was due to solid renewals, effective and differentiated pricing measures and volume growth.

The insurance service result from general insurance operations decreased by 33.3 per cent, due to a higher underlying frequency loss ratio, higher large losses and lower run off gains. Higher discounting effects contributed positively to the insurance service result.

The underlying frequency loss ratio increased by 4.7 percentage points, mainly driven by the Private segment. The claims frequency for motor insurance in Norway increased significantly, reflecting the difficult driving conditions caused by several periods with heavy snowfall and low temperatures. In addition, the increase in underlying claims frequency for motor continued in the fourth quarter. This was met with targeted measures that will have full effect on the insurance service result over time. The weather conditions in the fourth quarter also impacted claims frequency for property insurance in Norway. In addition, the profitability for Norway was negatively impacted by a strengthening of reserves for claims incurred earlier in 2023. The profitability of property insurance in Denmark was negatively impacted by windstorms and cloudbursts during the quarter.

The cost ratio was broadly stable at 13.3 percentage points.

Insurance revenue in the Private segment increased by 7.6 per cent measured in local currency. The insurance service result decreased, mainly driven by a higher loss ratio.

Insurance revenue in the Commercial segment increased by 11.6 per cent measured in local currency. The insurance service result increased, driven by growth in insurance revenue and an improved underlying frequency loss ratio.

Insurance revenue in the Swedish segment increased by 2.4 per cent measured in local currency. The insurance service result was minus NOK 13.7 million (26.4), with the decrease being driven by higher underlying frequency loss and cost ratios.

Insurance revenue in the Baltic segment increased by 12.8 per cent measured in local currency. The insurance result increased mainly driven by a lower loss ratio and higher insurance revenues.

The Pension segment generated a profit before tax of NOK 113.7 million (134.7), mainly reflecting a lower insurance service result and an increase in net finance income. The decline in the insurance service result was mainly driven by a positive impact on the result in the fourth quarter 2022 related to a change in the actuarial model for paid-up policies, in addition to a strengthening of provisions for children's disability pension.

The financial result for the quarter was NOK 1,876.3 million (968.4), which corresponds to a return on total assets of 3.1 per cent (1.7). The result for the quarter was positively impacted by lower interest rates and credit spreads, a high running yield, as well as positive equity markets.

Other items amounted to minus NOK 177.1 million (minus 144.8), primarily reflecting higher interest expenses on subordinated loans and a lower result for mobility services.

Development during the year

The Group recorded a profit before tax expense of NOK 5,551.5 million (4,317.5) for the period. The profit from general insurance operations measured by the insurance service result was NOK 4,468.9 million (5,536.2) corresponding to a combined ratio of 87.6 (82.8).

The profit after tax expense was NOK 4,130.4 million (3,437.8). Earnings per share amounted to NOK 8.11 (6.78).

The decrease in the insurance service result was driven by an increase in the underlying frequency loss ratio, higher large losses and an increase in operating expenses. The large losses were significantly impacted by claims related to the storm 'Hans' and the torrential rain in Oslo during the third quarter. Higher run-off gains and the discounting effect contributed positively. The increase in the underlying frequency loss ratio was partly impacted by the difficult driving conditions in the first and fourth quarters in Norway, with a negative effect on profitability for private and commercial motor insurance, in addition to lower profitability of private property in Norway and private motor and property insurance in Denmark.

Insurance revenue rose by 8.6 per cent measured in local currency.

The cost ratio increased by 1.1 percentage points, mainly due to one-offs amounting to NOK 409.0 million recorded in the third

quarter, related to a write-down of the accounting value of the new core IT-system in Denmark, NOK 49.0 million in provisions related to the announced restructuring of the Group and expenses of NOK 50.0 million related to the renewal of a distribution agreement in Denmark.

The Pension segment recorded a result before tax of NOK 106.1 million (129.7), mainly reflecting a lower insurance service result and an increase in net finance income. The decline in the insurance service result was driven by the positive impact on the results in the fourth quarter of 2022 related to the change to the actuarial model for paid-up policies and the strengthening of provisions for children's disability pension in the fourth quarter 2023.

The financial result for the period was NOK 2,590.3 million (minus 2,516.3), which corresponds to a return on total assets of 4.3 per cent (minus 4.3). Most asset classes contributed positively to the results for the year. A high running yield and lower credit spreads in the fixed income portfolio, rising equity markets and PE generated positive returns.

Other items amounted to minus NOK 543.7 million (300.6), the change primarily reflecting the gain on the sale of Oslo Areal recognised in 2022, higher interest expenses on subordinated loans and increased amortisation of intangible assets.

Equity and capital position

The Group's equity amounted to NOK 24,235.0 million (23,959.6) at the end of the period. The return on equity for the year was 18.2 per cent (15.4). The solvency ratios at the end of the period were:

Approved Partial Internal Model¹ : 166 per cent
Own Partial Internal Model² : 211 per cent

The Group has a robust solvency position.

Gjensidige has an 'A' rating from Standard & Poor's.

Other

The Group's segment structure was changed from July 2023. The segment General Insurance Private now consists of both Private Norway and Private Denmark and the segment General Insurance Commercial consists of Commercial Norway and Commercial Denmark. The other segments are unchanged. Comparable figures in the report have been changed accordingly.

Operational targets

Gjensidige revised its set of operational targets at the capital markets day in November 2023, extending the target period to 2026 and introducing a new metric, Distribution efficiency for the Private segment. The operational targets are important to support delivery of strategic priorities and Gjensidige's financial targets.

The high customer satisfaction score confirms Gjensidige's strong customer offering. Retention in Norway remained high and stable, while it increased in Denmark and the Baltics. The improvement in the digital distribution index reflects higher digital sales in Private Norway. Distribution efficiency is a new metric which will be measured from the first quarter 2024. Digital claims reporting increased, driven by Denmark. Automated claims remained stable.

Sustainable development

Gjensidige's sustainability targets focus on three areas where the Group can really make a difference: a safer society, sustainable claims handling and responsible investments. For a more detailed description, see the Integrated Annual Report for 2022. A few examples of the most recent results and operational initiatives are listed in the next column:

Metric	Status Q4 2023 (Q3 2023)	Target 2026
Customer satisfaction	78 (78)	>78, Group
	90% (90)	>90%, Norway
Customer retention	79% (78)	>85%, outside Norway
Digital distribution index	+4%	5+10% annually, Group
Distribution efficiency		+25%, Private
Digital claims reporting	74% (72)	> 85%, Group
Automated claims processing	59% (59)	> 70%, Norway

Safer society

Launched the fourth taxonomy aligned insurance product – motor for the private segment. With this product, the taxonomy aligned share of gross written premiums is approximately 29 per cent.

Developed an energy calculator together with NRGi, a leading Danish energy consultancy company. The calculator helps private homeowners to set the mandatory energy lable for their properties, and provides customised measures to enhance energy efficiency, including stipulated costs and climate effects.

Provided economic counselling to Norwegian farmers in a pilot project, addressing increased financial challenges in the sector.

Sustainable claims handling

Gjensidige's Board has set a new milestone target of reducing climate gas emissions by 55 per cent by 2030 compared with the level in 2019. The target of reducing emissions by 35 per cent by 2025 remains unchanged. The targets are part of the Group's ambition to achieve net zero emissions by 2050.The targets will be tested and validated by the Science Based Target initiative (SBTi) in 2024.

Responsible investments

Recognised for good reporting in accordance with the required principles for responsible investments by United Nations Principles for Responsible Investments (UNPRI).

Started a project with Morningstar for SFDR classification of funds offered by Gjensidige Pensjonsforsikring.

Recognition

Upgraded ESG-rating by Sustainalytics to low risk with a score of 17.2.

Other

Gjensidige has been accepted to participate in a pilot project managed by the Science Based Targets initiative (SBTi), aimed at developing and implementing an updated framework for scientifically based criteria for accounting for carbon emissions from the financial industry.

Established projects on carbon capture and storage together with the two Norwegian start-up companies Fossagrim and Down to Earth. The projects provide funding for the protection of forests and deposits of bio carbon in agricultural soil in Norway. This is an innovative supplement to our efforts to compensate for climate gas emissions from our own operations.

¹ Regulatory approved partial internal model

Insurance revenue +7.6% (local currency) Combined ratio 87.1%

Insurance service result MNOK 456.9

General Insurance Private

Development during the quarter

The insurance service result decreased by 39.7 per cent, mainly driven by a higher loss ratio. The result in Norway decreased by 36.6 per cent, while in Denmark the result turned from a profit last year to a loss this year.

Insurance revenue increased by 9.6 per cent. In Norway insurance revenue increased by 6.5 per cent, driven by price increases in motor, property and accident and health insurance. Volumes increased for motor, property, and travel insurance. The number of customers remained unchanged. Gjensidige maintained its strong position in the market.

Insurance revenue in Denmark increased by 13.3 per cent in local currency due to price increases for all the main products and higher volumes for property insurance. Pensam Forsikring was included from 1 November, contributing to the growth in revenue.

The loss ratio increased by 11.2 percentage points, mainly driven by a higher underlying frequency loss ratio. Higher run-off gains and the discounting effect contributed positively. The underlying frequency loss ratio increased by 11.7 percentage points.

In Norway, the underlying frequency loss ratio increased by 12.9 per cent. Motor and property insurance were the main drivers of this development. The claims frequency for motor insurance increased significantly, reflecting the difficult driving conditions caused by several periods with heavy snowfall and low temperatures. In addition, the increase in underlying claims frequency for motor continued in the fourth quarter. This was met with targeted measures, including price increases and adjustments of deductibles that will have full effect on the insurance service result over time. The weather conditions in the fourth quarter also impacted claims frequency for property insurance. The profitability of the other insurance lines was broadly unchanged compared with the same quarter in 2022. In addition, the profitability for Norway was negatively impacted by a strengthening of reserves for claims incurred earlier in 2023. The underlying frequency loss ratio in Denmark increased by 5.0 per cent, primarily driven by property insurance which was impacted by windstorms and cloudbursts during the quarter. Motor insurance also showed lower profitability.

The cost ratio decreased by 0.6 percentage points, mainly due to lower sales commissions for Motor because of a decline in new car sales in Norway, and efficiency measures in Norway.

Development during the year

The insurance service result decreased by 19.3 per cent, driven by a higher loss ratio and an increase in operating expenses. The result in Norway decreased by 13.7 per cent, while in Denmark the result turned from a profit last year to a loss this year.

Insurance revenue increased by 7.1 per cent. In Norway insurance revenue increased by 6.0 per cent, driven by price increases in motor, property and accident and health insurance. Volumes increased for motor, property, accident and health and travel insurance. The customer retention rate in Norway remained high.

Insurance revenue in Denmark decreased by 0.1 per cent in local currency due to lower volumes for all the main product lines, reflecting competitive pressure, lower activity in the Danish real estate market and the accumulative effect of lower sales activity due to implementation of the new IT-system. The acquisition of Pensam Forsikring was completed during the quarter, with a positive contribution to insurance revenue from 1 November. The customer retention rate in Denmark improved.

The loss ratio increased by 5.3 percentage points, mainly driven by a higher underlying frequency loss ratio. A higher discounting effect and higher run-off gains contributed positively. The underlying frequency loss ratio increased by 6.1 percentage points. In Norway, the underlying frequency loss ratio increased by 6.3 per cent, mainly driven by a higher claims frequency for motor insurance which was impacted by the difficult driving conditions during the first and fourth quarters. The profitability of property and travel insurance and accident and health also deteriorated. The underlying frequency loss ratio in Denmark increased by 4.8 per cent, driven by motor and property insurance.

The cost ratio increased by 0.6 percentage points due to a oneoff expense related to the renewal of a distribution agreement in Denmark, strengthening of the sales force and higher IT expenses.

General Insurance Private

NOK millions	Q4 2023		Q4 2022 1.1.-31.12.2023 1.1.-31.12.2022
Insurance revenue	3,549.6	3,237.4	13,736.2	12,829.1
Incurred claims and changes in past and future service	-2,671.9	-1,983.6	-9,716.8	-7,904.2
Other incurred insurance service expenses	-484.0	-461.7	-1,980.5	-1,770.2
Insurance service result before reinsurance contracts held	393.7	792.1	2,038.9	3,154.7
Reinsurance premiums	-45.7	-29.3	-141.5	-111.6
Amounts recovered from reinsurance	109.0	-4.7	598.0	50.3
Insurance service result	456.9	758.0	2,495.3	3,093.3
Large losses, net of reinsurance 1	15.6	11.7	91.4	79.0
Run-off gains and losses, net of reinsurance 1	34.5	9.1	73.6	-46.9
Change in risk adjustment, net of reinsurance 1	3.0	4.9	10.1	17.3
Discounting effect 1	71.3	52.2	265.9	167.9
Loss ratio, gross 1	75.3%	61.3%	70.7%	61.6%
Net reinsurance ratio 1	-1.8%	1.1%	-3.3%	0.5%
Loss ratio, net of reinsurance 1	73.5%	62.3%	67.4%	62.1%
Cost ratio 1	13.6%	14.3%	14.4%	13.8%
Combined ratio 1	87.1%	76.6%	81.8%	75.9%
Underlying frequency loss ratio, net of reinsurance 1	74.1%	62.4%	67.4%	61.2%

¹ Defined as an alternative performance measure (APM). APMs are described at www.gjensidige.com/investor-relations/reports-and-presentations in a document named APM. ² The customer retention rate is the percentage of Gjensidige's customers that have been customers during the last twelve months.

Insurance service result MNOK 458.6

General Insurance Private Norway

NOK millions	Q4 2023		Q4 2022 1.1.-31.12.2023 1.1.-31.12.2022
Insurance revenue	2,909.6	2,733.2	11,445.4	10,800.4
Incurred claims and changes in past and future service	-2,175.1	-1,626.3	-8,008.2	-6,514.1
Other incurred insurance service expenses	-336.6	-356.7	-1,420.7	-1,349.7
Insurance service result before reinsurance contracts held	397.9	750.2	2,016.5	2,936.5
Reinsurance premiums	-36.7	-18.7	-91.0	-71.3
Amounts recovered from reinsurance	97.3	-7.7	574.2	30.7
Insurance service result	458.6	723.7	2,499.6	2,895.9
Large losses, net of reinsurance 1	4.9	11.7	74.5	77.0
Run-off gains and losses, net of reinsurance 1	40.9	23.5	113.2	-22.6
Change in risk adjustment, net of reinsurance 1	1.9	3.8	5.8	10.7
Discounting effect 1	60.2	44.3	225.2	146.8
Loss ratio, gross 1	74.8%	59.5%	70.0%	60.3%
Net reinsurance ratio 1	-2.1%	1.0%	-4.2%	0.4%
Loss ratio, net of reinsurance 1	72.7%	60.5%	65.7%	60.7%
Cost ratio 1	11.6%	13.0%	12.4%	12.5%
Combined ratio 1	84.2%	73.5%	78.2%	73.2%
Underlying frequency loss ratio, net of reinsurance 1	74.0%	61.0%	66.1%	59.9%
Customer retention rate 2			89.9%	89.6%

General Insurance Private Denmark

Combined ratio 100.3%

Insurance service result MNOK -1.6

Insurance revenue +13.3% (local currency)

NOK millions	Q4 2023		Q4 2022 1.1.-31.12.2023 1.1.-31.12.2022
Insurance revenue	640.0	504.2	2,290.8	2,028.8
Incurred claims and changes in past and future service	-496.8	-357.3	-1,708.6	-1,390.1
Other incurred insurance service expenses	-147.5	-105.0	-559.8	-420.5
Insurance service result before reinsurance contracts held	-4.2	41.9	22.4	218.2
Reinsurance premiums	-9.1	-10.6	-50.5	-40.3
Amounts recovered from reinsurance	11.7	3.0	23.8	19.6
Insurance service result	-1.6	34.3	-4.3	197.4
Large losses, net of reinsurance 1	10.7	0.0	16.8	2.0
Run-off gains and losses, net of reinsurance 1	-6.4	-14.4	-39.6	-24.4
Change in risk adjustment, net of reinsurance 1	1.1	1.1	4.3	6.6
Discounting effect 1	11.1	7.9	40.7	21.1
Insurance revenue in local currency (DKK) 1	410.4	362.2	1,494.0	1,495.6
Loss ratio, gross 1	77.6%	70.9%	74.6%	68.5%
Net reinsurance ratio 1	-0.4%	1.5%	1.2%	1.0%
Loss ratio, net of reinsurance 1	77.2%	72.4%	75.7%	69.5%
Cost ratio 1	23.0%	20.8%	24.4%	20.7%
Combined ratio 1	100.3%	93.2%	100.2%	90.3%
Underlying frequency loss ratio, net of reinsurance 1	74.7%	69.7%	73.5%	68.6%
Customer retention rate 2			81.7%	78.3%

Combined ratio 86.4%

Insurance service result MNOK 667.8

General Insurance Commercial

Development during the quarter

The insurance service result increased by 28.3 per cent, mainly driven by growth in insurance revenue and an improved underlying frequency loss ratio. The result in Norway increased by 2.8 per cent, while the result in Denmark increased by 88.8 per cent in local currency.

Insurance revenue increased by 15.4 per cent. In Norway insurance revenue increased by 10.2 per cent, driven by price increases in all products and higher volumes for accident and health insurance. Gjensidige maintained its strong position in Norway, while implementing price increases in response to claims inflation.

Insurance revenue in Denmark increased by 14.4 per cent in local currency, driven by higher volumes and significant price increases in property and motor insurance, in addition to the portfolio from Sønderjysk Forsikring.

The loss ratio decreased by 1.0 percentage points, mainly driven by a lower underlying frequency loss ratio. The discounting effect was higher, and run-off gains lower than in the same quarter in 2022. The underlying frequency loss ratio decreased by 1.6 percentage points. In Norway, the underlying frequency loss ratio decreased by 0.4 percentage points, driven by property and accident and health insurance. Motor insurance showed lower profitability, impacted by the difficult driving conditions caused by several days of heavy snowfall and low temperatures. In addition, the profitability for Norway was negatively impacted by a strengthening of reserves for claims incurred earlier in 2023. The underlying frequency loss ratio in Denmark decreased by 4.3 percentage points, driven by property, health, and travel insurance.

The cost ratio improved by 0.4 percentage points reflecting increased insurance revenue and a continued focus on cost efficiency.

Development during the year

The insurance service result increased by 13.7 per cent driven by growth in insurance revenue, a higher discounting effect and higher run-off gains. The result in Norway decreased by 4.2 per cent, while in Denmark the result increased by 81.0 per cent in local currency.

Insurance revenue increased by 15.8 per cent. In Norway insurance revenue increased by 10.3 per cent, driven by price increases for all products and growth in volumes for accident and health insurance. The customer retention rate in Norway remained high.

Insurance revenue in Denmark increased by 15.5 per cent in local currency, driven by higher volumes and significant price increases for property and motor insurance, in addition to Dansk Tandforsikring and the portfolio from Sønderjysk Forsikring. The customer retention rate in Denmark was broadly stable.

The loss ratio increased by 0.5 percentage points, driven by an increase in the underlying frequency loss ratio of 1.0 percentage points. The discounting effect and run-off gains were higher than in 2022. In Norway the underlying frequency loss ratio increased by 1.9 percentage points, driven by a higher claims frequency for motor insurance which was impacted by the difficult driving conditions during the first and fourth quarters. Property and health insurance showed improved profitability. The underlying frequency loss ratio in Denmark decreased by 1.9 percentage points, driven by property and health insurance.

The cost ratio improved by 0.2 percentage points due to increased insurance revenue and a continued focus on cost efficiency.

General Insurance Commercial

NOK millions	Q4 2023		Q4 2022 1.1.-31.12.2023 1.1.-31.12.2022
Insurance revenue	4,894.5	4,239.7	18,667.5	16,116.0
Incurred claims and changes in past and future service	-3,738.7	-3,241.2	-14,057.7	-11,486.1
Other incurred insurance service expenses	-431.9	-389.6	-1,653.1	-1,456.6
Insurance service result before reinsurance contracts held	723.8	609.0	2,956.8	3,173.3
Reinsurance premiums	-202.8	-128.3	-594.6	-490.3
Amounts recovered from reinsurance	146.8	39.9	1,181.3	434.0
Insurance service result	667.8	520.6	3,543.5	3,117.0
Large losses, net of reinsurance 1	260.7	247.2	753.8	737.2
Run-off gains and losses, net of reinsurance 1	10.3	63.8	324.5	247.1
Change in risk adjustment, net of reinsurance 1	-13.8	-21.6	-61.0	-10.2
Discounting effect 1	165.0	132.7	647.7	385.6
Loss ratio, gross 1	76.4 %	76.4 %	75.3 %	71.3 %
Net reinsurance ratio 1	1.1 %	2.1 %	-3.1 %	0.3 %
Loss ratio, net of reinsurance 1	77.5 %	78.5 %	72.2 %	71.6 %
Cost ratio 1	8.8 %	9.2 %	8.9 %	9.0 %
Combined ratio 1	86.4 %	87.7 %	81.0 %	80.7 %
Underlying frequency loss ratio, net of reinsurance 1	72.1 %	73.7 %	69.5 %	68.5 %

Combined ratio 87.3% Insurance service result MNOK 415.0

General Insurance Commercial Norway

Insurance revenue +10.2% (local currency)

NOK millions	Q4 2023		Q4 2022 1.1.-31.12.2023 1.1.-31.12.2022
Insurance revenue	3,273.6	2,969.5	12,695.1	11,512.9
Incurred claims and changes in past and future service	-2,594.7	-2,266.4	-9,926.4	-7,917.3
Other incurred insurance service expenses	-255.5	-247.5	-1,012.5	-944.7
Insurance service result before reinsurance contracts held	423.4	455.6	1,756.1	2,650.9
Reinsurance premiums	-150.5	-90.7	-411.9	-346.4
Amounts recovered from reinsurance	142.1	38.7	1,143.8	293.9
Insurance service result	415.0	403.6	2,488.0	2,598.3
Large losses, net of reinsurance 1	246.6	204.0	727.1	623.5
Run-off gains and losses, net of reinsurance 1	2.3	47.5	182.7	262.1
Change in risk adjustment, net of reinsurance 1	-2.8	-12.1	-38.9	-22.1
Discounting effect 1	97.2	82.0	376.8	264.9
Loss ratio, gross 1	79.3 %	76.3 %	78.2 %	68.8 %
Net reinsurance ratio 1	0.3 %	1.8 %	-5.8 %	0.5 %
Loss ratio, net of reinsurance 1	79.5 %	78.1 %	72.4 %	69.2 %
Cost ratio 1	7.8 %	8.3 %	8.0 %	8.2 %
Combined ratio 1	87.3 %	86.4 %	80.4 %	77.4 %
Underlying frequency loss ratio, net of reinsurance 1	72.0 %	72.4 %	67.8 %	65.9 %
Customer retention rate 2			91.0 %	91.1 %

General Insurance Commercial Denmark

NOK millions	Q4 2023		Q4 2022 1.1.-31.12.2023 1.1.-31.12.2022
Insurance revenue	1,620.9	1,270.2	5,972.5	4,603.1
Incurred claims and changes in past and future service	-1,144.0	-974.8	-4,131.3	-3,568.9
Other incurred insurance service expenses	-176.5	-142.1	-640.6	-511.8
Insurance service result before reinsurance contracts held	300.4	153.3	1,200.6	522.4
Reinsurance premiums	-52.4	-37.6	-182.7	-143.9
Amounts recovered from reinsurance	4.7	1.2	37.5	140.2
Insurance service result	252.8	117.0	1,055.4	518.7
Large losses, net of reinsurance 1	14.1	43.2	26.7	113.7
Run-off gains and losses, net of reinsurance 1	7.9	16.4	141.7	-15.0
Change in risk adjustment, net of reinsurance 1	-11.0	-9.5	-22.1	11.9
Discounting effect 1	67.8	50.7	270.8	120.8
Insurance revenue in local currency (DKK) 1	1,040.0	912.7	3,896.1	3,389.7
Loss ratio, gross 1	70.6 %	76.7 %	69.2 %	77.5 %
Net reinsurance ratio 1	2.9 %	2.9 %	2.4 %	0.1 %
Loss ratio, net of reinsurance 1	73.5 %	79.6 %	71.6 %	77.6 %
Cost ratio 1	10.9 %	11.2 %	10.7 %	11.1 %
Combined ratio 1	84.4 %	90.8 %	82.3 %	88.7 %
Underlying frequency loss ratio, net of reinsurance 1	72.5 %	76.7 %	73.2 %	75.1 %
Customer retention rate 2			87.7 %	88.9 %

Combined ratio 102.9%

Insurance service result MNOK -13.7

General Insurance Sweden

Development during the quarter

The insurance service result was minus NOK 13.7 million (26.4). The decrease was due to higher underlying frequency loss and cost ratios.

Insurance revenue increased by 9.5 per cent or 2.4 per cent measured in local currency, reflecting volume and price increases in both the private and commercial portfolios. Commercial property insurance and private health and motor insurance were the main drivers behind the growth. Commercial motor insurance increased slightly, while private property and commercial health insurance decreased somewhat.

The loss ratio increased by 5.4 percentage points, mainly driven by a higher underlying frequency loss ratio. Higher run-off gains, lower large losses and a higher discounting effect contributed positively. The underlying frequency loss ratio increased by 10.3 percentage points. The increase was partly driven by private motor and property insurance which were impacted by several periods with heavy snowfall and low temperatures. In addition, commercial motor and property insurance were negatively impacted by higher than normal medium-sized losses. Property and health insurance in both portfolios, and private motor insurance showed an improvement.

The cost ratio increased by 3.6 percentage points mainly due to a strengthening of the sales force and higher depreciation driven by digital technology investments.

General Insurance Sweden

NOK millions	Q4 2023		Q4 2022 1.1.-31.12.2023 1.1.-31.12.2022
Insurance revenue	476.1	434.8	1,882.3	1,699.5
Incurred claims and changes in past and future service	-493.9	-410.2	-1,536.5	-1,374.7
Other incurred insurance service expenses	-86.6	-63.6	-308.2	-260.9
Insurance service result before reinsurance contracts held	-104.3	-39.0	37.6	63.9
Reinsurance premiums	-1.4	-4.1	-19.7	-16.1
Amounts recovered from reinsurance	92.1	69.5	112.4	114.2
Insurance service result	-13.7	26.4	130.2	162.0
Large losses, net of reinsurance 1	10.0	20.7	29.9	41.5
Run-off gains and losses, net of reinsurance 1	21.7	7.8	116.4	24.6
Change in risk adjustment, net of reinsurance 1	-3.9	-1.4	7.6	34.6
Discounting effect 1	21.5	16.8	78.8	50.6
Insurance revenue in local currency (SEK) 1	469.5	458.0	1,891.7	1,787.4
Loss ratio, gross 1	103.7%	94.3%	81.6%	80.9%
Net reinsurance ratio 1	-19.0%	-15.0%	-4.9%	-5.8%
Loss ratio, net of reinsurance 1	84.7%	79.3%	76.7%	75.1%
Cost ratio 1	18.2%	14.6%	16.4%	15.4%
Combined ratio 1	102.9%	93.9%	93.1%	90.5%
Underlying frequency loss ratio, net of reinsurance 1	86.3%	76.0%	81.7%	76.2%
Customer retention rate 2			79.0%	80.4%

Development during the year

The insurance service result decreased by 19.6 per cent, mainly driven by an increase in the underlying frequency loss ratio.

Insurance revenue increased by 10.8 per cent or 5.8 per cent measured in local currency, driven by volume and price increases in both portfolios. Commercial property insurance and private payment protection insurance were the main drivers behind the growth. Private motor and property insurance decreased somewhat compared to the same period last year.

The customer retention rate was broadly stable.

The loss ratio increased by 1.6 percentage points, mainly driven by a higher underlying frequency loss ratio, partly offset by higher run-off gains, lower large losses and a higher discounting effect. The underlying frequency loss ratio increased by 5.6 percentage points, mainly driven by motor and property insurance in both portfolios. Health insurance in both portfolios improved somewhat.

The cost ratio increased by 1.0 percentage points mainly due to a strengthening of the sales force and higher depreciation driven by digital technology investments.

Insurance revenue +12.8% (local currency) Combined ratio 93.7%

Insurance service result MNOK 27.2

General Insurance Baltics

Development during the quarter

The insurance service result was NOK 27.2 million (minus 26.8). The improvement was mainly driven by a lower loss ratio and higher insurance revenues.

Insurance revenue increased by 26.9 per cent, or 12.8 per cent measured in local currency driven by growth in all the main product lines, but particularly commercial health, property and motor insurance. The increase was primarily driven by price increases in both portfolios.

The loss ratio improved by 14.6 percentage points, mainly driven by a lower underlying frequency loss ratio and higher run-off gains. The underlying frequency loss ratio improved by 11.5 percentage points, reflecting improved profitability in commercial property, health and motor insurance.

The cost ratio increased by 0.4 percentage points, driven by higher sales-related expenses.

Development during the year

The insurance service result was NOK 49.1 million (minus 75.8). The improvement was mainly driven by a lower loss ratio and higher insurance revenues.

Insurance revenues increased by 26.4 per cent, or 11.7 per cent measured in local currency, reflecting growth in all the main product lines, but particularly commercial health and property and private motor insurance. The increase was primarily driven by price increases in both portfolios.

The customer retention rate improved compared to the same period last year, due to sales and renewals optimisation.

The loss ratio improved by 8.6 percentage points, primarily driven by a lower underlying frequency loss ratio and higher runoff gains. The underlying frequency loss ratio improved by 7.4 percentage points, due to successful pricing measures and improved risk selection, as well as a higher discounting effect. Commercial health, property and motor insurance in both segments showed improved profitability.

The cost ratio improved by 0.2 percentage points, driven by higher insurance revenues.

General Insurance Baltics

NOK millions	Q4 2023		Q4 2022 1.1.-31.12.2023 1.1.-31.12.2022
Insurance revenue	431.2	339.8	1,639.3	1,296.5
Incurred claims and changes in past and future service	-346.2	-272.2	-1,322.8	-1,017.9
Other incurred insurance service expenses	-117.4	-91.2	-449.8	-358.4
Insurance service result before reinsurance contracts held	-32.4	-23.6	-133.3	-79.8
Reinsurance premiums	-24.8	-16.7	-62.1	-45.2
Amounts recovered from reinsurance	84.4	13.5	244.5	49.3
Insurance service result	27.2	-26.8	49.1	-75.8
Large losses, net of reinsurance 1	0.0	0.0	6.6	0.0
Run-off gains and losses, net of reinsurance 1	26.6	12.9	56.3	23.6
Change in risk adjustment, net of reinsurance 1	2.0	-0.7	3.7	2.8
Discounting effect 1	5.7	4.7	23.9	9.0
Insurance revenue in local currency (EUR) 1	37.0	32.8	143.4	128.4
Loss ratio, gross 1	80.3%	80.1%	80.7%	78.5%
Net reinsurance ratio 1	-13.8%	0.9%	-11.1%	-0.3%
Loss ratio, net of reinsurance 1	66.5%	81.0%	69.6%	78.2%
Cost ratio 1	27.2%	26.8%	27.4%	27.6%
Combined ratio 1	93.7%	107.9%	97.0%	105.8%
Underlying frequency loss ratio, net of reinsurance 1	73.1%	84.6%	72.8%	80.2%
Customer retention rate 2			67.7%	61.5%

Pension

Development during the quarter

The profit before tax expense was NOK 113.7 million (134.7), mainly reflecting a lower insurance service result and an increase in net finance income. The profit before tax expense adjusted for the change in the Contractual Service Margin (CSM)³ , was NOK 137.3 million (174.1).

The insurance service result was minus NOK 60.6 million (93.5). The decline was mainly driven by a strengthening of provisions for children's disability pension and a positive impact on the result in the fourth quarter of 2022 related to a change in the actuarial model for paid-up policies. The strengthening of provisions, net of reinsurance, impacted the insurance service result negatively by NOK 83.9 million. The changes to the model had a positive impact of NOK 74.7 million on the insurance service result in the fourth quarter 2022. There were no model changes related to paid-up policies in the fourth quarter 2023.

Insurance revenue increased by 13.3 per cent due to higher business volumes. Insurance claims expenses were NOK 179.2 million (16.3), with the increase mainly reflecting the abovementioned changes. Insurance operating expenses decreased by 17.2 per cent, mainly reflecting a changed allocation of costs to Other expenses.

Net finance income was NOK 141.6 million (minus 4.2) reflecting lower interest rates and a high running yield.

Administration fees increased by 18.0 per cent due to growth in the number of occupational pension members. Management income increased by 12.6 per cent, driven by growth in assets under management. Other expenses increased by 48.3 per cent reflecting the changed allocation of costs between Insurance claims expenses and Other expenses, a higher headcount and increased business volumes.

Development during the year

The profit before tax expense was NOK 106.1 million (129.7) mainly reflecting a lower insurance service result and an increase in net finance income. The profit before tax expense, adjusted for the change in CSM was NOK 370.5 million (369.5).

The insurance service result was minus NOK 67.6 million (40.7), with the decrease being driven by the strengthening of provisions for children's disability pension in the fourth quarter and the positive impact on the results in the fourth quarter 2022 related to the change in the actuarial model for paid-up policies. Changes to the actuarial model in the second and third quarters contributed positively to the result.

Insurance revenue increased by 9.8 per cent due to higher business volumes. Insurance claims expenses increased by 30.5 per cent reflecting the above-mentioned changes. Insurance operating expenses increased by 14.6 per cent due to a higher head count, a write-down of the new core system during the third quarter and increased business volumes.

Net finance income was NOK 60.7 million (minus 72.9), reflecting a high running yield.

Administration fees increased by 22.4 per cent due to growth in the number of occupational pension members. Management income increased by 20.5 per cent, driven by growth in assets under management. Other expenses were up by 61.4 per cent due to the write-down mentioned above, a higher head count and higher business volumes.

³ The CSM is the expected profit to be released in the future, and it is recognised as a liability until expiry of the insurance contracts.

Pension

NOK millions	Q4 2023		Q4 2022 1.1.-31.12.2023 1.1.-31.12.2022
Insurance revenue	122.3	108.0	462.5	421.1
Incurred claims and changes in past and future service	-179.2	-16.3	-431.2	-330.3
Other incurred insurance service expenses	-23.4	-28.3	-129.7	-113.2
Insurance service result before reinsurance contracts held	-80.3	63.4	-98.4	-22.5
Net expense from reinsurance contracts held	19.7	30.1	30.8	63.2
Insurance service result	-60.6	93.5	-67.6	40.7
Net investment income	405.3	206.2	306.7	-449.6
Unwinding	-82.5	-33.8	-313.8	-119.4
Change in financial assumptions	-181.2	-176.5	67.7	496.0
Net finance income or expense	141.6	-4.2	60.7	-72.9
Administration fees	51.8	43.9	194.3	158.7
Management income	66.8	59.4	253.7	210.6
Other expenses	-85.9	-57.9	-335.1	-207.6
Net income from unit link business	32.7	45.3	113.0	161.8
Profit or loss before tax expense	113.7	134.7	106.1	129.7
Profit or loss before tax expense adjusted for change in CSM, net of reinsurance	137.3	174.1	370.5	369.5
Occupational pension members			304,288	243,327
Total assets under management			69,348.2	55,014.9
- of which the unit link portfolio			59,769.8	45,916.1
Value-adjusted return on the paid-up policy portfolio (IFRS 4) 2			1.23%	1.13%
Return on equity (IFRS 4) 3			1.8 %	15.1 %
Solvency ratio 4			129.7 %	142.9 %

¹ Recognised return on the paid-up policy portfolio (IFRS 4) = realised return on the portfolio according to IFRS 4

² Value-adjusted return on the paid-up policy portfolio (IFRS 4) = total return on the portfolio according to IFRS 4

³ Defined as an alternative performance measure (APM). APMs are described at www.gjensidige.com/investor-relations/reports-and-presentations in a document named APM.

⁴ Solvency ratio = Total eligible own funds to meet the Solvency Capital Requirement (SCR), divided by SCR

Management of the investment

portfolio

The Group's investment portfolio includes all financial investments in the Group, except for the pension segment. The investment portfolio is split into two parts: a match portfolio and a free portfolio, and all investments are measured at fair value. The match portfolio is intended to match the Group's technical provisions as measured in accordance with the solvency regulations. It is invested in fixed-income instruments that match the duration and currency of the technical provisions. The purpose of the free portfolio is to contribute to the Group's results. The investments are made in various asset classes, reflecting the Group's capitalisation, risk capacity and risk appetite.

The results from derivatives for tactical and risk management purposes are assigned to the respective asset classes. Currency exposure related to fixed-income investments is generally hedged 100 per cent, within a permitted range of +/- 10 per cent per currency. Currency risk related to equities can be hedged between 0 and 100 per cent.

Development during the quarter

At the end of the period, the investment portfolio totalled NOK 60.7 billion (57.5). The financial result for the quarter was NOK 1,876.3 million (968,4), which corresponds to a return on total assets of 3.1 per cent (1.7).

The result for the quarter was positively impacted by lower interest rates and credit spreads, a high running yield, as well as positive equity markets. Commodities yielded a negative return during the quarter.

Investment portfolio

	Result
NOK millions	Q4 2023		Q4 2022 1.1.-31.12.2023 1.1.-31.12.2022
Match portfolio	1,315.7	743.6	1,684.7	-1,726.3
Unwinding general insurance	-289.7	-222.3	-1,023.3	-636.9
Change in financial assumptions general insurance	-651.0	-162.8	-46.9	1,504.4
Net financial result match portfolio	375.0	358.5	614.5	-858.8
Free portfolio	560.6	224.8	905.7	-790.1
Net financial result investment portfolio	935.6	583.3	1,520.2	-1,648.9

	Result				Closing balance
NOK millions	Q4 2023		Q4 2022 1.1.-31.12.2023 1.1.-31.12.2022		31.12.2023	31.12.2022
Match portfolio
Fixed-income NOK	783.7	459.5	1,023.4	-582.7	20,734.6	20,543.3
Fixed-income DKK	385.2	275.4	459.5	-890.8	11,546.7	11,770.5
Fixed-income other currencies	146.8	8.7	201.7	-252.8	4,115.9	3,623.3
Match portfolio	1,315.7	743.6	1,684.7	-1,726.3	36,397.1	35,937.1
Free portfolio
Fixed income - short duration	98.0	74.8	309.6	105.8	8,196.4	9,344.7
Global investment grade bonds	322.4	90.8	307.9	-370.1	10,623.9	5,505.6
Global high yield bonds	43.9	37.2	98.7	-312.5	639.5	975.2
Other bonds	87.4	25.5	156.4	-46.7	1,155.5	1,621.0
Listed equities 1	52.9	41.3	156.0	-278.2	1,492.4	1,884.8
PE funds	12.9	-55.3	41.9	105.0	1,118.0	1,161.1
Other 2	-56.8	10.5	-164.8	6.7	1,105.4	1,082.6
Free portfolio	560.6	224.8	905.7	-790.1	24,331.1	21,575.0
Financial result investment portfolio 3	1,876.3	968.4	2,590.3	-2,516.3	60,728.2	57,512.1

1 Investments mainly in internationally diversified funds that are externally managed. The equity risk exposure is reduced by NOK 394.5 million due to derivatives.

² The item mainly comprises hedge funds, commodities and finance-related expense.

³ Defined as an alternative performance measure (APM). APMs are described at www.gjensidige.com/investor-relations/reports-and-presentations in a document named APM.

Match portfolio

The match portfolio amounted to NOK 36.4 billion (35.9). The portfolio generated a return of 3.7 per cent (2.1) for the quarter. The return on fixed-income instruments reflected a high running yield, in addition to lower interest rates and credit spreads during the quarter. The match portfolio's return for the quarter net of insurance finance (unwinding and change in financial assumptions) was 1.0 per cent (1.0), mainly reflecting lower credit spreads and the fact that the investments did not fully match the accounting-based technical provisions.

Securities without an official credit rating amounted to NOK 6.1 billion (6.9). Of these securities, 9.4 per cent (10.5) were issued by Norwegian savings banks, while the remainder were mostly issued by Norwegian power producers and distributors, property companies, industry and municipalities. Bonds with a coupon linked to the development of the Norwegian and Danish consumer price index accounted for 2.4 per cent (3.7) of the match portfolio.

Yield and duration

		Yield in per cent Duration in years
	31.12.2023	31.12.2023
Match portfolio
Fixed-income NOK	5.1	2.4
Fixed-income DKK	3.0	4.4
Fixed-income other currencies	3.4	2.6
Match portfolio	4.3	3.1
Free portfolio	4.5	1.7
Insurance liabilities general insurance		3.5

Return per asset class

Return
Q4 2023	Q4 2022	1.1.-31.12.2023	1.1.-31.12.2022

3.9	2.2	5.1	-2.7
3.4	2.3	4.0	-7.4
3.6	0.2	5.2	-7.3
3.7	2.1	4.7	-4.7

1.2	0.9	3.5	1.3
3.1	1.9	3.4	-9.2
6.2	3.6	11.0	-18.0
7.1	1.6	10.5	-3.3
3.7	1.7	9.3	-9.0
1.1	-4.4	3.5	7.6
-6.1	1.3	-16.4	0.5
2.3	1.1	3.8	-3.7
3.1	1.7	4.3	-4.3

¹Investments mainly in internationally diversified funds that are externally managed. The equity risk exposure is reduced by NOK 394.5 million due to derivatives.

² The item mainly comprises hedge funds, commodities and finance-related expenses.

³ Defined as an alternative performance measure (APM). APMs are described at www.gjensidige.com/investor-relations/reports-and-presentations in a document named APM.

Free portfolio

The free portfolio amounted to NOK 24.3 billion (21.6) at the end of the quarter. The return was 2.3 per cent (1.1), reflecting positive returns from a high running yield, lower interest rates and credit spreads, as well as positive equity markets. A decline in commodity prices had a negative impact on the result.

Fixed-income instruments

The fixed-income instruments in the free portfolio amounted to NOK 20.6 billion (17.4), of which fixed-income short duration investments accounted for NOK 8.2 billion (9.3). The rest of the portfolio was invested in Norwegian and international bonds (investment grade and high yield). The return on the fixedincome instruments in the free portfolio was 2.6 per cent in the quarter (1.4).

At the end of the period, the average duration and yield in the portfolio were approximately 1.7 years (2.6) and 4.5 per cent respectively. Securities without an official credit rating amounted to NOK 4.3 billion (4.0). Of these 12.9 per cent (11.1) were issued by Norwegian savings banks, while the remainder were primarily issued by corporates and municipalities.

Equity portfolio

The total equity holding at the end of the quarter was NOK 2.6 billion (3.0), of which NOK 1.5 billion (1.9) consisted of listed equities and NOK 1.1 billion (1.2) of private equity (PE) funds. The equity risk exposure was NOK 0.4 billion lower due to derivatives.

The return on listed equities was 3.7 per cent (1.7). PE funds returned 1.1 per cent (minus 4.4).

Development during the year

Most asset classes contributed positively to the results for the year. A high running yield and lower credit spreads in the fixed income portfolio, rising equity markets and PE generated positive returns.

The financial result for the period was NOK 2,590.3 million (minus 2,516.3), which corresponds to a return on total assets of 4.3 per cent (minus 4.3).

Organisation

The Group had a total of 4,488 employees at the end of the fourth quarter, compared with 4,427⁴ at the end of the third quarter.

The composition of the Group's employees was as follows: General insurance operations in Norway: 2,070 (2,080), in Denmark: 979 (950), in Sweden: 282 (261) and in the Baltics (excluding agents): 657 (652). Pension, Gjensidige Pensjonsforsikring 119 (114) employees. Other than insurance: 19 (19) in Gjensidige Mobility Group, 322 (308¹) in RedGo (Norway, Sweden, Finland, Estonia and Lithuania) and 40 (43) in

⁴Change in the calculation method for RedGo from Q4 2023, excluding temporary employees.

Flyt. The figures in brackets refer to the number of employees at the end of the previous quarter.

Events after the end of the reporting period

No significant events have occurred after the end of the reporting period.

Dividend

The board has proposed a dividend based on the profit for the 2023 financial year of NOK 4,375 million (4.125). This corresponds to NOK 8.75 (8.25) per share. The regular dividend corresponds to a pay-out ratio of 106 per cent (90) of the Group profit after tax. The proposal requires approval from the Financial Supervisory Authority of Norway since the amount exceeds 100 per cent of net profit in Gjensidige Forsikring ASA. Based on the strong capital position of the Group, the Board expects the application to be approved.

Gjensidige targets a high and stable nominal dividend to its shareholders, and a pay-out ratio over time of at least 80 per cent of profit after tax. When determining the size of the dividend, the expected future capital need will be taken into account. Over time, Gjensidige will also pay out excess capital.

Strategy and outlook

Gjensidige will help customers to secure safe and good lives at home, to secure their pension, lives and health and be the preferred partner for mobility solutions. Being available for our customers whenever and wherever they expect and making sure we are relevant in every touchpoint with relevant products and services, will improve customer experiences, strengthen loyalty, and increase core insurance sales and profitability even further. The Group will seek to continue to have an optimal product mix with the focus on growing in private and SME, and to distribute through an omni-channel model with a preference for direct customer dialogue. Profitability will be prioritised over growth.

Gjensidige's ambition is to be a leading general insurance company in the Nordics. The Group's priority is to further strengthen its unique position in Norway and strengthen its profitability and growth outside Norway. Furthermore, the Group will focus on ensuring continued capital discipline, including delivering attractive returns to shareholders. Sustainable choices and solutions are a fundamental prerequisite for long term value creation. The top three priorities are contributing to a safer society, sustainable claims handling and responsible investments.

Gjensidige has a strong focus on the Group's core business, general insurance, to create a common direction, facilitate

synergies, release scale benefits, and realise synergies, particularly across Norway and Denmark.

The Group will continue to pursue growth, building on its strong position in Norway, while at the same time strengthening its presence outside Norway, with particular focus on profitable growth in Denmark. The Group will also seek collaborative and strategic partnerships across our geographies. Organic growth is expected to be in line with nominal GDP growth in Gjensidige's market areas in the Nordic and Baltic countries over time.

Continued investments in technology and data are key to reducing costs and achieving enhanced functionality and flexibility. This is necessary to enable more flexible partner integration and product modularity. The launch of nextgeneration tariffs, CRM and investments in a new core system and IT infrastructure are important to succeed in becoming an analytics-driven company. This will result in better customer experiences and more efficient operations and create sufficient capacity for innovation. Gjensidige has launched its new core IT system in Private Denmark and will gradually implement it in other parts of the Danish operations and other geographies. The investment is expected to be handled within the current cost ratio target.

In the next few years, it is expected that Gjensidige's business model and the type of market participants will broadly remain the same.

The global economic prospects are uncertain, and many countries are at risk of recession. The Nordic economies have a strong starting point from which to weather the current volatilities. Despite the high level of uncertainty, Gjensidige does not expect to see any significant impact on demand for insurance products or the Group's ability to deliver on its obligations to customers.

Staying ahead of claims inflation is key to maintaining good profitability and it has high priority in Gjensidige.. Gjensidige vigilantly monitors developments in the relevant markets and will continue to put through necessary price increases. Despite a natural inherent volatility in claims, the recent increase in claims frequency for several product lines is being closely monitored. Gjensidige will continue to strengthen pricing measures and adjust terms and conditions to ensure that the increase in claims frequency is mitigated over time.

Due to a combination of more natural catastrophes globally, increased geopolitical uncertainty, claims inflation and years of low profitability in the reinsurance industry, we have seen a significant increase in reinsurance premiums. Gjensidige is affected by this, but costs related to the reinsurance

programmes account for a very limited share of the Group's total insurance revenue. The reinsurance programme is mainly bought to protect the Group's equity capital by mitigating the effects of large claims and events. Due to long-standing relationships with our reinsurers and a diversified panel of reinsurers, as well as the recognised high quality of our underwriting and the comparatively low exposure to natural catastrophes in our region, Gjensidige continues to be adequately protected against such claims and events.

The Group's annual financial and solvency targets are as follows:

Metric	2024 & 2025	2026
Combined ratio	<84%	<82%
Cost ratio	<14%	~13%
Return on equity	>22%	>24%
Solvency ratio	140–190%	140–190%
Insurance service result - Group - Denmark		>NOK 7.5bn >DKK 750m

These are financial targets and should not be regarded as guidance for any specific quarter or year. Unexpected circumstances relating to the weather, the proportion of large losses and run-off gains or losses could contribute to a combined ratio that is above or below the annual target range.

The Group has high capital buffers in relation to internal risk models, statutory solvency requirements and its target rating. The Board considers the Group's capital situation and financial position to be strong.

There is always considerable uncertainty associated with the assessment of future developments. However, the Board remains confident in Gjensidige's ability to deliver solid earnings and dividend growth over time. The outlook for Gjensidige's insurance service results remains good.

Gisele Marchand

Eivind Elnan

Board member

Ellen Kristin Enger

Board member

Vibeke Krag Board member

Sebastian B.G. Kristiansen

Board member

Oslo, 23 January 2024 The Board of Gjensidige Forsikring ASA

Ruben Pettersen

Terje Seljeseth Board member

Gunnar Robert Sellæg Board member

Geir Holmgren

CEO

Chair of the Board

Tor Magne Lønnum

Board member

Hilde M. Nafstad Board member

Board member

Consolidated income statement

NOK millions	Notes	Q4 2023		Q4 2022 1.1.-31.12.2023 1.1.-31.12.2022
Insurance revenue	3	9,516.9	8,432.8	36,624.6	32,638.8
Incurred claims and changes in past and future service	3	-7,508.9	-5,974.6	-27,224.3	-22,323.8
Other incurred insurance service expenses	3	-1,274.2	-1,143.8	-5,326.1	-4,373.1
Insurance service result before reinsurance contracts held		733.8	1,314.4	4,074.1	5,942.0
Reinsurance premiums		-253.3	-174.4	-752.4	-673.0
Amounts recovered from reinsurance		193.1	54.4	1,079.6	308.0
Income or expenses from reinsurance contracts held		-60.1	-119.9	327.2	-365.1
Insurance service result		673.7	1,194.5	4,401.2	5,576.9
Results from investments in associates		-69.4	-42.4	-76.6	-4.3
Interest income and dividend etc. from financial assets		995.4	391.4	2,488.9	1,297.6
Net changes in fair value of investments (incl. property)		1,486.3	1,220.9	724.0	-4,079.1
Net realised gains and losses on investments		-66.8	-312.2	-26.4	859.8
Interest expenses and expenses related to investments		-119.6	-116.4	-405.0	-360.2
Net income from investments		2,225.8	1,141.4	2,705.0	-2,286.3
Insurance finance income or expenses - unwinding		-389.4	-259.8	-1,377.1	-767.0
Insurance finance income or expenses - change in financial assumptions		-857.0	-333.4	85.3	1,971.1
Reinsurance finance income or expenses - unwinding		17.2	3.7	40.0	10.7
Reinsurance finance income or expenses - change in financial assumptions		24.8	-5.9	-64.4	29.3
Other income		434.1	345.2	1,619.1	1,101.5
Other expenses		-522.8	-411.6	-1,857.7	-1,318.7
Profit or loss before tax expense		1,606.5	1,674.1	5,551.5	4,317.5
Tax expense		-494.0	-358.5	-1,421.0	-879.7
Profit or loss	3	1,112.6	1,315.7	4,130.4	3,437.8
Profit or loss attributable to:
Owners of the parent		1,113.1	1,315.7	4,131.8	3,437.8
Non-controlling interests		-0.5		-1.4
Total		1,112.6	1,315.7	4,130.4	3,437.8
Earnings per share, NOK (basic and diluted)		2.18	2.60	8.11	6.78

Consolidated statement of comprehensive income

NOK millions	Q4 2023		Q4 2022 1.1.-31.12.2023 1.1.-31.12.2022
Profit or loss	1,112.6	1,315.7	4,130.4	3,437.8
Other comprehensive income
Other comprehensive income that will not be reclassified subsequently to profit or loss
Remeasurement of the net defined benefit liability/asset	-135.6	-392.3	-135.6	-284.4
Tax on other comprehensive income that will not be reclassified subsequently to profit or loss	33.9	98.1	33.9	71.1
Total other comprehensive income that will not be reclassified subsequently to profit or loss	-101.7	-294.2	-101.7	-213.3
Other comprehensive income that will be reclassified subsequently to profit or loss
Exchange differences from foreign operations	23.2	-163.2	490.4	235.9
Share of exchange differences of associates				-1.6
Tax on other comprehensive income that will be reclassified subsequently to profit or loss	-1.5	18.4	-60.1	-39.0
Total other comprehensive income that will be reclassified subsequently to profit or loss	21.7	-144.8	430.3	195.3
Total other comprehensive income	-80.0	-439.0	328.6	-18.0
Comprehensive income	1,032.5	876.7	4,459.0	3,419.9
Comprehensive income attributable to:
Owners of the parent	1,033.1	876.7	4,460.4	3,419.9
Non-controlling interests	-0.5		-1.4
Total	1,032.5	876.7	4,459.0	3,419.9

Consolidated statement of financial position

NOK millions	Notes	31.12.2023	31.12.2022
Assets
Goodwill		5,663.4	5,293.6
Other intangible assets		2,478.7	2,307.3
Investments in associates		780.5	866.4
Owner-occupied and right-of-use property, plant and equipment		1,814.0	1,635.9
Pension assets		181.2	187.4

Financial assets
Financial derivatives	5	575.4	449.7
Shares and similar interests	5	3,437.4	3,742.5
Bonds and other fixed-income securities	5	62,761.6	36,261.3
Loans	5	302.0	22,516.4
Assets in life insurance with investment options	5	59,769.8	45,916.1
Other receivables	5	4,605.3	3,978.2
Cash and cash equivalents	5	2,986.9	3,195.2
Other assets Reinsurance contracts held that are assets	4	2,409.4	1,260.1

Deferred tax assets		376.9	407.2
Prepaid expenses and earned, not received income		139.4	65.1
Total assets		148,282.0	128,082.5
Equity and liabilities
Equity
Share capital		999.9	999.9
Share premium		1,430.0	1,430.0
Natural perils capital		2,380.1	2,973.1
Guarantee scheme provision		942.2	864.2
Other equity		18,473.8	17,691.6
Total equity attributable to owners of the company		24,226.0	23,958.8
Non-controlling interests		9.0	0.7
Total equity		24,235.0	23,959.6
Insurance liabilities
Insurance contracts issued that are liabilities	4	51,723.4	46,464.3
Reinsurance contracts held that are liabilities	4	66.6	27.2

Financial liabilities
Subordinated debt	5	2,898.7	2,397.0
Financial derivatives	5	398.6	400.7
Liabilities in life insurance with investment options	5	59,769.8	45,916.1
Other financial liabilities	5	4,673.6	4,179.7
Other liabilities
Pension liabilities		772.0	741.6
Lease liability		1,463.1	1,387.0
Other provisions		551.7	585.7
Current tax		1,000.8	1,386.5
Deferred tax liabilities		45.1	53.7
Accrued expenses and received, not earned income		683.6	583.6
Total liabilities		124,047.0	104,123.0
Total equity and liabilities		148,282.0	128,082.5

Consolidated statement of changes in equity

NOK millions	Share capital	Own shares	Share premium	Other paid-in capital	Perpetual Tier 1 capital	Exchange differ ences	Re measure ment of the net defined benefit liab./asset	Other earned equity	Total equity
Equity as at 31.12.2021 attributable to the owners of the company	1,000.0	-0.1	1,430.0	100.5	1,205.183	581.0	-2,255.0	23,143.0	25,204.5
Non-controlling interests as at 31.12.2021									0.7
Equity as at 31.12.2021									25,205.2
Implementation effects 1.1.2022
IFRS 17 Risk adjustment - General Insurance								-2,041.7	-2,041.7
IFRS 17 Discounting - General Insurance								1,715.6	1,715.6
IFRS 17 Loss Component - General Insurance								-57.3	-57.3
IFRS 9 - General Insurance								357.7	357.7
IFRS 17 - Pension								-1,085.3	-1,085.3
IFRS 9 - Pension								95.0	95.0
Tax on implementation effects and other effects								240.2	240.2
Equity as at 1.1.2022 incl. IFRS 17 and IFRS 9 adjustments	1,000.0	-0.1	1,430.0	100.5	1,205.2	581.0	-2,255.0	22,367.2	24,428.8
Non-controlling interests as at 1.1.2022									0.7
Equity as at 1.1.2022									24,429.5
1.1.-31.12.2022
Comprehensive income
Profit or loss (owners of the parents' share)					48.3			3,389.5	3,437.8
Total other comprehensive income				0.7		194.6	-213.3		-18.0
Comprehensive income				0.7	48.3	194.6	-213.3	3,389.5	3,419.8
Transactions with owners of the parent
Own shares		0.0						-22.3	-22.3
Dividend								-3,849.8	-3,849.8
Equity-settled share-based payment transactions				23.6					23.6
Perpetual Tier 1 capital					0.7			-0.7
Perpetual Tier 1 capital - interest paid					-41.4				-41.4
Total transactions with owners of the parent		0.0		23.6	-40.7			-3,872.8	-3,889.8
Equity as at 31.12.2022 attributable to owners of the parent	1,000.0	-0.1	1,430.0	124.9	1,212.8	775.6	-2,468.3	21,884.0	23,958.8
Non-controlling interests as at 31.12.2022									0.7
Equity as at 31.12.2022									23,959.6
1.1.-31.12.2023
Comprehensive income
Profit or loss (owners of the parents' share)					76.1			4,055.8	4,131.8
Total other comprehensive income Comprehensive income				1.2 1.2	76.1	429.1 429.1	-101.7 -101.7	4,055.8	328.6 4,460.4
Transactions with owners of the parent
Own shares		0.0						-20.7	-20.7
Dividend								-4,124.9	-4,124.9
Equity-settled share-based payment transactions				24.0					24.0
Perpetual Tier 1 capital					0.7			-0.7
Perpetual Tier 1 capital - interest paid					-71.6				-71.6
Total transactions with owners of the parent		0.0		24.0	-70.9			-4,146.3	-4,193.2
Equity as at 31.12.2023 attributable to owners of the parent	1,000.0	-0.1	1,430.0	150.1	1,218.0	1,204.7	-2,570.0	21,793.4	24,226.0
Non-controlling interests as at 31.12.2023									9.0
Equity as at 31.12.2023									24,235.0

Consolidated statement of cash flows

NOK millions	1.1.-31.12.2023	1.1.-31.12.2022
Cash flow from operating activities
Premiums received for insurance contracts issued	49,831.3	46,493.3
Incurred claims paid	-25,524.5	-22,092.8
Net receipts/payments from reinsurance contracts held	-410.4	-218.3
Payments from premium reserve transfers	-5,597.4	-4,848.6
Net receipts/payments from financial assets	-6,051.4	-10,371.0
Operating expenses paid, including commissions	-5,370.8	-5,030.7
Operating income received, mobility services ¹	1,077.5	1,122.9
Operating expenses paid, mobility services ¹	-885.6	-1,030.4
Taxes paid	-1,998.7	-1,789.2
Net other receipts/payments	-215.6	27.1
Net cash flow from operating activities	4,854.4	2,262.3
Cash flow from investing activities
Net receipts/payments from sale/acquisition of subsidiaries and associates	-311.6	3,313.0
Net receipts/payments from sale/acquisition of owner-occupied property, plant and equipment and intangible assets	-726.0	-565.1
Net receipts/payments from sale/acquisition of customer portfolios - intangible assets		5.2
Net cash flow from investing activities	-1,037.6	2,753.2
Cash flow from financing activities
Payment of dividend	-4,124.9	-3,849.8
Net receipts/payments of subordinated debt incl. interest	358.5	-59.3
Net receipts/payments from sale/acquisition of own shares	-20.7	-22.3
Repayment of lease liabilities	-170.6	-173.8
Payment of interest related to lease liabilities	-31.3	-30.0
Tier 1 issuance/instalments
Tier 1 interest payments	-71.6	-41.4
Net cash flow from financing activities	-4,060.7	-4,176.6
Net cash flow	-243.8	838.8
Cash and cash equivalents with credit institutions at the start of the period ¹	3,195.2	2,348.1
Net cash flow	-243.8	838.8
Effect of exchange rate changes on cash and cash equivalents	35.5	8.3
Cash and cash equivalents with credit institutions at the end of the period ¹	2,986.9	3,195.2

¹ Cash flow related to toll road charges, is presented net.

Notes

1. Accounting policies

The consolidated financial statements as of the fourth quarter 2023, concluded on 31 December 2023, comprise Gjensidige Forsikring ASA and its subsidiaries (collectively referred to as the Group) and the Group's holdings in associated companies.

The consolidated financial statements as of the fourth quarter 2023 have been prepared in accordance with IFRS and IAS 34 Interim Financial Reporting. The interim report does not include all the information required in a complete annual report and should be read in conjunction with the annual report for 2022. Except for the changes described below, the accounting policies applied in the interim report are the same as those used in the annual report for 2022.

The preparation of interim accounts involves the application of assessments, estimates and assumptions that affect the use of accounting policies and the amounts recognized for assets and liabilities, revenues and expenses. The actual results may deviate from these estimates. The most material assessments involved in applying the Group's accounting policies and the most important sources of uncertainty in the estimates are the same in connection with preparing the interim report as in the annual report for 2022.

New and amended standards and interpretations

In this interim report, Gjensidige has applied IFRS 17 Insurance Contracts and IFRS 9 Financial Instruments. Gjensidige has not early adopted any other standard, interpretation or amendment that has been issued but is not yet effective.

The accounting policies regarding IFRS 17 and IFRS 9 are described in note 4 and 5 respectively.

Other

Comparable figures are based on IFRS. All amounts are shown in NOK millions unless otherwise indicated. Due to the roundingoff of differences, figures and percentages may not add up to the exact total figures.

Notes are presented on the Group level. Separate notes for Gjensidige Forsikring ASA (GF ASA) are not presented since GF ASA is the material part of the Group, and the notes for the Group therefore give a sufficient presentation of both the Group and GF ASA.

A complete or limited audit of the interim report has not been carried out.

2. Seasonal variations

Seasonal premiums are used for some insurance products. This is because the incidence of claims is not evenly distributed throughout the year but follows a stable seasonal pattern. Normally, premium income (insurance revenue) is accrued evenly over the insurance period, but for products with a seasonal pattern, premium income must also be allocated according to the incidence of claims. Gjensidige Forsikring has a seasonal premium for the following products: pleasure craft, snowmobiles and motorcycles. For motorcycles, for example, earned premiums for the period from April to September amount to a full 85 per cent of the annual premiums.

customer cancels the insurance contract before the renewal date, only the portion of the seasonal premium for which the company did not bear any risk is refunded. For motorcycle insurance taken out on 1 April, but cancelled on 1 October, the policyholder will only be refunded 15 per cent of the annual premium, even though the insurance was only in effect for six months.

Another consequence of a seasonal premium is that, if the

3. Segment information

The group has five reportable segments. The Group's reportable segments are identified based on the Group's internal reporting. The Group CEO holds regular meetings with the reporting managers for the different segments, about performance management, where focus is on future measures to ensure performance and deliveries.

General insurance is the Group's core activity. General insurance is divided into four segments, based on both type of customers and the customer's geographical location. Pension delivers products and services to customers in Norway.

From July 2023 the Group's segment structure was changed to reflect the new organization and reporting structure. The segment Private now consist of both Private Norway and Private Denmark and the segment Commercial consist of Commercial Denmark and Commercial Norway. The other segments are not changed. Comparable figures are changed accordingly.

Fourth quarter	Segment income 2		Insurance expenses			Net reinsurance Net income from expenses investments/other			Segment result/profit/loss before tax expense
NOK millions	2023	2022	2023	2022	2023	2022	2023	2022	2023	2022
General Insurance Private	3,549.6	3,237.4	-3,155.9	-2,445.3	63.3	-34.1			456.9	758.0
General Insurance Commercial	4,894.5	4,239.7	-4,170.7	-3,630.8	-56.1	-88.4			667.8	520.6
General Insurance Sweden	476.1	434.8	-580.5	-473.8	90.7	65.4			-13.7	26.4
General Insurance Baltics	431.2	339.8	-463.6	-363.4	59.6	-3.1			27.2	-26.8
Pension	122.3	108.0	-202.6	-44.6	19.7	30.1	174.3	41.2	113.7	134.7
Other including eliminations 1	43.2	73.3	-209.8	-160.6	-237.3	-89.9	758.5	438.5	354.6	261.2
Total	9,516.9	8,432.8	-8,783.1	-7,118.4	-60.1	-119.9	932.8	479.6	1,606.5	1,674.1

1.1.-31.12.	Segment income 2		Insurance expenses		Net reinsurance expenses		Net income from investments/other		Segment result/profit/loss before tax expense
NOK millions	2023	2022	2023	2022	2023	2022	2023	2022	2023	2022
General Insurance Private	13,736.2	12,829.1	-11,697.3	-9,674.5	456.4	-61.3			2,495.3	3,093.3
General Insurance Commercial	18,667.5	16,116.0	-15,710.8	-12,942.7	586.7	-56.3			3,543.5	3,117.0
General Insurance Sweden	1,882.3	1,699.5	-1,844.7	-1,635.7	92.7	98.1			130.2	162.0
General Insurance Baltics	1,639.3	1,296.5	-1,772.6	-1,376.3	182.5	4.0			49.1	-75.8
Pension	462.5	421.1	-560.9	-443.5	30.8	63.2	173.7	88.9	106.1	129.7
Other including eliminations 1	236.7	276.7	-964.0	-624.2	-1,022.0	-412.8	976.5	-1,348.3	-772.8	-2,108.6
Total	36,624.6	32,638.8	-32,550.5	-26,696.8	327.2	-365.1	1,150.2	-1,259.4	5,551.5	4,317.5

¹ Eliminations etc. consist of internal eliminations and other income and expenses not directly attributable to one single segment, and large losses of NOK 147.0 million (82.8) for the quarter and NOK 915.2 (367.3) for the year-to-date. Interest on subordinated debt is included in Net income from investments. ² There is no significant income between the segments at this level in 2023 and 2022.

Geographic distribution of segment income

NOK millions	Q4 2023	Q4 2022	YTD 2023 YTD 2022
Norway	6,376.8	5,894.7	24,895.7	23,046.6
Denmark	2,213.6	1,747.8	8,129.2	6,518.0
Sweden	495.4	450.6	1,960.4	1,777.8
Baltics	431.2	339.8	1,639.3	1,296.5
Total segment income	9,516.9	8,432.8	36,624.6	32,638.8

4. Insurance contracts

IFRS 17 establishes principles for the recognition, measurement, presentation and disclosure of issued insurance contracts, and is effective from 1 January 2023. Comparable figures have been restated. The figures presented are indicative and may be altered in the audited financial statement for 2023.

On initial recognition, insurance contracts will be recognized at a risk-adjusted present value of the future cash flows plus an amount representing the unearned profit in the Group of contracts (the contractual service margin). This is referred to as the building block approach (BBA) model. If a group of contracts is or becomes loss-making, the loss will be recognized immediately. The onerous test is performed at a granular level, ensuring that the group of contracts is homogenous and that profit-making contracts are not subsidising loss-making contracts. For profit-making contracts, the earnings are based on accrued services.

An entity may simplify the measurement by using the premium allocation approach (PAA) if the entity expects such simplification to produce a measurement of the liability for remaining coverage that will not differ materially from the measurement that would be produced by applying the BBA model described above, or if the coverage period of each contract in the Group is one year or less.

Liabilities for insurance contracts consist of liability for remaining coverage (LRC) and liability for incurred claims (LIC). LRC represents liabilities for remaining coverage, while LIC represents liabilities for claims that have already been incurred.

Assets for reinsurance contracts consist of the asset for remaining coverage (ARC) and the asset for incurred claims (AIC) (reinsurers' share of claims that have already been incurred).

Reinsurance is presented separately from gross insurance.

Insurance finance income or expense are presented in profit or loss.

The insurance liabilities under IFRS 17 should be based on the expected cash flows, and excess reserves beyond what is expected cannot be part of the best estimate. Gjensidige has recognized excess reserves in 2022 that are not in accordance with IFRS 17. This amount is therefore adjusted for in the preliminary opening balance as at 1 January 2022.

General Insurance contracts: portfolios of insurance contracts

Gjensidige has comprehensive insurance policies within different products and segments. To determine the right level of aggregation, the following elements are taken into consideration:

Where decisions are made
At which level products are aggregated while still having similar risk
The significance of each portfolio based on size

Gjensidige has decided to aggregate insurance policies to the level on which management of profitability and determination takes place.

General Insurance contracts: grouping of contracts/onerous contracts

All insurance contracts are written according to an approved tariff or by underwriting. All premiums are set so that there is an expected profit, and no contracts are expected to be onerous at initial recognition. The actual outcome will be different for some contracts, but Gjensidige will supervise the actual outcome very closely for all contracts and if necessary, change the premium in order not to allow any contract to become onerous over time.

Since the premium are paid in advance, within the insurance period of normally one year, the measurement of a group of insurance contracts with respect of checking for onerous contracts, are done by looking into the expected combined ratio, adjusted for risk adjustment and eventually for discontinued loss provision (time value of money).

Consequently, Gjensidige will for each portfolio have groups with contracts with either no significant possibility of becoming onerous or contracts that are onerous at initial recognition. The profitable and onerous contracts will be divided into groups based on the year the contract has been issued.

General Insurance contracts:

measurement method

For the general insurance contracts, Gjensidige has decided to use PAA. Most of Gjensidige's contracts have a coverage period of one year or less. For the contracts where the coverage period is more than one year, Gjensidige has calculated that the LRC will not differ materially from the liability that would be arrived at by applying the general measurement model called the building block approach (BBA), and it will therefore also use PAA for those contracts.

Applying the PAA model, Gjensidige will measure the carrying amount of the LRC on initial recognition as the premiums received upon initial recognition.

At the end of each subsequent reporting period, the carrying amount of the LRC is the carrying amount at the start of the period plus the premiums received during the period, minus the amount recognised as insurance revenue for services provided in that period. LRC corresponds to the provision for unearned premium deducted by premium receivables.

At the end of each subsequent reporting period, the carrying amount of the LIC, comprising the fulfilment cash flows related to past services, is measured according to best estimate of future payments for incurred claims and claims expenses. Future payments are based on historical payment pattern.

When measuring the operating expenses, indirect costs should not be included in the fulfilment cash flow. In Gjensidige, costs related to the training of newly hired personnel in sales and distribution and certain costs related to new products are indirect and will be classified as other expenses as opposed to operating expenses. Further, Gjensidige has chosen to expense the acquisition costs directly when applying the PAA, as has been done under IFRS 4.

General Insurance contracts: discounting

A major part of the LIC is derived from long-tailed business with a duration of more than one year, and Gjensidige has therefore decided to discount LIC for all products. Swap rates, which are a well-known market-based yield curve, are used for the respective currencies. The swap rates have a duration of up to 30 years and are a fairly good hedge for the investments. The swap rate fulfils the bottom-up requirement in IFRS 17 and is considered to be risk-free.

LRC could also be discounted to reflect the time value of money. This adjustment is not mandatory under PAA. For LRC, most of the premiums are received in the same year as coverage is provided. In addition, a substantial part of the premium is paid monthly or quarterly. Hence, the financial component of LRC is very limited, and discounting are therefore not be performed.

General Insurance contracts: risk adjustment

The risk adjustment (RA) represents the compensation an entity requires for bearing the uncertainty about the amount and timing of the cash flows that arises from non-financial risk as the entity fulfils insurance contracts. The percentile approach is chosen and risk adjustment for each legal entity within the Group is chosen to represent a confidence level of 85 per cent for the ultimate probability distribution for the claim's provisions.

The confidence level of 85 per cent is aligned with Gjensidige's cost of capital until final run-off of the claim's provisions. Ultimate risk is chosen because the accounting balance shows the liabilities as estimated until final run-off.

For Gjensidige Forsikring ASA, the Partial internal model (PIM) with own calibration is used to determine the risk adjustment. The percentile can be derived from the probability distribution for reserve risk.

Insurance companies in the Group, other than Gjensidige Forsikring ASA, develop their own models, based on the Solvency II risk margin, to determine the RA. The calculation of RA is adjusted to comply with the Group principle of a confidence level of 85 per cent and based on ultimate risk.

The confidence level of 85 per cent until final run-off corresponds to a level of 95 per cent for one-year risk.

Changes in the risk adjustment for non-financial risk are not disaggregated into an insurance service component and an insurance finance component.

General Insurance contracts: transition

The retrospective approach has been used for all general insurance contracts, starting from recognition of contracts.

Pension contracts: portfolios of insurance contracts

Gjensidige has three main product groups within the scope of IFRS 17; paid-up policies, occupational pension and individual risk products. Paid-up policies consist of six portfolios, similar to the asset portfolio in which they are managed. Each of the portfolios represents different investment strategies and asset allocation, with the purpose of matching the financial risk and size of the portfolios to the guarantees one the liability side. The risk element of the occupational pension consists of a deposit exemption that are mandatory in the contracts, in addition to other risk products, where disability is the main part. Individual risk products consist of disability pension and children's disability pension.

The choice of aggregation level is based on homogeneous product groups, that are reported to the Board. Hence, management of the products and management of the risk and administration result has been decisive for the final division into portfolios. The portfolios are:

Paid-up policies
Occupational pension
Disability pension
Children's disability pension

Pension contracts: grouping of contracts/onerous contracts

The onerous test for choice of grouping is done on each contract at initial recognition. The test compares the premium received and the fulfilment cash flows. The contracts are divided into one of the following groups:

A contract is classified as 'profitable' if the present value of fulfilment cash flows, one and a half of the risk adjustments and previously received premiums in total are a net gain at the date of initial recognition.
A contract is called 'possibly onerous' if it is neither classified as 'profitable' nor 'onerous'.

• A contract is classified as 'onerous' if the present value of fulfilment cash flows, risk adjustment and previously received premiums in total are a net loss at the date of initial recognition.

The onerous test is only performed at initial recognition. The loss component is reconsidered, but the contracts remain in the original group.

Pension contracts: measurement method

Gjensidige has classified all pensions contracts as fulfilling the requirements for the use of the BBA.

The paid-up policies have a guaranteed rate of return, and it is assessed whether the contracts fall under the definition of the Variable Fee Approach (VFA). To qualify for measurement under the VFA, Gjensidige must expect to pay the policyholder an amount equal to a substantial share of the fair value returns on the underlying items and a substantial proportion of any change in the amounts paid to the policyholder will vary with the change in fair value of the underlying item. These conditions are not met, and the paid-up policies will therefore be measured based on the BBA.

On initial recognition, the LRC for a group of contracts will be measured as the total of:

The fulfilment cash flows, which comprise:
- o Estimates of future cash flows
  - o An adjustment to reflect the time value of money and the financial risk related to the future cash flows
  - o A risk adjustment for non-financial risk
The contractual service margin (CSM)

Pension contracts: discounting

Gjensidige has decided to use the EIOPA interest rate curve without volatility adjustments. The EIOPA interest rate fulfils the bottom-up requirement in IFRS 17 and is considered to be riskfree. The pension contracts' liabilities are mainly long-term pensions, and the EIOPA curve is based on an extrapolation method that also produces very long-term interest rates.

Pension contracts: risk adjustment

Gjensidige has developed its own model for calculation of the risk adjustment using the BBA model. The model is based on the models for cash flows, taking into consideration the uncertainty in timing and size of the cash flows. The model is a percentile approach (confidence level of 85 per cent), for ultimate risk. Changes in the risk adjustment for non-financial risk are not disaggregated into an insurance service component and an insurance finance component.

Pension contracts: the contractual service margin (CSM)

The CSM is a component of the carrying amount of the asset or liability for a group of insurance contracts representing the unearned profit the entity expects to recognise as the insurance contract services are provided.

Pension contracts: transition

The modified retrospective approach has been used for all pension contracts, starting from 31 December 2016.

Group risk adjustment

The risk adjustment for the Group is the sum of risk adjustments for each legal entity, less risk adjustment on internal reinsurance. As there is a diversification effect between the entities the percentile level of the risk adjustment at Group level will be somewhat higher for ultimate risk and one-year risk.

Insurance and reinsurance contracts

The breakdown of groups of insurance and reinsurance contracts issued, and reinsurance contracts held, that are in an asset position and those in a liability position is set out in the table below:

		2023			2022
NOK millions	Assets	Liabilities	Net	Assets	Liabilities	Net
Insurance and reinsurance contracts issued
General Insurance		41,399.0	41,399.0		36,993.8	36,993.8
Pension		10,324.3	10,324.3		9,470.4	9,470.4
Total insurance and reinsurance contracts issued		51,723.4	51,723.4		46,464.3	46,464.3
Reinsurance contracts held
General Insurance	1,575.0	66.6	1,508.3	523.5	27.2	496.4
Pension	834.5		834.5	736.6		736.6
Total reinsurance contracts held	2,409.4	66.6	2,342.8	1,260.1	27.2	1,233.0

General Insurance

Reconciliation of the liability for insurance contracts issued showing the liability for remaining coverage and the liability for incurred claims 2023

	Liabilities for remaining coverage (LRC)		Liabilities for incurred claims (LIC) Estimates of
NOK millions	Excluding loss component	Loss component	the present value of future cash flows	Risk adjustment	Total
Insurance contracts issued 1.1.23	6,984.6	85.5	27,878.0	2,045.7	36,993.8
New portfolio	153.2		246.8	19.9	419.9
Insurance revenue	-36,162.0				-36,162.0
Incurred claims			27,174.5	736.9	27,911.4
Other incurred insurance service expenses			5,196.4		5,196.4
Changes that relate to past service - incurred claims			-412.8	-726.5	-1,139.3
Changes that relate to future services - onerous contracts		21.0			21.0
Insurance finance income or expenses			1,007.8	62.3	1,070.1
Total changes in income statement	-36,162.0	21.0	32,965.9	72.7	-3,102.4
Premiums received	36,391.2				36,391.2
Incurred claims paid			-25,148.6		-25,148.6
Other insurance service expenses paid			-5,196.4		-5,196.4
Total cash flows	36,391.2		-30,345.0		6,046.2
Exchange rate differences	350.7	4.4	629.4	57.0	1,041.6
Insurance contracts issued 31.12.23	7,717.7	110.9	31,375.2	2,195.3	41,399.0

Reconciliation of the liability for insurance contracts issued showing the liability for remaining coverage and the liability for incurred claims 2022

NOK millions	Liabilities for remaining coverage (LRC)		Liabilities for incurred claims (LIC) Estimates of the present
	Excluding loss component	Loss component	value of future cash flows	Risk adjustment	Total
Insurance contracts issued 1.1.22	6,570.5	91.0	27,173.5	2,071.0	35,906.1
New portfolio	45.7		31.0	0.8	77.5
Insurance revenue	-32,217.7				-32,217.7
Incurred claims			22,292.0	607.5	22,899.5
Other incurred insurance service expenses			4,259.9		4,259.9
Changes that relate to past service - incurred claims			-251.5	-647.1	-898.7
Changes that relate to future services - onerous contracts		-7.4			-7.4
Insurance finance income or expenses			-864.6		-864.6
Total changes in income statement	-32,217.7	-7.4	25,435.7	-39.6	-6,829.1
Premiums received	32,475.2				32,475.2
Incurred claims paid			-20,818.8		-20,818.8
Other insurance service expenses paid			-4,259.9		-4,259.9
Total cash flows	32,475.2		-25,078.7		7,396.6
Exchange rate differences	111.0	1.8	316.4	13.5	442.8
Insurance contracts issued 31.12.22	6,984.6	85.5	27,878.0	2,045.7	36,993.8

Pension

Reconciliation of the liability for insurance contracts issued showing the liability for remaining coverage and the liability for incurred claims 2023

		Liabilities for remaining coverage (LRC)
NOK millions	Excluding loss component	Loss component	Total LRC	Liabilities for incurred claims (LIC)	Total LRC and LIC
Insurance contracts issued 1.1.23	8,023.1	1,447.4	9,470.4		9,470.4
Insurance revenue	-462.5		-462.5		-462.5
Incurred claims				404.2	533.9
Other incurred insurance service expense				129.7	129.7
Changes that relate to past service - incurred claims
Changes that relate to future services - onerous contracts		27.0	27.0		27.0
Insurance finance income or expenses	206.6	15.1	221.7		221.7
Total changes in income statement	-255.9	42.2	-213.8	533.9	320.1
Premiums received	1,067.7		1,067.7		1,067.7
Incurred claims paid				-404.2	-404.2
Other insurance service expenses paid				-129.7	-129.7
Total cash flows	1,067.7		1,067.7	-533.9	533.8
Insurance contracts issued 31.12.23	8,834.8	1,489.5	10,324.3		10,324.3

Reconciliation of the liability for insurance contracts issued showing the liability for remaining coverage and the liability for incurred claims 2022

	Liabilities for remaining coverage (LRC)
NOK millions	Excluding loss component	Loss component	Total	Liabilities for incurred claims (LIC)	Total LRC and LIC
Insurance contracts issued 1.1.22	7,955.8	1,366.7	9,322.5		9,322.5
Insurance revenue	-421.1		-421.1		-421.1
Incurred claims				349.6	462.7
Other incurred insurance service expense				113.2
Changes that relate to past service - incurred claims
Changes that relate to future services - onerous contracts		-19.2	-19.2		-19.2
Insurance finance expenses through profit or loss	-439.3	99.9	-339.4		-339.4
Total changes in income statement	-860.4	80.7	-779.7	462.7	-317.0
Premiums received	927.7		927.7		927.7
Incurred claims paid				-349.6	-349.6
Other insurance service expenses paid				-113.2	-113.2
Total cash flows	927.7		927.7	-462.7	464.9
Insurance contracts issued 31.12.22	8,023.1	1,447.4	9,470.4		9,470.4

Analysis of components of insurance contracts 2023

NOK millions	Best estimate of liabilities (BEL)	Risk adjustment (RA)	Contractual service margin (CSM)	Total
Insurance contracts issued 1.1.23	8,089.4	392.2	988.9	9,470.4
CSM recognised in profit or loss			-55.5	-55.5
RA recognised in profit or loss		19.0		19.0
Experience adjustments	22.0			22.0
Changes related to current services	22.0	19.0	-55.5	-14.6
Contracts initially recognised in the period	-229.1	135.7	198.4	105.1
Changes in estimates that adjust CSM	212.0	-3.3	-3.2	205.4
Changes in estimates that result in onerous contracts or reversal of losses	-197.5			-197.5
Changes related to future services	-214.6	132.4	195.2	113.0
Insurance finance expenses through profit or loss	185.5		36.2	221.7
Total changes in statement of profit or loss	-7.1	151.4	175.8	320.1
Premiums received	1,067.7			1,067.7
Incurred claims paid	-404.2			-404.2
Total cash flows	663.5			663.5
Insurance contracts issued 31.12.23	8,745.8	543.5	1,164.7	10,454.1

Analysis of components of insurance contracts 2022

	Best estimate	Risk	Contractual
NOK millions	of liabilities (BEL)	adjustment (RA)	service margin (CSM)	Total
Insurance contracts issued 1.1.22	8,100.9	453.6	768.0	9,322.5
CSM recognised in profit or loss			-51.7	-51.7
RA recognised in profit or loss		8.3		8.3
Experience adjustments	-9.6			-9.6
Changes related to current services	-9.6	8.3	-51.7	-53.1
Contracts initially recognised in the period	-165.5	89.7	273.9	198.1
Changes in estimates that adjust CSM	235.1	-159.4	-27.7	47.9
Changes in estimates that result in onerous contracts or reversal of losses	-170.5			-170.5
Changes related to future services	-101.0	-69.7	246.2	75.5
Insurance finance expenses through profit or loss	-365.9		26.5	-339.4
Total changes in statement of profit or loss	-476.4	-61.4	220.9	-317.0
Premiums received	927.7			927.7
Incurred claims paid	-349.6			-349.6
Other insurance service expenses paid	-113.2			-113.2
Total cash flows	464.9			464.9
Insurance contracts issued 31.12.22	8,089.4	392.2	988.9	9,470.4

5. Financial assets and liabilities

IFRS 9 addresses accounting for financial instruments and is effective from 1 January 2023. Comparable figures have been restated. The figures presented are indicative and may be altered in the audited financial statement for 2023.

The purpose of the Group's investments is to support the insurance business by securing the value of insurance liabilities against fluctuations in market variables. Funds beyond this will be invested to achieve the Group's overall profitability goals. Investments for general insurance and life insurance are managed separately. The investment portfolio for general insurance is split into two parts: a match portfolio and a free portfolio.

Measurement categories

The classification of financial instruments at initial recognition depends on their contractual terms and the business model for managing the instruments.

Equity instruments and derivatives do not pass the SPPI-test (solely payment of principal and interest) and are classified at fair value through profit or loss (FVTPL). Debt instruments are classified based on the business model and on the cash flow characteristics of the financial asset.

The match portfolio in General Insurance is intended to correspond to the cash flows from the underwriting business. It is invested in debt instruments with a duration and currency that matches the duration and currency of the cash flows for the underwriting business. A major part of the investments would pass the SPPI-test and could be accounted for according to amortized cost. However, Gjensidige has chosen to use the fair value through profit or loss option to reduce the accounting mismatch between investments and insurance liabilities.

The free portfolio consists of various assets, which are managed based on fair value and Gjensidige's risk appetite. Hence, the financial assets do not satisfy the condition to collect cash flows and will therefore be classified as fair value through profit or loss.

The financial assets in Pension's group policy portfolios are intended to correspond to the cash flows from the underwriting business, with debt instruments with a duration and currency that matches the duration and currency of the cash flows for the underwriting business. A major part of the investments would pass the SPPI-test and could be accounted for according to amortized cost. However, Gjensidige has chosen to use the fair value through profit or loss option to reduce the accounting mismatch between investments and insurance liabilities. The financial assets in the unit-linked and corporate portfolio are measured at FVTPL.

Financial liabilities are measured at either fair value through profit or loss (derivatives) or at amortized cost (subordinated loans).

Recognition and derecognition

Financial instruments are recognised when Gjensidige becomes a party to the instrument's contractual terms. Initial recognition is at fair value. Except for financial assets and financial liabilities recognised at FVTPL, transaction expenses are added to this amount. For financial assets and liabilities measured at FVTPL transaction expenses are recognised in profit or loss when they incur. Normally initial recognition will be equal to the transaction price. Subsequent to initial recognition the instruments are measured as described below.

Financial assets are derecognised when the contractual rights to cash flows from the financial asset expire, or when Gjensidige transfers the financial asset in a transaction where all or practically all the risk and rewards related to ownership of the assets are transferred.

Financial assets and liabilities at fair value through profit or loss

Financial assets and liabilities at fair value through profit or loss are measured at fair value at the reporting date. Changes in fair value are recognised in profit or loss, in the accounting line Net changes in fair value of investments (incl. property).

The category at fair value through profit or loss comprise the classes shares and similar interests, bonds and other fixedincome securities, loans and receivables, assets in life insurance with investment options, other assets and receivables, cash and cash equivalents, liabilities in life insurance with investment options and other financial assets.

Financial derivatives

Financial derivatives are used in the management of exposure to equities, bonds and foreign exchange in order to achieve the desired level of risk and return. The instruments are used both for trading purposes and for hedging of other balance sheet items. Any trading of financial derivatives is subject to strict limitations.

Gjensidige uses financial derivatives, amongst other to hedge foreign currency exchanges arising from the ownership of foreign subsidiaries with other functional currency.

Financial derivatives are measured at fair value at the reporting date. Changes in fair value are recognised in profit or loss.

Financial liabilities at amortized cost

Financial liabilities that are not measured at fair value are measured at amortized cost using the effective interest method. When calculating effective interest rate, future cash flows are estimated, and all contractual terms of the financial instrument are taken into consideration. Fees paid or received between the parties in the contract and transaction costs that are directly attributable to the transaction, are included as an integral component of determining the effective interest rate. When the time horizon of the financial liability's due time is quite near in time the nominal interest rate is used when measuring amortized cost.

The category financial liabilities at amortized cost comprises subordinated debt.

Definition of fair value

Subsequent to initial recognition, investments at fair value through profit or loss are measured at the amount each asset/liability can be settled at in an orderly transaction between market participants on the measurement date, based on the prevailing market conditions.

Different valuation techniques and methods are used to estimate fair value depending on the type of financial instruments and to what extent they are traded in active markets. Instruments are classified in their entirety in one of three valuation levels in a hierarchy based on the lowest level input that is significant to the fair value measurement in its entirety.

The different valuation levels and which financial assets/liabilities are included in the respective levels are accounted for below.

Quoted prices in active markets

Quoted prices in active markets are regarded as the best estimate of an asset/liability's fair value. A financial asset/liability is considered to be valued based on quoted prices in active markets if its fair value is estimated based on easily and regularly available prices and these prices represent actual and regularly occurring transactions based on the arm's length principle. Financial assets/liabilities valued based on quoted prices in active markets are classified as level one in the valuation hierarchy.

The following financial assets are classified as level one in the valuation hierarchy:

Listed shares
Norwegian government/government backed bonds and other fixed income securities
Listed funds (ETF)

Valuation based on observable market data

When quoted prices in active markets are not available, the fair value of financial assets/liabilities is preferably estimated based on valuation techniques that are based on observable market data.

A financial asset/liability is deemed to be valued based on observable market data if its fair value is estimated with reference to prices that are not quoted but are observable either directly (as prices) or indirectly (derived from prices). Financial assets/liabilities valued based on observable market data are classified as level two in the valuation hierarchy.

The following financial assets/liabilities are classified as level two in the valuation hierarchy:

Currency derivatives, equity options and forward rate agreements, in which fair value is derived from the value of underlying instruments. These derivatives are valued using common valuation techniques for derivatives (option pricing models etc.).
Equity funds, fixed-income funds, hedge funds and combination funds, in which fair value is estimated based on the fair value of the underlying investments of the funds.
Bonds, certificates, or index bonds that are unlisted, or that are listed but where transactions do not occur regularly. The unlisted instruments in this category are valued based on observable yield curves and estimated credit spreads where applicable.
Listed subordinated debt where transactions are not occurring regularly.

Valuation based on non-observable market data

When neither quoted prices in active markets nor observable market data are available, the fair value of financial assets/liabilities is estimated based on valuation techniques that are based on non-observable market data.

A financial asset/liability is deemed to be valued based on nonobservable market data if its fair value is estimated without being based on quoted prices in active markets or observable market data. Financial assets/liabilities valued based on non-observable

market data are classified as level three in the valuation hierarchy.

The following financial assets are classified as level three in the valuation hierarchy:

Unlisted private equity investments. The private equity investments that are not organised as funds are valued using cash flow analyses, price multiples and recent market transactions. The private equity investments that are organised as funds are valued based on NAV (Net Asset Value) as reported by the administrators in accordance with IPEV guidelines (International Private Equity and Venture Capital Valuation. Because of late reporting from the funds, the NAV from the previous quarterly reporting is used when estimating fair value. The NAV is then assessed for discretionary adjustments based on objective events since the last reporting date. Objective events may be the development in underlying values of listed companies since the last reporting, changes in regulations or substantial market movements.
Loan funds containing secured debt, and real estate funds. The funds are valued based on NAV values as reported by the fund administrators. Because of late reporting from the funds, the NAV values from the previous quarterly reporting are used when estimating fair value.

The valuation process for financial assets classified as level three

The Investment Performance and Risk Measurement department decides which valuation models will be used when valuing financial assets classified as level three in the valuation hierarchy. The models are evaluated as required. The fair value and results of the investments and compliance with the stipulated limits are reported weekly to the Chief Financial Officer and Chief Executive Officer, and monthly to the Board.

Sensitivity of financial assets level three

Shares and similar interests (mainly unlisted private equity investments, real estate funds and hedge funds), as well as bonds and other fixed-income securities are included in level three in the valuation hierarchy. General market downturns or a worsening of the outlook can affect expectations of future cash flows or the applied multiples, which in turn will lead to a reduction in the value of shares and similar interests. Bonds and other fixed-income securities primarily have interest rate and credit risk as a result of changes in the yield curve or losses due to unexpected defaults on the part of Gjensidige's debtors. However, the sensitivity to changes in the yield curve is reduced through hedging using interest rate swaps classified as level 2.

	Carrying amount as at	Carrying amount as at
NOK millions	31.12.2023	31.12.2022
Financial assets
Financial assets at fair value through profit or loss, mandatorily
Financial derivatives at fair value through profit or loss	560.2	449.7
Financial derivatives subject to hedge accounting	15.2
Shares and similar interests	3,437.4	3,742.5
Shares and similar interests in life insurance with investment options	50,047.6	37,376.9
Financial assets at fair value through profit or loss, designated at initial recognition
Bonds and other fixed-income securities	62,761.6	36,261.3
Bonds and other fixed-income securities in life insurance with investment options	9,722.2	8,539.2
Loans	302.0	22,516.4
Other financial assets and receivables at amortised cost
Other assets and receivables	4,605.3	3,978.2
Cash and cash equivalents	2,986.9	3,195.2
Total financial assets	134,438.5	116,059.5
Financial liabilities
Financial derivatives
Financial derivatives at fair value through profit or loss	398.6	390.3
Financial derivatives subject to hedge accounting		10.4
Financial liabilities at fair value through profit or loss
Liabilities in life insurance with investment options	59,769.8	45,916.1
Financial liabilities at amortised cost
Subordinated debt 1	2,898.7	2,397.0
Other financial liabilities	4,673.6	4,179.7
Total financial liabilities	67,740.8	52,893.5
1 Fair value of subordinated debt	2,911.7	2,340.6

Valuation hierarchy 2023

The table shows a valuation hierarchy where financial assets/liabilities are divided into three levels based on the method of valuation.

	Level 1	Level 2	Level 3
		Valuation	Valuation
	Quoted prices	techniques based on	techniques based on non
	in active	observable	observable
NOK millions	markets	market data	market data	Total
Financial assets
Financial assets at fair value through profit or loss, mandatorily
Financial derivatives at fair value through profit or loss		560.2		560.2
Financial derivatives subject to hedge accounting		15.2		15.2
Shares and similar interests	251.4	1,671.9	1,514.1	3,437.4
Shares and similar interests in life insurance with investment options		48,176.8	1,870.8	50,047.6
Financial assets at fair value through profit or loss, designated upon initial recognition
Bonds and other fixed-income securities	19,359.8	41,369.8	2,032.1	62,761.6
Bonds and other fixed-income securities in life insurance with investment options		9,722.2		9,722.2
Loans		281.3	20.7	302.0
Financial liabilities
Financial liabilities at fair value through profit or loss, mandatorily
Financial derivatives at fair value through profit or loss		398.6		398.6
Financial liabilities at fair value through profit or loss, designated at initial recognition
Liabilities in life insurance with investment options		57,899.0		59,769.8
Financial liabilities at amortised cost
Subordinated debt		2,911.7		2,911.7

Valuation hierarchy 2022

The table shows a valuation hierarchy where financial assets/liabilities are divided into three levels based on the method of valuation.

	Level 1	Level 2	Level 3
		Valuation	Valuation
	Quoted prices	techniques based on	techniques based on non
	in active	observable	observable
NOK millions	markets	market data	market data	Total
Financial assets
Financial assets at fair value through profit or loss, mandatorily
Financial derivatives at fair value through profit or loss		449.7		449.7
Shares and similar interests	271.3	2,017.0	1,454.2	3,742.5
Shares and similar interests in life insurance with investment options		37,376.9		37,376.9
Financial assets at fair value through profit or loss, designated upon initial recognition
Bonds and other-fixed income securities	14,056.3	21,038.8	1,166.3	36,261.3
Bonds and other fixed-income securities in life insurance with investment options		8,539.2		8,539.2
Loans		22,505.6	10.8	22,516.4
Financial liabilities
Financial liabilities at fair value through profit or loss, mandatorily
Financial derivatives at fair value through profit or loss		390.3		390.3
Financial derivatives subject to hedge accounting		10.4		10.4

Financial liabilities at fair value through profit or loss, designated upon initial recognition
Liabilities in life insurance with investment options		45,916.1		45,916.1
Financial liabilities at amortised cost
Subordinated debt		2,340.6		2,340.6

		Total gains or losses recognis ed in				Transfers	Cur		Total gains or losses included in profit or loss that are attributable to the change in unrealised gains or losses relating to financial instruments held at the
NOK millions	As at 1.1.2023	profit or loss	Pur chases	Sales	Settle ments	into/out of level 3	rency effect	As at 31.12.2023	end of the period
Shares and similar interests	1,454.2	-5.5	167.8	-102.9			0.5	1,514.1	-5.5
Shares and similar interests in life insurance with investment options		-178.0			-50.8	2,099.6		1,870.8	-228.8
Bonds and other fixed-income securities	1,166.3	93.7	756.7	-31.9	-35.7		83.1	2,032.1	107.8
Loans	10.8	3.3	8.2	-1.3	-0.3			20.7	3.3
Total	2,631.3	-86.6	932.7	-136.1	-86.8	2,099.6	83.5	5,437.6	-123.3

Reconciliation of financial assets valued based on non-observable market data (level 3) 2022

									Total gains or
									losses
									included in
									profit or loss
									that are
									attributable
									to the change
									in unrealised
									gains or
		Total							losses
		gains or							relating to
		losses							financial
		recognis							instruments
		ed in				Transfers	Cur		held at the
	As at	profit or	Pur		Settle	into/out of	rency	As at	end of the
NOK millions	1.1.2022	loss	chases	Sales	ments	level 3	effect	31.12.2022	period
Shares and similar interests	1,600.8	-161.7	195.1	-180.2			0.3	1,454.2	-161.8
Bonds and other fixed-income securities	782.0	-41.8	895.2	-502.8			33.8	1,166.3	-12.0
Loans	5.5	2.7	3.9	-0.1	-1.3			10.8	2.7
Total	2,388.2	-200.8	1,094.3	-683.2	-1.3		34.1	2,631.3	-171.0

6. Contingent liabilities

NOK millions	31.12.2023	31.12.2022
Guarantees and committed capital
Committed capital, not paid	1,376.9	1,879.7

As part of its ongoing financial management Gjensidige has committed, but not paid up to NOK 1,376.9 million (1,879.7) in loan funds containing secured debt and various private equity and real estate funds, over and above the amounts recognised in the balance sheet.

The timing of the outflow of capital is dependent on when the funds make capital calls from their investors. The average remaining operating time for the funds, based on fair value, is slightly less than two years (three) and slightly less than three years (four) on average including an extension option.

Gjensidige Forsikring is liable externally for any insurance claim arising in the cooperating mutual fire insurers' fire insurance operations.

7. Related parties

There have not been any significant transactions with related parties other than ordinary current agreements conducted at arm's length distance.

8. Specification of other items

According to the agreement with Gjensidige Pensjonskasse the return, if not sufficient to cover the pension plans guaranteed interest rate, should be covered from the premium fund or through contribution from Gjensidige Forsikring.

The Group is involved in disputes of various kinds. There is often uncertainty associated with litigation. Nevertheless, based on available information, the Group is of the opinion that the cases will be resolved without significant negative impact, neither individually nor collectively, on the Group's result or liquidity. For disputes where the Group considers that there is a more than 50 per cent probability that a financial obligation will arise, provisions have been made based on the best estimate.

NOK millions	Q4 2023	Q4 2022	1.1.-31.12.2023	1.1.-31.12.2022
Net result mobility services	-31.8	-25.3	-69.7	-67.3
Interest expense on right-of-use liability (rental liabilities)	-7.8	-7.1	-32.6	-29.9
Interest expense on subordinated loans	-47.6	-26.1	-143.1	-74.2
Other expenses general insurance	-34.3	-33.9	-117.1	-172.9
Amortization of intangible assets	-55.6	-52.5	-165.1	-138.8
Gains and losses on sale of shares in subsidiaries and associates		0.1	-16.0	783.8
Other items	-177.1	-144.8	-543.7	300.6

Other alternative performance measures and key figures

		Q4 2023	Q4 2022	1.1.-31.12.2023	1.1.-31.12.2022
Gjensidige Forsikring Group
Total equity attributable to owners of the company	NOK millions			24,226.0	23,958.8
Equity per share 2	NOK			48.5	47.9
Earnings per share, basic and diluted 1	NOK	2.18	2.60	8.11	6.78
Return on equity 2	%			18.2	15.4
Return on tangible equity 2	%			28.5	22.5
Return on investment portfolio 2	%	3.1	1.7	4.3	-4.3
Total eligible own funds to meet the SCR 3	NOK millions			19,782.3	19,687.9
Solvency Capital Requirement (SCR) 4	NOK millions			11,950.2	10,981.3
Solvency ratio 5	%			165.5	179.3
Gjensidige Forsikring ASA
Total eligible own funds to meet the SCR 3	NOK millions			19,318.9	19,625.0
Solvency Capital Requirement (SCR) 4	NOK millions			10,865.0	10,170.1
Solvency ratio 5	%			177.8	193.0
Issued shares, at the end of the period	Number			500,000,000	500,000,000
General Insurance
Gross written premiums 2
Private	NOK millions	3,287.2	2,999.2	14,189.8	13,011.7
Commercial	NOK millions	3,706.4	3,281.4	18,989.9	16,590.8
Sweden	NOK millions	463.0	441.0	1,910.4	1,737.4
Baltics	NOK millions	440.2	366.0	1,722.1	1,324.6
Corporate Centre/reinsurance	NOK millions	110.5	30.2	238.8	267.4
Total General Insurance	NOK millions	8,007.2	7,117.8	37,050.9	32,932.0
Pension
Share of shared commercial customers 6	%			65.8	66.0
Return on equity (IFRS 4) 2	%			1.8	15.1
Total eligible own funds to meet the SCR 3	NOK millions			2,193.9	2,045.5
Solvency Capital Requirement (SCR) 4	NOK millions			1,692.0	1,431.7
Solvency ratio 5	%			129.7	142.9

¹ Earnings per share, basic and diluted = the shareholders' share of the profit or loss from continuing and discontinued operations in the period/average number of outstanding shares in the period

² Defined as an alternative performance measure (APM). APMs are described at www.gjensidige.com/investor-relations/reports-and-presentations in a document named APM. ³ Total eligible own funds to meet the SCR = Total eligible own funds to meet the solvency capital requirement. For the Group and Gjensidige Forsikring ASA total comprehensive income for the year-to-date is included in the solvency calculations, minus a formulaic dividend pay-out ratio in the first, second and third quarter of 80 per cent of net profit. There are no formulaic dividend adjustments for Gjensidige Pensjonsforsikring AS.

⁴ Solvency Capital Requirement (SCR) = Regulatory capital requirement. The approved partial internal model is used for the Group and for Gjensidige Forsikring ASA. The standard formula is used for Gjensidige Pensjonsforsikring AS.

⁵ Solvency ratio = Total eligible own funds to meet the Solvency Capital Ratio (SCR), divided by SCR. For the Group and Gjensidige Forsikring ASA total comprehensive income for the year-to-date is included in the solvency calculations, minus a formulaic dividend pay-out ratio in the first, second and third quarter of 80 per cent of net profit. At year end, the proposed dividend is deducted in the calculation of the solvency ratio.

⁶ Share of shared commercial customers = customers with both pension and general insurance products with Gjensidige

Quarterly earnings performance

Quarterly earnings performance figures before 2022 can be found in previous interim reports at www.gjensidige.no/group/investorrelations/reports, which were disclosed according to IFRS 4 and IAS 39.

	Q4	Q3	Q2	Q1	Q4	Q3	Q2	Q1
NOK millions	2023	2023	2023	2023	2022	2022	2022	2022
Insurance revenue	9,516.9	9,391.5	9,066.2	8,649.9	8,432.8	8,297.3	8,067.1	7,841.6
Insurance expenses	-8,783.1	-8,867.2	-7,429.9	-7,470.3	-7,118.4	-6,398.6	-6,313.4	-6,866.4
Insurance service result before reinsurance contracts held	733.8	524.3	1,636.3	1,179.6	1,314.4	1,898.7	1,753.7	975.2
Net expense from reinsurance contracts held	-60.1	537.2	-60.5	-89.4	-119.9	-91.2	-99.1	-54.8
Insurance service result	673.7	1,061.5	1,575.8	1,090.2	1,194.5	1,807.5	1,654.5	920.4
Net income from investments	2,225.8	126.0	-473.5	826.7	1,141.4	-870.3	-1,863.3	-694.1
Insurance/reinsurance finance income or expense	-1,204.4	4.6	254.1	-370.5	-595.4	279.9	729.1	830.5
Other income	434.1	407.5	395.6	381.8	345.2	299.3	288.1	168.8
Other expenses	-522.8	-479.9	-418.2	-436.8	-411.6	-401.6	-317.2	-188.3
Profit or loss before tax expense	1,606.5	1,119.6	1,333.9	1,491.5	1,674.1	1,114.8	491.3	1,037.3

Income statement

Gjensidige Forsikring ASA

NOK millions	Q4 2023		Q4 2022 1.1.-31.12.2023 1.1.-31.12.2022
Insurance revenue	8,947.1	7,969.9	34,520.5	30,936.1
Incurred claims and changes in past and future service	-7,027.7	-5,702.1	-25,625.3	-21,030.9
Other incurred insurance service expenses	-1,109.4	-1,016.6	-4,733.9	-3,899.7
Insurance service result before reinsurance contracts held	809.9	1,251.2	4,161.3	6,005.5
Reinsurance premiums	-266.2	-171.8	-798.6	-672.7
Amounts recovered from reinsurance	203.9	45.2	1,104.7	270.1
Net expense from reinsurance contracts held	-62.3	-126.6	306.1	-402.6
Insurance service result	747.6	1,124.6	4,467.4	5,602.9
Income from investments in subsidiaries		400.0		400.0
Realised loss from sale of subsidiaries	2.9	-0.3	-13.1	-900.7
Realised gain from sale of joint venture				3,943.1
Interest income and dividend etc. from financial assets	911.7	309.5	2,205.9	1,068.8
Net changes in fair value of investments (incl. property)	1,069.5	1,034.7	572.8	-3,372.5
Net realised gains and losses on investments	-70.5	-301.3	-51.9	103.2
Interest expenses and expenses related to investments	-119.7	-114.9	-401.8	-356.7
Net income from investments	1,793.9	1,327.7	2,311.9	885.1
Insurance finance income or expenses - unwinding	-303.2	-218.4	-1,050.3	-636.4
Insurance finance income or expenses - change in financial assumptions	-625.7	-163.2	6.9	1,505.1
Reinsurance finance income or expenses - unwinding	17.1	3.6	39.6	10.6
Reinsurance finance income or expenses - change in financial assumptions	-12.2	-0.9	-42.2	-9.7
Other income	0.8	1.1	4.9	2.5
Other expenses	-64.3	-46.3	-189.3	-221.1
Profit or loss before tax expense	1,554.0	2,028.1	5,549.1	7,139.0
Tax expense	-494.2	-367.4	-1,433.5	-895.3
Profit or loss before other comprehensive income	1,059.8	1,660.8	4,115.6	6,243.6
Other comprehensive income
Other comprehensive income that will not be reclassified to profit or loss
Remeasurement of the net defined benefit liability/asset	-129.1	-385.5	-129.1	-277.6
Tax on other comprehensive income that will not be reclassified subsequently to profit or loss	32.3	96.4	32.3	69.4
Total other comprehensive income that will not be reclassified subsequently to profit or loss	-96.8	-289.1	-96.8	-208.2
Other comprehensive income that will be reclassified subsequently to profit or loss
Exchange differences from foreign operations	-19.3	-91.8	319.8	221.7
Tax on other comprehensive income that may be reclassified	6.8	19.3	-56.1	-41.8
Total other comprehensive income that will be reclassified subsequently to profit or loss	-12.5	-72.4	263.7	179.9
Total other comprehensive income	-109.3	-361.6	166.9	-28.3
Comprehensive income	950.5	1,299.2	4,282.5	6,215.3

Statement of financial position

Gjensidige Forsikring ASA

NOK millions	31.12.2023	31.12.2022
Assets
Goodwill	3,440.4	3,253.7
Other intangible assets	627.6	527.6
Shares in subsidiaries and associates	5,299.0	4,799.4
Investments in associates	118.9	110.0
Owner-occupied and right-of-use property, plant and equipment	1,449.0	1,343.7
Pension assets	181.1	187.4
Financial assets
Interest-bearing receivables from subsidiaries	296.2	300.5
Financial derivatives	575.4	449.7
Shares and similar interests	3,397.4	3,722.5
Bonds and other fixed-income securities	52,156.6	33,283.9
Loans and receivables	302.0	15,723.0
Other assets and receivables	3,644.9	3,187.4
Receivables within the group	106.1	536.5
Cash and cash equivalents	2,330.3	2,468.7
Other assets
Reinsurance contracts held that are assets	1,606.3	546.5
Prepaid expenses and earned, not received income	0.8	0.7
Total assets	75,532.1	70,441.1
Equity and liabilities

Equity
Share capital	999.9	999.9
Share premium	1,430.0	1,430.0
Natural perils capital	2,380.1	2,973.1
Guarantee scheme provision	942.2	864.2
Other equity	13,784.3	13,431.1
Total equity	19,536.5	19,698.3
Insurance liabilities
Insurance contracts issued that are liabilities	40,205.3	35,951.5
Reinsurance contracts issued that are liabilities	60.8	24.8
Financial liabilities
Subordinated debt	2,898.7	2,397.0
Financial derivatives	398.6	400.7
Other financial liabilities	3,327.5	3,041.0
Liabilities within the group	322.9	370.1
Other liabilities
Pension liabilities	762.6	730.4
Lease liability	1,329.2	1,276.0
Other provisions	712.4	525.4
Accrued dividend	4,375.0	4,125.0
Current tax	976.1	1,317.0
Deferred tax liabilities	173.2	168.9
Accrued expenses and received, not earned income	453.3	415.2
Total liabilities	55,995.6	50,742.8
Total equity and liabilities	75,532.1	70,441.1

Statement of changes in equity

Gjensidige Forsikring ASA

		Own shares	Share premium	Other paid-in capital	Perpetual Tier 1 capital	Exchange differ ences	Re measurem ent of the net defined benefit liab./asset	Other earned equity	Total equity
NOK millions	Share capital
										Equity as at 31.12.2021	1,000.0	-0.1	1,430.0	97.3	1,205.2	359.1	-2,251.0	15,810.9	17,651.5
										Implementation effects 1.1.2022
IFRS 17 Risk adjustment - General Insurance								-2,004.7	-2,004.7
IFRS 17 Discounting - General Insurance								1,722.6	1,722.6
IFRS 17 Loss Component - General Insurance								-65.4	-65.4
IFRS 9 - General Insurance								357.3	357.3
Tax on implementation effects and other effects								-2.8	-2.8
Merger with NEM Forsikring A/S								-10.1	-10.1
Equity as at 1.1.2022 incl. IFRS 17 and IFRS 9 adjustments	1,000.0	-0.1	1,430.0	97.3	1,205.2	359.1	-2,251.0	15,807.8	17,648.4
1.1.-31.12.2022
Comprehensive income
Profit or loss before components of other comprehensive income					48.3			6,195.4	6,243.6
Total other comprehensive income				0.7		179.2	-208.2		-28.3
Comprehensive income				0.7	48.3	179.2	-208.2	6,195.4	6,215.3
Transactions with the owners of the company
Own shares		0.0						-22.3	-22.3
Dividend								-4,124.8	-4,124.8
Equity-settled share-based payment transactions				23.0					23.0
Perpetual Tier 1 capital					0.7			-0.7
Perpetual Tier 1 capital - interest paid					-41.4				-41.4
Total transactions with the owners of the company		0.0		23.0	-40.7			-4,147.8	-4,165.5
Equity as at 31.12.2022	1,000.0	-0.1	1,430.0	121.0	1,212.8	538.3	-2,459.2	17,855.4	19,698.3
1.1.-31.12.2023
Comprehensive income
Profit or loss before components of other comprehensive income					76.1			4,039.5	4,115.6
Total other comprehensive income				1.2		262.5	-96.8		166.9
Comprehensive income				1.2	76.1	262.5	-96.8	4,039.5	4,282.5
Transactions with the owners of the company
Own shares		0.0						-20.7	-20.7
Dividend								-4,374.9	-4,374.9
Equity-settled share-based payment transactions				22.9					22.9
Perpetual Tier 1 capital					0.7			-0.7
Perpetual Tier 1 capital - interest paid					-71.6				-71.6
Total transactions with the owners of the company		0.0		22.9	-70.9			-4,396.3	-4,444.3
Equity as at 31.12.2023	1,000.0	-0.1	1,430.0	145.1	1,218.0	800.9	-2,556.0	17,498.6	19,536.5

AI Terminal

Gjensidige Forsikring ASA

3606_rns_2024-01-24_83d1806e-2676-4084-8137-ac39f4f15069.pdf

Group highlights, fourth quarter and preliminary full year report 2023

Fourth quarter

Group

General Insurance

Year as a whole

Group

General Insurance

Proposed dividend

Profit performance Group

Results for the quarter and the full year impacted by challenging weather conditions

Group profit performance

Development during the quarter

Development during the year

Equity and capital position

Other

Operational targets

Sustainable development

Safer society

Sustainable claims handling

Responsible investments

Recognition

Other

General Insurance Private

Development during the quarter

Development during the year

General Insurance Private

General Insurance Private Norway

General Insurance Private Denmark

General Insurance Commercial

Development during the quarter

Development during the year

General Insurance Commercial

General Insurance Commercial Norway

General Insurance Commercial Denmark

General Insurance Sweden

Development during the quarter

General Insurance Sweden

Development during the year

General Insurance Baltics

Development during the quarter

Development during the year

General Insurance Baltics

Pension

Development during the quarter

Development during the year

Pension

Management of the investment

portfolio

Development during the quarter

Investment portfolio

Match portfolio

Yield and duration

Return per asset class

Free portfolio

Fixed-income instruments

Equity portfolio

Development during the year

Organisation

Events after the end of the reporting period

Dividend

Strategy and outlook

The Group's annual financial and solvency targets are as follows:

Consolidated income statement

Consolidated statement of comprehensive income

Consolidated statement of financial position

Consolidated statement of changes in equity

Consolidated statement of cash flows

Notes

1. Accounting policies

New and amended standards and interpretations

Other

2. Seasonal variations

3. Segment information

Geographic distribution of segment income

4. Insurance contracts

General Insurance contracts: portfolios of insurance contracts

General Insurance contracts: grouping of contracts/onerous contracts