Summary of Solvency Report (Excerpts)

CHINA PACIFIC INSURANCE (GROUP) CO., LTD.

2025 Interim

Company overview and contact information

Company name

(Chinese):	中国太平洋保险(集团)股份有限公司
Company name (English):	CHINA PACIFIC INSURANCE (GROUP) CO., LTD.
Legal representative:	FU Fan
Registered address:	1 Zhongshan Road (South), Huangpu
	District, Shanghai, PRC.
Registered capital:	RMB9.62 billion
Business license number:	000013
First date for registration:	May 13, 1991
Business scope:	Invest in controlling stakes of insurance
	companies; supervise and manage the
	domestic and international reinsurance
	business of the insurers under its control;
	supervise and manage the investments by
	the insurers under its control; participate in
	international insurance activities as
	approved.
Contact person:	HUANG Danyan
Office Tel. number:	021-33968093
Cell phone:	13764517031
Fax number:	021-58792445
E-mail:	[email protected]

I. BOARD AND MANAGEMENT STATEMENT 4
II. BASIC INFORMATION 6
III. BUSINESS OPERATION OF MAJOR MEMBER COMPANIES10
IV. SOLVENCY STATEMENTS 12
V. MANAGEMENT ANALYSIS AND DISCUSSIONS 13
VI. RISK MANAGEMENT CAPABILITIES 15
VII. INTEGRATED RISK RATING 23

I. Board and management statement

The report has been approved by the board of directors. The board and the senior management of the Company warrant that the contents of this report are true, accurate and complete and have fully complied with applicable laws and regulations, and that there is no false representation, misleading statements or material omissions; and they severally and jointly accept responsibility for the contents of this report.

Name of directors	For	Against	Abstain
WANG Tayu	√
CHEN Ran	√
CHEN Xin	√
LAM Tyng Yih, Elizabeth	√
LO Yuen Man, Elainen	√
CHIN Hung I David	√
ZHOU Donghui	√
ZHAO Yonggang	√
JIANG Xuping	√
HUANG Dinan	√
FU Fan	√
LU Qiaoling	√

1.Voting results by directors

Name of directors	For	Against	Abstain
John Robert Dacey	√
Total	13

Note: Mark "√" in corresponding blanks according to opinions of directors.

2.Are there any directors who cannot guarantee or harbor any doubt about the

truthfulness, accuracy, completeness or compliance of the contents of this report?

(yes□no■)

II. Basic Information

(I) Shareholding structure, shareholders and change

1.Shareholding structure (unit: share)

	As at the beginning of the reporting period			Increase or decrease (+ or -) in shareholding during the reporting period			As at the end of the reporting period
	Amount	Percentage (%)	New shares issued	Bonus shares	Transfer from reserves	Others	Sub total	Amount	Percentage (%)
1.Ordinary shares	6,845,041,4	71.15	-	-	-	-	-	6,845,041,	71.15
denominated in RMB	55							455
2.Domestically listed foreign shares	-	-	-	-	-	-	-	-	-
3.Overseas listed foreign	2,775,300,0	28.85	-	-	-	-	-	2,775,300,	28.85
shares (H share)	00							000
4. Others	-	-	-	-	-	-	-	-	-
Total	9,620,341,4 55	100.00	-	-	-	-	-	9,620,341, 455	100.00

2.Top 10 shareholders (unit: share)

Name of shareholders	Percentag e of sharehold ing	Total number of shares held	Increase or decrease (+ or -) of shareholding during the reporting period	Number of shares subject to pledge or lock up	Type of shares
HKSCC Nominees Limited	28.82%	2,772,670,817	+54,460	-	H Share
Shenergy (Group) Co., Ltd.	14.05%	1,352,129,014	-	-	A Share
Hwabao Investment Co., Ltd.	13.35%	1,284,277,846	-	-	A Share
Shanghai State-Owned Assets Operation Co., Ltd.	6.34%	609,929,956	-	-	A Share
Shanghai Haiyan Investment Management Company Limited	4.87%	468,828,104	-	-	A Share
China Securities Finance Co., Ltd	2.82%	271,089,843	-	-	A Share
HKSCC	2.27%	218,698,985	-53,321,375	-	A Share
Shanghai International Group	1.69%	162,718,700	+2,718,700	-	A Share
Yunnan Hehe (Group) Company Limited	0.95%	91,868,387	-	-	A Share

Name of shareholders	Percentag e of sharehold ing	Total number of shares held	Increase or decrease (+ or -) of shareholding during the reporting period	Number of shares subject to pledge or lock up	Type of shares
Shanghai Jiushi Company Limited	0.95%	90,949,460	-	-	A Share
Description of related relations or concerted actions among the aforesaid shareholder		HKSCC Nominees Limited and HKSCC are connected, as the former is a wholly-owned subsidiary of the latter. Operation Co., Ltd. is a wholly-owned subsidiary of Shanghai International Group, and they act in concert. Based on inquiries of the Company and confirmation of relevant shareholders, other than that, the Company is not aware of any other connected relations or concerted actions among the above-mentioned shareholders.		Shanghai State-Owned Assets

Notes:

As at the end of the reporting period, the Company did not issue any preferred shares.
The shareholding of the top 10 shareholders is based on the lists of registered shareholders provided by China Securities Depository and Clearing Corporation Limited Shanghai Branch (A share) and Computershare Hong Kong Investor Services Limited (H share) respectively. The nature of A shareholders is the same as the nature of their accounts registered with China Securities Depository and

Clearing Corporation Limited Shanghai Branch.

The shares held by HKSCC Nominees Limited are held on behalf of its clients. As SEHK does not require such shareholders to disclose to HKSCC Nominees Limited whether the shares held by them are subject to pledge or lock-up period, HKSCC Nominees Limited is unable to calculate, or make actual such data. Pursuant to Part XV of the SFO, a Substantial Shareholder is required to give notice to SEHK and the Company on the occurrence of certain events including a change in the nature of its interest in shares such as the pledging of its shares. As at the end of the reporting period, the Company is not aware of any such notices from Substantial Shareholders under Part XV of the SFO.
HKSCC is the nominal holder of shares traded through Shanghai-Hong Kong Connect Programme.

III. Business Operation of Major Member Companies

(I) CPIC Life

CPIC Life achieved steady growth of both business volume and value, and maintained solid profitability. In the first half of 2025, the subsidiary recorded primary premium income of 168.009bn yuan, a year-on-year growth of 9.7%; net profits of 20.658bn yuan, a year-on-year growth of 3.0%.

As of the end of June 2025, its comprehensive solvency margin ratio was 215%, up by 5pt from the end of 2024, mainly due to impact of interest rate movements, capital market fluctuation, business development and changes to asset allocation, etc.. Of this,

(1) Actual capital amounted to 366.386bn yuan, up by 6.0%, or 20.876bn yuan from the end of 2024;

(2) Minimum capital 170.640bn yuan, up by 3.9%, or 6.327bn yuan from the end of 2024.

(II) CPIC P/C

In the reporting period, the subsidiary put profitability first, pursued high-quality development, with continued optimisation of business mix. It reported 112.760bn yuan in primary premium income, a year-on-year growth of 0.9%, and net profits of 5.733bn yuan, a growth of 19.6% from the same period of 2024. As of the end of June 2025, its comprehensive solvency margin ratio stood at 241%, up by 19pt from the end of 2024, mainly due to impact of interest rate movements, capital market fluctuation, business development and changes to

asset allocation. Of this,

(1) Actual capital amounted to 73.696bn yuan, up by 2.998bn yuan from the end of 2024, or a growth of 4.2%;

(2) Minimum capital 30.629bn yuan, down by 1.223bn yuan, or 3.8% from the

end of 2024.

(III) CPIC Health

The company maintained rapid business growth. During the reporting period, it realised 1.744bn yuan in insurance revenue and health management fee income, a growth of 39.3%; net profits reached 39mn yuan.

As of the end of June 2025, its comprehensive solvency margin ratio stood at 218%, down by 17pt from the end of 2024, mainly due to interest rate movements, capital market fluctuation, business development and changes to asset allocation. Of this,

(1) Actual capital amounted to 4.468bn yuan, up by 10.6%, or 428mn yuan from the end of 2024;

(2) Minimum capital 2.045bn yuan, up by 19.2%, or 329mn yuan from the end of 2024.

(IV) CPIC AMC

As of the end of June 2025, it posted 298.787bn yuan in third-party AuM, up by 1.6% from the end of 2024.

(V) Changjiang Pension

As at 30 June 2025, Changjiang Pension recorded 522.264bn yuan in thirdparty assets under trustee management, up by 8.5% from the end of 2024; 429.925bn yuan in third-party assets under investment management, up by 5.8% from the end of 2024.

(VI) Other member companies

As of the end of June 2025, total assets of CPIC Property reached 190mn yuan, with net assets of 148mn yuan; total assets of CPIC Technology reached 1.969bn yuan, with net assets of 704mn yuan.

IV. Solvency Statements

Solvency Statements of Insurance Holding Groups

Name:China Pacific Insurance (Group) Co. Ltd.

(30 June, 2025)

unit:10 thousand RMB yuan

Items	No. of lines	As at the end of the reporting period 1	As at the beginning of the reporting period 2
Actual capital	(1)=(2)+(3)+ (4)+(5)	53,447,813	50,374,512
Tier 1 core capital	(2)	34,349,036	33,786,832
Tier 2 core capital	(3)	4,220,957	2,020,919
Tier 1 supplement capital	(4)	14,859,146	14,556,259
Tier 2 supplement capital	(5)	18,675	10,502
Minimum capital	(6)=(7)+(21) +(22)	20,258,069	19,707,913
Minimum capital for quantitative risks	(7)=(8)+(9)+ (10)+(11)+(12) +(13)-(20)	20,495,568	19,938,945
Minimum capital for parent company	(8)	-	-
Minimum capital for insurance member companies	(9)	20,495,568	19,938,945
Minimum capital for banking member companies	(10)	-	-
Minimum capital for securities member companies	(11)	-	-
Minimum capital for trust member companies	(12)	-	-
Minimum capital for quantifiable group-specific risks	(13)=(14)+(15)	-	-
Minimum capital for risk contagion	(14)	-	-
Minimum capital for concentration risk	(15)=(16)+(17) +(18)-(19)	-	-
Minimum capital for concentration risk - counter parties	(16)	-	-
Minimum capital for concentration risk - industry	(17)	-	-

Items	No. of lines	As at the end of the reporting period 1	As at the beginning of the reporting period 2
Minimum capital for concentration risk - customers	(18)	-	-
Risk diversification effect	(19)	-	-
Decrease in required capital for risk diversification effect	(20)	-	-
Minimum capital for control risk	(21)	(237,499)	(231,032)
Supplement capital	(22)	-	-
Core solvency margin	(23)=(2)+(3) -(6)× 50%	28,440,958	25,953,795
Core solvency margin ratio	(24)= [(2)+(3)] / (6)× 100%	190%	182%
Comprehensive solvency margin	(25)=(1)-(6)	33,189,744	30,666,599
Comprehensive solvency margin ratio	(26)=(1)/(6) × 100%	264%	256%

Note: Decrease in required capital for risk diversification effect and supplement capital at the group level are yet to be defined by the regulator.

V. Management Analysis and Discussions

(I) Analysis of solvency margin ratio movements during the reporting period

As of the end of June 2025, Group comprehensive solvency margin ratio stood at 264%, up by 8pt from the end of 2024; core solvency margin ratio was 190%, up by 8pt from the end of 2024, mainly due to interest rate movements, capital market fluctuations, business development and changes to asset allocation. Of this,

1) Actual capital amounted to 534.5bn yuan, up by 30.7bn yuan from the end of 2024; core capital 385.7bn yuan, up by 27.6bn yuan from the end of 2024.

2) Minimum capital 202.6bn yuan, up by 5.5bn yuan from the end of 2024.

In short, Group solvency margin ratios stayed solid, all above regulatory minimum levels.

(II) Analysis of changes to IRR and Group risk status during the reporting period

The regulator is yet to carry out Integrated Risk Rating for insurance groups.

In the first half of 2025, the Group maintained sound and stable operation overall with effective implementation of its risk appetite. All the risk indicators remained stable, with overall risk under control. There was no occurrence of risk events with significant impact on its business operation or solvency in the reporting period.

Currently, the international landscape remains complex and challenging amid persistent trade frictions. China maintained stale economic growth, with technological advancement and industrial upgrade gaining momentum. The financial regulator continued to focus on tightening of supervision and risk prevention, and adopted a host of measures to boost high-quality development of the insurance industry. However, there is mounting pressure on asset liability matching amid the decline of interest rates; extreme weather events and natural disasters will drive up the combined ratio of P/C insurance business; pilot programmes of insurance fund investment and use of new technologies require more effective risk management.

In the face of such risks, we will stay prudent in our risk appetite to pursue highquality development based on effective risk control. We'll carefully handle risks and uncertainties in our business operation and leverage insurance as a "cushion of economic shocks" and a "social stabiliser". To this end, first, we'll adhere to value growth, enhance the role of risk appetite as a key constraint for business development and maintain high ratings at regulatory evaluation; second, focus on key risk areas, adopt a "look-through" approach, improve coordination in control of major risks to solidify the "lines of defence"; third, enhance digitalisation and use of AI technology, roll out on-line systems for risk identification, risk assessment, risk monitoring and risk early warning, so as to improve the effectiveness of forward-looking risk management in an all-around

way.

VI. Risk Management Capabilities

(I) Group solvency risk governance

The Company has established a broad-based risk management framework in which all parties involved play their due roles: the Board of Directors bears the ultimate responsibility, management provides direct leadership, risk management departments focus on coordination, and the 3 lines of defense closely work together. The boards of directors of the Group and its subsidiaries are the supreme authority in risk management of the organisation, and bear the ultimate responsibility for their respective risk management systems and status of operation. The board Risk Management Committee performs duty in risk management as is vested by the board. In the first half of 2025, the committee convened 2 meetings to review relevant risk management matters and reports.

The Company's Management Committee is mandated to organise and execute the Company's risk management activities. The Company set up the position of Chief Risk Officer, who reports to the board Risk Management Committee on risk management measures and risk status of the Company on a quarterly basis. The Management Committee has under it a Working Group of Risk & Compliance and Internal Audit.

The Group has set up the Risk Management Department responsible for coordinating daily work in risk management. All insurance/asset management member companies of the Group have set up Risk Management Departments, which coordinate and implement various decisions made by the management in the field of risk management, and organise, direct and supervise other departments in execution of daily risk management tasks determined by management. All the other functional departments of the Group and subsidiaries and their branches have appointed responsible persons for risk management and set up corresponding positions, who are responsible for the risk management

work within their scope of responsibility and communication with the risk management department.

The Group Internal Audit Centre audits, on an annual basis, the status and results of operation of the Group's solvency-aligned risk management system, as well as the status of implementation of risk management policies, and reports to the board.

(II) Risk management strategies and implementation

1. Risk management strategies

The overall risk management strategy of the Company is: in view of its development strategies, organisational structure and business characteristics, support and promote fulfillment of business objectives and strategic planning of the Company via a sound risk management system, rigorous risk management processes, and scientific risk management mechanisms and tools under the guidance of risk management objectives.

Risk management is a core element of the Company's operation and management. The Company takes a centralised approach to risk management and sets up an overarching risk management framework with centralised design of risk management organisational structure, unified risk management objectives and policies, unified core risk measurement tools, and unified design and development of risk management information systems to guide and supervise the Group's risk management work. While maintaining their independent risk governance and setting up necessary firewalls, each subsidiary is responsible for managing various risks within their business segment in accordance with the basic goals and policies, systems and processes, methods and tools of the Group's risk management.

2.Risk appetite systems and objectives

Based on its rules on risk appetite system, the Company formulates the Group Risk Appetite System, which is reviewed and updated on an annual basis when

necessary.

The Company adopts a "prudent" risk appetite, and cautiously manages various risks in its business operation. The Company and its insurance subsidiaries maintain a sufficient level of solvency, and pursue stable profitability and sustained value growth while ensuring appropriate liquidity, maintain a sound risk management status and market image. It continuously upgrades the risk control system that is compatible with its status as a listed company on SSE, SEHK, and LSE, integrates ESG requirements into the ERM system, with leadership in promoting healthy and stable development of the industry.

The Company's risk tolerance includes five core dimensions: maintaining adequate capital, pursuing stable profitability, achieving sustained value growth, ensuring appropriate liquidity, and maintaining a sound risk management status and a good market image. The Company sets overall risk limits and cascadesthem to its subsidiaries. Based on their respective business characteristics and needs, each subsidiary further breaks down the limits for various risks and applies them to daily business decisions, risk monitoring and early warning to achieve an optimal balance between risk management and business development.

3. Risk management tools

The Company uses a wide range of risk management tools, including risk management information system, comprehensive budgeting, asset liability management, capital planning and stress testing, etc., to manage the risks within the business scope of the Group and its major member companies. The Group and all its member companies have clearly defined their respective risk management plans and processes, and regularly monitor and supervise their implementation to ensure effective application of the tools.

To be specific, first, the Company set up a risk management information system to monitor key risk indicators and gradually achieve the transmission of financial

statements and data between business departments and branches. Second, it adopted comprehensive budgeting management, put in place relevant rules and policies, and formulated scientific business plans to help it achieve the mediumand long-term development objectives based on its overarching strategic plans, risk appetite, goals of sustainable value growth, and by means of budget preparation, implementation, analysis, adjustment and evaluation. The member companies effectively promote the implementation of comprehensive budgeting under the guidance of the Group. Third, in ALM, the Company formulated asset liability management rules, and continuously develops, implements, monitors and refines its asset liability management framework and strategies under its risk appetite and other constraints. Fourth, in terms of capital planning, the Company established a sound capital management system. In compliance with regulatory requirements, it assesses various risks and their capital requirements, putting in place a diversified capital replenishment mechanism to ensure that it is adequately capitalised to withstand risks and meet business development needs. The capital planning of each member company aligns with that of the Group. Fifth, in terms of stress testing, the Company adopted a coordinated stress testing model that is both unified and differentiated, whereby the Group Management Committee takes direct leadership, with clear division of responsibilities and close cooperation between relevant departments and member companies, ensuring highly-efficient implementation. The Group sets out unified objectives, methods and standards of stress testing, carries out stress testing for headquarters and the entire Group; while member companies are responsible for their respective stress testing work, as well as providing the required data and professional opinions as per Group stress testing requirements.

(III) Identification and assessment of Group-specific risks

1.Risk contagion

Risk contagion means that the risk of a member company may spread to other member companies of the same group through internal related party transactions or other means, thus causing unexpected losses to the group or other member companies. CPIC strictly controls related party transactions (RPTs), enhances risk quarantine mechanisms to minimise the risk of contagion. During the reporting period, relevant measures and their implementation status are as follows:

In term of related party transaction management, as per relevant regulatory requirements, the Company has in place, and continuously improves long-term mechanisms for RPT management, strengthens internal control and risk management to curb intra-Group risk contagion resulting from RPTs, pushes forward the building of RPT management systems, enhances accuracy and dataprocessing capacity of the RPT management process, in a bid to improve fullprocess, system-driven management. The Company formulated Regulations on Related Party Transactions and its Implementation Rules, established the board Risk Management and Related Party Transactions Control Committee, set up the cross-departmental Office of Related Party Transactions at management level, with clear definition of relevant management roles and responsibilities. During the reporting period, as per regulatory requirements, the Company continued to optimise risk limit indicators on major RPTs, further standardised RPT data filing and enhanced the overall management of related party transactions.

As for risk quarantine, in strict conformity with regulatory requirements, the Company put in place a risk quarantine system, formulated relevant rules and policies, specified requirements for "risk firewalls" in areas such as corporate management, financial management, fund management, business operation,

information management, personnel management, as well as brand & publicity, information disclosure, related party transactions and guarantee management; identified risk contagion routes, established and implemented prudent risk quarantine management mechanisms and measures. During the reporting period, the Company continued to update regulations and policies on risk quarantine management, completed self-review of risk quarantine in finance, guarantee and business operation; assessed, on a regular basis, status of risk quarantine management, with the key findings reported to senior management and the board Risk Management Committee.

2. Risk of opaque organizational structure

It refers to the risk that an insurance group's shareholding structure, management structure, operational process, business types, etc. are excessively complex and opaque, which may cause losses to the Group. In strict compliance with regulatory requirements, the Company revised and issued Regulations on Management of Opaque Organisational Structure and Policies on Equity Investment Management in 2024. Accordingly, the Company conducted risk assessment of shareholding structures prior to execution of equity investment, with review, assessment and reporting of the risk of opaque organisational structure of the entire Group on a regular basis. The status of the risk in the first half of 2025 is as follows:

As a publicly listed insurance holding group, CPIC maintains clear, transparent shareholding and management structures. There is no breach of limits on levels of shareholding or management hierarchy, nor is there any cross-shareholding or illegal subscription of capital instruments between its insurance member companies and other associated companies, or between insurance member companies.

In terms of organisational function, the Group and each of its subsidiaries have

established compatible organisational structures based on their respective strategic planning and business development needs, with a management matrix both vertically along corporate functions and horizontally across business units. There is a clear organisational boundary between the Group and its subsidiaries, which helped to avoid either overlapping of or gaps in functions, or overcentralisation of authority and powers, and helped to build work mechanisms with clear definition of roles and responsibilities, good coordination and checks and balances.

3.Concentration risk

Concentration risk refers to the risk of unexpected losses for an insurance group as a result of aggregation of individual risks or risk portfolios of member companies at the group level.

In terms of organisational support, the board of directors of the Company bears the ultimate responsibility for risk management including that of the concentration risk; the management is responsible for execution of risk management work including in concentration risk; the Company put in place centralised concentration risk management mechanisms led by the Risk Management Department, with collaboration from other functional departments. Departments under the framework implement concentration risk management at the Group level and provide guidance to major member companies on implementation. Major member companies coordinate with the Group in concentration risk management, and develop their own concentration risk management mechanisms for day-to-day implementation.

As for risk management strategy and implementation, in accordance with relevant regulatory requirements, CPIC formulates policies on concentration risk management, regularly identifies, evaluates, monitors and reports on different types of concentration risk along dimensions of transaction counter-parties,

underlying industries of investment assets, customers and business, so as to prevent or mitigate material adverse effects of concentration risk on the solvency or liquidity of the Group. The Company formulates and annually updates its risk appetite system, which includes upper limits on concentration risk, to be submitted to the board for approval. It conducts evaluation of the status of concentration risk management once every half year, to be reported to the board Risk Management Committee. Based on realities of its business operation and its risk profiles, the Company follows the status of concentration risk relating to investment counter-parties and the credit risk and financial situation of its major counter-parties.

In terms of risk status, during the reporting period, the overall concentration risk status was in the comfort zone and there was no breach of limits on any dimension. The credit-ratings of the Company's major investment counterparties remained stable. There was no occurrence of concentration risk incidents which may pose a material threat to the solvency or liquidity of the Company.

4. Non-insurance risk

The Company is positioned as "a pure insurance player", and therefore its noninsurance business and investments focus on areas of health care, elderly care and technology, which aims to promote synergy across industries, boost integrated supply of insurance products and related services, foster competitive edge in niche markets and ultimately improve its overall competitiveness. In terms of investment by non-insurance member companies, CPIC has established an equity investment management system for non-insurance areas based on equity shareholding and corporate governance system. It has set up an investment decision-making committee under senior management to organise, coordinate and supervise major equity investments of its member companies, which helped to ensure that such investments are in compliance with both regulatory requirements and internal policies of the Group, and are aligned with the risk appetite and risk limits of the Company in non-insurance areas.

In management of its non-insurance business, CPIC strictly complies with relevant regulations and its own polices such as Regulations on Management of Non-Insurance Subsidiaries and Regulations on Non-Insurance Businesses, which were amended and issued in 2024. It monitors business and risks, regularly evaluates the risk exposure of non-insurance investments and their impact on solvency, with reports reviewed by the board Risk Management Committee. It also monitors the alignment of non-insurance business and the Group's overall strategic direction, with timely assessment and adjustment, if necessary, of the development strategies of its non-insurance business. The Company has also set up asset and liquidity quarantine mechanisms between its insurance and noninsurance member companies to ensure that investments in non-insurance member companies will not harm the interests of policyholders.

(IV). Results of SARMRA assessment

In 2022, the regulator conducted an on-site SARMRA assessment of the Company, and the result was 81.77 points. It consisted of 12.28 points for solvency risk governance, 12.76 for risk management strategies and implementation, 9.88 for risk contagion management, 9.6 for risk management of opaque organisational structure, 10.06 for concentration risk management, 9.27 for non-insurance risk management, 8.35 for other risk management, and 9.57 for capital management.

VII. Integrated Risk Rating

(I) IRR results of the previous 2 quarters

Not applicable. The regulator is yet to carry out Integrated Risk Rating for insurance groups.

(II) Remedial actions taken or to be taken

Not applicable.

Summary of Quarterly Solvency Report (Excerpts)

China Pacific Property Insurance Co., Ltd.

2nd Quarter of 2025

Company overview and contact information

Company name (Chinese):	中国太平洋财产保险股份有限公司
Company name (English):	China Pacific Property Insurance Company Limited
Legal representative:	YU Bin
Registered address:	South Tower, Bank of Communications Financial Building, 190 Middle Yincheng Road, China (Shanghai) Pilot Free Trade Zone, Shanghai, the PRC
Registered capital:	19.948bn yuan
Business license number:	000014
Date opening for business:	November 2001
Business scope:	Property indemnity insurance; liability insurance; credit and guarantee insurance; short-term health and personal accident insurance; reinsurance of the above said insurance; insurance funds investment as approved by relevant laws and regulations; other business as approved by the CIRC.
Business territories:	The People's Republic of China (excluding Hong Kong, Macao and Taiwan)
Contact person:	CHEN Mo
Tel. number: Office	021-33966153
Cell phone:	13564760117
Email:	[email protected]

I. BOARD AND MANAGEMENT STATEMENT··············································4
II. BASIC INFORMATION··········································································5
III. KEY INDICATORS··············································································15
IV. RISK MANAGEMENT CAPABILITIES····················································19
V. INFORMATION ON IRR (DIFFERENTIATED SUPERVISION)·····················20
VI. MANAGEMENT ANALYSIS AND DISCUSSIONS ····································23

I. Board and management statement

The report has been approved by the board of directors. The board and senior management of the Company warrant that the contents of this report are true, accurate and complete and have fully complied with applicable laws and regulations, and that there is no false representation, misleading statement or material omissions; and they severally and jointly accept responsibility for the contents of this report.

Name of directors	For	Against	Abstain
YU Bin	√
SU Shaojun	√
ZHANG Yuanhan	√
CHEN Hui	√
CHEN Wei	√
Total	5

Voting results by directors
Are there directors who cannot warrant that the contents of this report are true, accurate and complete and have fully complied with applicable laws and regulations, or who have raised issues in this regard? (yes□no■)

II. Basic information

(I) Ownership structure, shareholders and change during the reporting period

	As at the end of the preceding period		Change during the reporting period			As at the end of the reporting period
Types of shareholding	Shares	Percentage (%)	Shareholder injection	Transfer from capital reserve and share dividends distribution	Share transfer	Subtotal	Shares	Percenta ge (%)
State	29,895	1.5	-	-	-	-	29,895	1.5
Private legal persons	-	-	-	-	-	-	-	-
Foreign	-	-	-	-	-	-	-	-
Natural persons	-	-	-	-	-	-	-	-
Others
(listed companies)	1,964,914	98.5	-	-	-	-	1,964,914	98.5
Total	1,994,809	100	-	-	-	-	1,994,809	100

1.Ownership structure (unit: 10,000 shares)

2.De facto controller

The Company has no de facto controller. China Pacific Insurance (Group) Co., Ltd. is the majority shareholder of the Company, holding 98.5% of the stake.

3.Shareholding information (by descending order of shareholding percentage as of the end of the reporting period, unit: share)

Names of shareholders	Types of shareholders	Change during the reporting period	Shares held at the end of the reporting period	Shareholding percentage at the end of the reporting period (%)	Shares pledged or in lock-up
China Pacific	Others
Insurance (Group) Co., Ltd.	(listed company)	——	19,649,137,578	98.50	None
Shenergy (Group) Co., Ltd.	State-owned	——	93,106,180	0.47	None
Shanghai Haiyan	State-owned	——	92,846,189	0.46	None

Names of shareholders	Types of shareholders	Change during the reporting period	Shares held at the end of the reporting period	Shareholding percentage at the end of the reporting period (%)	Shares pledged or in lock-up
Investment Management Company Limited
Yunnan Hehe (Group) Co., Ltd.	State-owned	——	61,049,510	0.31	None
Shanghai State-owned Assets Operation Co., Ltd.	State-owned	——	51,948,193	0.26	None
Total	——	——	19,948,087,650	100	——
Related party relations among shareholders			Of the 5 shareholders of the Company, with the exception of CPIC Group, all are concurrently shareholders of CPIC Group. Other than that, the Company is not aware of any related-party relations between its shareholders.

Shareholding by directors, supervisors and senior management

Was there shareholding by directors, supervisors and senior management as at
the end of the reporting period?	(Yes□	No■)

5.Share transfer

Was there any share transfer during the reporting period? (Yes□ No■)

(II) Directors, supervisors and senior management and the changes thereof

Basic information on directors, supervisors and senior management at head-office level

(1). Directors

Mr. YU Bin, born in August 1969, holds a master's degree. He has been serving as Chairman of the Company since June 2025 (approval document: NFEA [2025] No. 337). Mr. YU currently also serves as Vice President of CPIC Group and Chairman of CPIC Technology. Previously, Mr. YU served as Deputy General Manager of the Non-Marine Insurance Department, Deputy General Manager of Underwriting and Claims Department, General Manager of Market Development & Research Centre, General Manager of Marketing Department, Chief Marketing Officer, Deputy General

Manager of the Company, Executive Director & General Manager of CPIC Online, and Assistant President of CPIC Group.

Mr. SU Shaojun, born in February 1968, has a Ph.D degree and the designation of Senior Engineer. He has been serving as Director of the Company since May 2021 (approval document: CBIRC [2021] No. 377). Mr. SU currently serves as Board Secretary of CPIC Group and Director of CPIC Life. He previously served as Assistant General Manager, Deputy General Manager of Underwriting Department of CPIC P/C, Deputy General Manager, General Manager of CPIC P/C Beijing Branch, General Manager of Development and Planning Department of CPIC P/C, head of the Board Office, head of the Office of the Board of Supervisors of CPIC P/C, General Manager of Tele-marketing Centre of CPIC P/C, head of the Strategic Research Centre and Deputy Director of Transformation of CPIC Group.

Mr. ZHANG Yuanhan, born in November 1967, holds a master's degree and is a director of China Association of Actuaries, a member of the Society of Actuaries and American Academy of Actuaries. He has been serving as Director of the Company since March 2018 (approval document: CBIRC [2018] No.68). Mr. ZHANG is also the Chief Actuary of CPIC Group and Director of CPIC Health. He previously served as Chief Actuary, Deputy General Manager and Vice President of MetLife Insurance Company Limited (Shanghai), Chief Actuary of Sino Life Insurance Co., Ltd., Deputy General Manager, CFO and Chief Actuary of Sun Life Everbright Life Insurance Co., Ltd., Director of Sun Life Everbright Asset Management Co., Ltd., Director of CPIC AMC, Chief Actuary of CPIC Health, Director of CPIC Life and Finance Responsible Person of CPIC Group.

Mr. CHEN Hui, born in February 1969, holds a master's degree and the designation of Accountant. He has been serving as director of the Company since November 2024 (approval document: NFRA [2024] No. 753). He currently serves as General Manager of the Company. His previous roles include Assistant General Manager and Deputy General Manager of Beijing Branch of CPIC P/C, Deputy General Manager of Hebei Branch of CPIC P/C, General Manager of Human Resources Department, Chief Human Resources Officer, Compliance Responsible Person and Chief Risk Officer of the Company. Previously, Mr. CHEN worked at Beijing Coal Company.

Mr. CHEN Wei, born in April 1967, holds a master's degree and designation of engineer. He has been serving as director of the Company since March 2025 (approval document: NFRA[2025] No. 138). Mr. Chen currently serves as Compliance Responsible Person, Chief Risk Officer of CPIC Group, and Director of CPIC AMC. His previous roles include Chief Representative of CPIC Group London Rep. Office, Director and General Manager of CPIC HK, Board Secretary/General Manager of Strategic Planning Department, Internal Audit Director, Internal Audit Responsible Person, Chief Internal Auditor and Chief Administration Officer of CPIC Group, Board Secretary of CPIC Life, Chairman of the Board of Supervisors of CPIC AMC, General Manager/Director of CPIC Health.

(2). Supervisors

Mr. ZHANG Weidong, born in October 1970, holds a bachelor's degree. He has been serving as Chairman of the Board of Supervisors of the Company since March 2024 (approval document: NFRA[2024] No.139). Mr. ZHANG currently serves as Chief Internal Auditor, General Counsel, Internal Audit Responsible Person of CPIC Group, Chairman of the Board of Supervisors of CPIC Life and Director of CPIC Health. Mr. ZHANG previously served as General Manager of Legal and Compliance Department, head of the Board Office of CPIC Group, Director and Board Secretary of CPIC P/C, Director and Board Secretary of CPIC Life, Director and Board Secretary of CPIC AMC, Risk & Compliance Officer, General Manager of Risk Management Department, Chief Risk Officer and Compliance Responsible Person of CPIC Group, Director of Changjiang Pension.

Mr. CAO Junhua, born in March 1966, has a Ph.D degree. He has been serving as Supervisor of the Company since May 2021 (approval document: CBIRC [2021] No. 376). Mr. CAO currently serves as General Manager of the Internal Audit Department (East China) of the Internal Audit Centre of CPIC Group, and Supervisor of Pacific Insurance Elderly Care Investment Management Co., Ltd. Previously, he served as head of Secretariat of General Office of CPIC Life, Deputy Section Chief of Board Office of CPIC Group, Assistant General Manager of CPIC P/C Suzhou Branch, Deputy General Manager of Legal & Compliance Department of CPIC P/C Suzhou Branch, head of Specialised Capacity-building Team of Internal Audit Centre of CPIC Group, Deputy

General Manager (in charge), General Manager of Audit Department (North China) of Audit Centre of CPIC Group, Deputy Chief of Party Discipline Inspection Team of CPIC Group, and Internal Audit Responsible Person of CPIC AMC.

Ms. RUAN Yuhong¹ , born in April 1970, holds a bachelor's degree, with designation of Account, CPA. She has been serving as Employee Supervisor of the Company since January 2023 (approval document: CBIRC [2023] No. 20). Ms. RUAN previously served as General Manager of Finance Department, General Manager of Finance Department / Asset Management Department of the Company; General Manager of Auditing Department, General Manager of Finance Department, Deputy General Manager, and Chairman of Workers' Union of Ningbo Branch of the Company.

(3) Senior management at head-office level

Mr. CHEN Hui, born in February 1969, holds a master's degree and the designation of Accountant. He has been serving as Director and General Manager of the Company since November 2024 (approval documents: NFRA [2024] No. 753 and No. 779 respectively). His previous roles include Assistant General Manager and Deputy General Manager of Beijing Branch of CPIC P/C , Deputy General Manager of Hebei Branch of CPIC P/C, General Manager of Human Resources Department, Chief Human Resources Officer, Compliance Responsible Person and Chief Risk Officer of the Company. Previously, Mr. CHEN worked at Beijing Coal Company.

Mr. SONG Jianguo, born in December 1966, holds a master's degree. He has been serving as Deputy General Manager of the Company since August 2012 (approval document: CIRC P/C Insurance [2011] No. 380). He currently also serves as Chairman of CPIC Anxin Agricultural. Previously he served as head of Business Section of Overseas Business Department, Deputy Manager and Manager of Overseas Business Department, and Assistant General Manager of CPIC Hai'nan Branch, Deputy General Manager, General Manager of Hai'nan Branch of the Company, General Manager of the Property and Liability Insurance Department, General Manager of Shandong

¹ Ms. RUAN Yuhong ceased to serve as Employee Supervisor of the Company due to retirement. The Workers' Assembly of the Company has elected new Employee Supervisor. In light of the minimum requirement for the number of supervisors by Chinese laws and regulations, Ms. Ruan continued to perform her duty as Employee Supervisor until her successor obtains the appointment qualifications approval from the regulator.

Branch, head of Sales (Channel Building and Cooperation) and Deputy General Manager (Agricultural Insurance) of the Company. Prior to that, Mr. SONG worked at the Hainan Branch of the Bank of Communications.

Mr. SHI Jian, born in November 1973, holds a bachelor's degree, and has been serving as Deputy General Manager, Chief Compliance Officer (approval document: NFRA [2025] No. 279), and Chief Risk Officer of the Company since April 2025. Previously he served as General Manager of Business Management Department, General Manager of Market Development Department and General Manager of Product Development and Reinsurance Department of Shanghai Anxin Agricultural Insurance Co., Ltd.; Assistant President, Vice President, Board Secretary, Executive Director, President (General Manager) of Anxin Agricultural Insurance Co., Ltd.; Deputy Marketing Director and General Manager of Strategic Account Department of CPIC Group, General Manager and Director of CPIC Anxin Agricultural. Before that, Mr. Shi worked at the Shanghai Branch of China Life.

Mr. CHEN Sen, born in October 1970, holds a master's degree and has been serving as Deputy General Manager of the Company (approval document: CBIRC [2021] No. 497) since August 2021. He has been serving as Chief Actuary of the Company since October 2015 (approval document: CIRC [2015] No. 949). Currently, Mr. CHEN also serves as Director of CPIC HK. Previously, he served as Deputy General Manager, Finance Responsible Person and Chief Actuary of China Property & Casualty Reinsurance Company Limited, Finance Responsible Person of the Company, and Director of CPIC Anxin Agricultural. Prior to that, Mr. CHEN worked at the New York Headquarters of Guy Carpenter & Company and the North American Headquarters of Swiss Re.

Mr. SU Zhanwei, born in June 1966, holds a master's degree and has been serving as Deputy General Manager of the Company since June 2022 (approval document: CBIRC Shanghai [2019] No. 841). Previously, Mr. SU served as Assistant General Manager, Deputy General Manager, and General Manager of CPIC P/C Henan Branch, head of General Administration/Board Office/Office of the Board of Supervisors of the Company, General Manager of Corporate Customer Department/Bancassurance Department, and Assistant General Manager of the Company.

Mr. LI Chao, born in March 1981, holds a master's degree, and has been serving as Deputy General Manager of the Company since September 2024 (approval document: NFRA [2024] No.626). Prior to this, Mr. LI served as Deputy General Manager of Tianjin Branch, Deputy General Manager (in charge) and General Manager of Small- and Medium-Sized Customer Business Department, General Manager of Corporate Customer Department/Bancassurance Department, General Manager of Heilongjiang Branch, and Assistant General Manager of CPIC P/C.

Mr. LIU Zengbo, born in December 1975, holds a master's degree. He has been serving as Deputy General Manager, Finance Responsible Person and Board Secretary of the Company since April 2025. Mr. Liu previously served as Deputy General Manager of Strategic Planning & Investor Relations Department, General Manager of Internal Audit Centre/Audit Technology Department, General Manager of Investment Audit Department of CPIC Group; General Manager of Finance Department of CPIC P/C; Internal Audit Responsible Person of CPIC AMC; Deputy General Manager and Finance Responsible Person of CPIC Capital.

Mr. HUANG Yao, born in December 1978, holds a master's degree. He has been serving as Assistant General Manager of the Company since July 2024 (approval document: NFRA [2024] No.471). Mr. HUANG also serves as General Manager of the New Energy Vehicle Development Center of the Company. Mr. HUANG previously served as Deputy General Manager and General Manager of Shenzhen Business Department of Pacific Online Service Technology Co., Ltd., Party Secretary/ General Manager of CPIC P/C Suzhou Branch, and General Manager of Agency Business Department of Individual Customers Center of the Company.

Mr. Wu Bo, born in June 1970, holds a doctorate degree. He has been serving as Assistant General Manager of the Company since August 2021 (approval document: CBIRC [2021] No. 591). Mr. WU previously served as Assistant General Manager, Deputy General Manager, General Manager of CPIC P/C Shandong Branch, General Manager of CPIC P/C Beijing Branch, and Director of the Company's Beijing-Tianjin-Hebei Regional Coordinated Development.

Mr. YE Mingman, born in October 1975, holds a master's degree. He has been serving as Assistant General Manager of the Company since July 2024 (approval document: NFRA [2024] No. 473). Mr. YE also serves as General Manager of the Online Platforms

Department of Individual Customers Center of the Company. Mr. YE previously served as Director of Market Development (Individual Customers) of the Company, member of CPC Committee/Assistant General Manager of CPIC P/C Xiamen Branch, Deputy General Manager of Telemarketing Business Unit of the Company, General Manager of CPIC Online Shangdong Branch, General Manager of Channels Cooperation Department of the Company, General Manager of Telemarketing Center of the Company, Executive Deputy General Manager, Executive Director and General Manager of CPIC Online, Executive Director and General Manager of CPIC Insurance Agency.

Mr. XU Feng, born in July 1973, has a master's degree. He has been serving as Assistant General Manager of the Company since April 2025 (approval document: NFRA [2025] No.276), concurrently serving as head of Regional Integrated Development (the Yangtze River Delta), General Manager of Shanghai Headquarters, and General Manager of Shanghai Branch of the Company. Previously, Mr. XU served as Deputy General Manager of the Shipping Insurance Operations Centre, General Manager of the Shipping Insurance Business Unit, General Manager of the Overseas Business Department / Aerospace & Maritime Business Centre, and deputy head of the Shanghai Headquarters Preparatory Team of CPIC P/C.

Mr. LEI Dapeng, born in May 1974, holds a bachelor's degree. He has been serving as Assistant General Manager of the Company since April 2025 (approval document: NFRA [2025] No. 278). Previously, Mr. LEi served as Deputy General Manager of CPIC P/C Hubei Branch, General Manager of CPIC P/C Gansu Branch, and General Manager of CPIC P/C Suzhou Branch.

Mr. SU Jinhua, born in November 1975, holds a master's degree and the designation of engineer. He has been serving as Assistant General Manager of the Company since April 2025 (approval document: NFRA [2025] No. 277). Previously, Mr. SU served as Deputy General Manager of CPIC P/C Suzhou Branch, General Manager of CPIC P/C Ningbo Branch, General Manager of CPIC P/C Zhejiang Branch, and deputy head of Regional Integrated Development (the Yangtze River Delta) of CPIC P/C.

Mr. CHEN Yingjie, born in November 1967, holds a master's degree and designation of engineer. He has been serving as Internal Audit Responsible Person of the Company since May 2023 (approval document: CBIRC [2023] No. 277). Previously he served as member of the Party Committee and Deputy General Manager of Liaoning Branch, Party Secretary and General Manager of Heilongjiang Branch, Party Secretary and General Manager of Sichuan Branch of CPIC P/C.

2.Changes to directors, supervisors and senior management of headquarters

Are there changes to the directors, supervisors and senior management during the reporting period? (Yes■ No□)

Position	Predecessor	Incumbent
Chairman	-	YU Bin
Interim Compliance Responsible Person, Interim Chief Risk Officer	SHI Jian	-
Interim Finance Responsible Person, Interim Board Secretary	LIU Zengbo	-
Deputy General Manager	-	SHI Jian, LIU Zengbo
Compliance Responsible Person, Chief Risk Officer	-	SHI Jian
Finance Responsible Person, Board Secretary	-	LIU Zengbo
Assistant General Manager	-	XU Feng, LEI Dapeng, SU Jinhua

(III) Subsidiaries, joint ventures or associates

Were there subsidiaries, joint ventures or associates as at the end of the reporting period? (Yes■ No□)

	Number of shares (10,000)			Percentage of shareholding (%)
Name of companies	As at the end of Q1 2025	As at the end of Q2 2025	Change	As at the end of Q1 2025	As at the end of Q2 2025	Change (pt)
Subsidiaries
Pacific Anxin Agricultural Insurance Co., Ltd.	73,206	73,206	-	67.78%	67.78%	-
China Pacific Insurance Co. (H.K.) Limited	-	25,000	25,000	-	100.00%	100.00%

	Number of shares (10,000)			Percentage of shareholding (%)
Name of companies	As at the end of Q1 2025	As at the end of Q2 2025	Change	As at the end of Q1 2025	As at the end of Q2 2025	Change (pt)
Joint ventures
Shanghai Juche Information Technology Co., Ltd.	148	148	-	25.20%	25.20%	-
Zhongdao Automobile Assistance Co., Ltd.	1,280	1,280	-	20.32%	20.32%	-
Shanghai Lexiang Sijin Technology Joint-stock Co. Ltd.	369	369	-	5.36%	5.36%	-
Associates
CPIC Euler Hermes Credit Insurance Sales Co., Ltd	2,550	2,550	-	51.00%	51.00%	-
Shanghai Binjiang-Xiangrui Investment and Construction Co., Ltd.	1,071	1,071	-	35.70%	35.70%	-

Note: In the first half of 2025, China Pacific Insurance Co. (H.K.) Limited reported HKD505 mn in written premiums, with a net profit of HKD39 mn. As of the end of Q2, under HKRBC, its actual capital was HKD396 mn, the minimum capital was HKD327 mn, and solvency margin ratio of 121.3%.

(IV) Breaches

Did the Company receive any administrative penalties from financial regulators during the reporting period? (Yes■ No□)

Between April 1 and June 30, 2025, branch offices of the Company received 9 administrative penalties from the insurance regulator, imposing 2.56mn yuan in fines on branches and 0.509mn yuan in fines on individuals, totalling 3.069mn yuan. Misconduct mainly concerned falsification of expenses, falsification of brokerage business for expense-booking, contracting out insurance sales to unlicensed entities, failure to abide by insurance rates, terms and clauses as filed with the regulator, and conducting business in unlicensed regions.

Did the directors, senior management receive administrative penalties from financial regulators during the reporting period? (Yes□ No■)
Was there any misconduct or breaches by the company, its directors and senior management which triggered judicial proceedings during the reporting period?

(Yes□ No■)

Did the Company receive any regulatory measures from the NFRA (previously CBIRC) during the reporting period? (Yes□ No■)

II. Key Indicators

(I) Key solvency metrics

Unit: RMB yuan 10,000

Items	As at the end of Q2 2025	As at the end of Q1 2025	Estimates for next quarter under base scenario
Admitted assets	28,784,334	27,900,778	28,274,978
Admitted liabilities	21,414,694	20,684,701	20,794,792
Actual capital	7,369,641	7,216,076	7,480,186
Tier 1 core capital	5,998,676	5,841,993	6,109,221
Tier 2 core capital	-	-	-
Tier 1 supplement capital	1,370,965	1,374,083	1,370,965
Tier 2 supplement capital	-	-	-
Minimum capital	3,062,917	3,002,477	3,130,118
Minimum capital for quantifiable risks	3,103,325	3,042,087	3,182,210
Minimum capital for control risk	-40,408	-39,610	-52,092
Supplement capital	-	-	-
Core solvency margin	2,935,759	2,839,517	2,979,103
Core solvency margin ratio (%)	195.8%	194.6%	195.2%
Comprehensive solvency margin	4,306,724	4,213,600	4,350,068
Comprehensive solvency margin ratio (%)	240.6%	240.3%	239.0%

(II) Liquidity risk indicators

1. Regulatory indicators for liquidity risk

Items		As at the end of/ during Q2 2025	As at the end of/ during Q1 2025
Net cash flows (RMB 10,000)	YTD		528,860	368,292
	FY 2024		-242,847	-242,847
	FY 2023		346,474	346,474
Liquidity Coverage Ratio (%)	LCR1	Next 3 months	114.4%	113.7%
		Next 12 months	106.1%	104.2%
	LCR2	Next 3 months	249.0%	279.5%

Items		As at the end of/ during Q2 2025	As at the end of/ during Q1 2025
		Next 12 months	127.3%	125.0%
	LCR3	Next 3 months	70.5%	85.2%
		Next 12 months	76.1%	74.8%
Retrospective Over the previous 2 quarters adverse deviation ratio of net cash flows from business activities (%)		224.8%	851.5%
	Over the previous quarter		769.2%	224.8%

2. Other indicators of liquidity risk

	Items	As at the end of Q2 2025/YTD	As at the end of Q1 2025/YTD
	Net cash flow from operating activities (RMB 10,000)	1,180,749	483,269
	Net cash flow from operating activities per 100 yuan in premiums (RMB yuan)	10.5	7.7
Liabilities	Ratio of cash outflow from business of special types(%)	2.6%	1.8%
	Written premium growth year-on-year(%)	0.8%	0.9%
	Ratio of cash and liquidity management instruments(%)	3.2%	2.8%
	Quarterly average financing gear(%)	1.0%	1.8%
Assets	Share of domestic fixed income assets with external rating of AA and below(%)	0.2%	0.2%
	Proportion of shares representing over 5% of the stake of listed companies(%)	0.0%	0.0%
	Ratio of fund receivables(%)	14.8%	15.9%
	Ratio of assets of related parties held(%)	4.6%	3.3%

Ratio of cash outflow from business of special types: Ratio of cash outflow from business of special types = (Claim expenses of special-type business + Claim reserves of special-type business)÷(Total claim expenses + Total claim reserves) ×100%. Business of special types includes financing guarantee insurance business and non-auto business that accounts for more than 5% of total claim expenses, and the latter refers to non-auto insurance business that incurs, due to catastrophes or major claims, estimated or actual claim expenses after reinsurance exceeding 5% of total non-auto claim expenses of the previous year.

Ratio of receivables (%): Ratio of receivables= (Premium receivables + Reinsurance receivables) ÷ Total assets by the end of the reporting period × 100%. Premium receivables, reinsurance receivables and total assets refer to their respective book value as at the end of the reporting period.

Ratio of assets of related parties held: Ratio of assets of related parties held = Total investment assets of related parties held ÷ Total assets as at the end of the reporting period × 100%, excluding related-party transactions between the insurance company and the insurance group that it belongs to or between subsidiaries of the insurance group.

(III) Key business metrics

Indicators	As at the end of/ during Q2 2025	As at the end of Q2 2025/YDT
Gross written premiums	5,051,283	11,382,889
Net profit	369,466	573,340
Total assets	24,438,881	24,438,881
Net assets	6,559,386	6,559,386
Insurance contract liabilities	14,260,841	14,260,841
Basic earnings per share (RMB yuan)	0.2	0.3
ROE (%)	5.7	8.9
ROA (%)	1.5	2.4
Investment yield (%)	1.0	1.7
Comprehensive investment yield (%)	2.1	2.4
Combined ratio (%)	95.2	96.0
Expense ratio (%)	25.2	24.8
Loss ratio (%)	70.0	71.1
Proportion of commissions & brokerage expenses (%)	8.2	8.1
Proportion of operating & administrative expenses (%)	16.9	14.7
Written premiums	5,253,478	11,585,642
Written premiums of auto insurance	2,838,030	5,682,314
Written premiums of top 5 non-auto	2,085,561	5,161,355

Unit: RMB yuan 10,000

Indicators	As at the end of/ during Q2 2025	As at the end of Q2 2025/YDT
insurance business lines
Largest non-auto insurance business line	330,901	1,531,243
Second largest non-auto insurance business line	809,936	1,411,723
Third largest non-auto insurance business line	583,803	1,321,840
Fourth largest non-auto insurance business line	178,725	506,492
Fifth largest non-auto insurance business line	182,196	390,055
Average premium of auto insurance (RMB yuan)	2,892	2,789
Written premiums by channels	5,253,478	11,585,642
Agency	3,092,621	6,347,124
Direct	1,401,628	3,555,195
Brokerage	759,229	1,683,323
Others	-	-

Note: 1. All calculation of reserves was based on financial statements; the expense ratio, the loss ratio and combined ratio were based on earned premiums; comprehensive investment yield includes changes in fair value of AFS assets, which is not included in calculation of investment yield.

Net profit, total assets, net assets, and insurance contract liabilities listed a bove were based on Accounting Standard for Business Enterprises No. 22 - Recognition and Measurement of Financial Instruments revised and promulgated by the Ministry of Finance in 2017, and Accounting Standard for Business Enterprises No. 25 - Insurance Contracts revised and promulgated by the Ministry of Finance in 2020; basic earnings per share, ROE and ROA were calculated in accordance with the formula prescribed by Article 24 of Solvency Regulatory Standards of Insurance Companies No. 18 - Solvency Report, based on results of afore-mentioned indicators.

(IV) (Comprehensive) Investment yields in the past 3 years
------------------------------------------------------------	--	--

Indicators	YTD
Average investment yield in the past 3 years (%)	3.66
Average comprehensive investment yield in the past 3 years (%)	4.50

Note: As per Notice on Optimising Standards for Solvency Regulation of Insurance Companies by National Administration of Financial Regulation (NAFR [2023] No. 5), insurance companies shall disclose the average investment yield and average comprehensive investment yield in the past 3 years, based on the formula of: [(1+(comprehensive) investment yield in the most recent year)*(1+(comprehensive) investment yield in the second most recent year)*(1+(comprehensive) investment yield in the third most recent year]^(1/3)-1.

III. Risk management capabilities

(I) Classification of insurance companies

As per rules on classification of insurance companies in Solvency Regulatory Standards No.12: Solvency-aligned Risk Management Requirements and Assessment, the Company, established on 9 November 2001, is a Category I insurance company. In 2024, its annual written premiums amounted to 209.85bn yuan; total assets stood at 262.74bn yuan; there are 38 provincial-level branch offices.

(II) Measures taken to improve risk management and status during the reporting period

First, we made great efforts in disaster prevention and mitigation during the flood season. To achieve our strategic plan for sustainable high-quality development, we enhanced our risk management capabilities through coordinated efforts in risk assessment, underwriting and claims settlement, and further improved our integrated services combining risk prevention, risk reduction, damage control, post-disaster relief and claims settlement to minimise the impact of typhoons, heavy rainfalls and floods. We made disaster prevention and mitigation plans for the flood season in 2025, and held the 2025 disaster response drill and a mobilisation meeting, so as to support flood control, drought relief, and emergency rescue efforts.

Second, we enhanced our risk reduction capabilities. We hosted the Insights and Leadership: Property Insurance Risk Reduction Symposium, which facilitated multi-dimensional dialogues between the government, academia and insurance industry, established a communication platform for risk reduction management. During the Western China International Fair, the Company organised the Climate Insurance Practice and Innovation Forum, unveiling Tai Bao Yun Shu, its integrated meteorological disaster risk solution. This industry-first solution is an end-to-end management system that features "comprehensive coverage, disaster prevention, risk mitigation, disaster relief, and post-disaster compensation", leveraging technology to strengthen climate risk resilience. Additionally, during the 5th Risk and Compliance Month campaign, we organised a contest for best cases of risk reduction, featuring speeches, Q&A sessions and debates, as well as a branch-level emergency drill competition to validate the operability and effectiveness of multiple contingency plans in complex scenarios.

Third, we performed all-around risk screening for potential flaws and vulnerabilities. We implemented comprehensive risk early-warning work plans released by the Shanghai SASAC and CPIC Group; strengthened risk monitoring and front-line-driven early-warning management in light of the Company's internal management needs, risk appetite framework and limits, focusing on key risk areas such as credit risk, reputational risk, and emergency management. We conducted monthly risk monitoring, ad-hoc reporting of major incidents, and semi-annual self-inspections of material matters in compliance with the PBoC requirements to manage potential risks.

(III) Results of the most recent solvency risk management valuation

In 2021, the regulator conducted SARMRA assessment of the Company, which scored 83.94 points. Of this, infrastructure and environment of risk management was 82.19 points, targets and instruments of risk management was 82.35 points, insurance risk management was 86.4 points, market risk management was 81.68 points, credit risk management was 86 points, operational risk management was 84.44 points, strategic risk management was 86.12 points, reputation risk management was 84.53 points, liquidity risk management was 83.54 points.

(IV) Status of SARMRA self-assessment

Not applicable in the quarter.

IV. Information on IRR (differentiated supervision)

(I) Results of IRR in the previous 2 quarters

The Company was rated AA at the IRR for both Q4 of 2024 and Q1 of 2025.

As per regulatory requirements, it briefed the board on regulatory feed-backs over IRR results, with follow-up analysis of the status of rectification.

(II) Status of various risks of the Company

1.Operational risk

In the quarter, the Company strengthened compliance management as per relevant regulatory requirements, and made solid progress in management of operational risk and money-laundering risk, with related risks staying under control. The following was done in operational risk management:

First, we conducted a comprehensive review of the Company's rules and policies in 2025. Reviewed and cross-referenced the Regulatory Compliance Checklist, List of Deficiencies in Soundness of Rules as Identified by Internal /External Audits, and List of Audit Findings on Gaps in Rules Adherence, at both HQ and branch level to assess all in-force corporate policies along four critical dimensions: completeness, timeliness, enforceability, and alignment.

Second, implemented the Compliance Management Regulations for Financial Institutions. In the second quarter, the Company took various measures to communicate and explain the regulations to its employees, including senior executives, branch offices, compliance personnel and pushed for improvement its compliance management organisational structure.

Third, adopted a differentiated approach towards risk & compliance management of branch offices. Developed a quantitative indicator system for differentiated control and oversight strategies, and built a risk compliance management system featuring differentiated evaluation, targeted measures and continuous improvement.

Fourth, stepped up supervision and rectification efforts through collaboration across the 3 lines of defense. We reviewed and analysed audit findings, implemented system-driven remedial actions including follow-ups, dual-track verification and the mechanism for their removal from the system upon completion of rectification.

Fifth, launched the 5th Risk & Compliance Month campaign under the theme of "Striving for Highest Standards in Risk Control". The event featured various activities, including Smart Risk & Compliance Tools Competition, Contest for Seed Institutions, Campaign on Critical Issues, Compliance Commitment Signing, Risk Control Masterclasses, and Regional Compliance Training. The programme aims to cultivate a compliance-driven culture at all levels and reinforce employees' commitment to compliance.

Sixth, conducted a self-assessment on anti-money laundering (AML) as required by the People's Bank of China; completed an awareness and education campaign for the newly-revised Anti-Money Laundering Law; issued the 2025 Key AML Work Programme; and continued to optimise the new AML system.

Seventh, as for technology risk management, the Company complied with regulatory requirements and implemented continuous monitoring of key risk indicators, focusing on enhancing technology risk control, refining institutional frameworks, and strengthening cybersecurity and data security capabilities. In Q2, our quantitative and qualitative risk analysis indicated a low technology risk, with all risk factors effectively managed.

2.Strategic risk

There was no occurrence of risk events which may impact the execution of the strategic planning of the Company in this quarter.

In spite of a complex, challenging international environment, China, under the strong leadership of the CPC Central Committee, adhered to the general principle of "pursuing progress while ensuring stability" and delivered steady economic performance, stable growth in production and demand, and further development of new growth drivers. This has created a favourable environment for high-quality development of the insurance industry.

The Company fully implemented the decisions of the Central Financial Work Conference and the Central Economic Work Conference, and aligned itself with China's socio-economic development in response to the requirements of the Opinions of the State Council on Strengthening Supervision, Preventing Risks, and Promoting High-Quality Development of the Insurance Industry and the Action Plan for Strengthening Supervision, Preventing Risks, and Promoting Reform to Drive High-Quality Development of the Property Insurance Sector. Our development plans were based on a prudent risk appetite. We implemented multi-dimensional risk management across talent development, business strategy, investment strategy, and overseas expansion. We conducted regular quantitative tracking of strategic risks to ensure alignment between corporate strategy, market conditions and our own abilities.

Next, the Company will continue to monitor macroeconomic policies and industry regulatory developments, prudently optimising its development strategies in response to changing dynamics of the market and its own business operation. We strive to achieve our business targets while contributing to China's high-quality economic and social development.

Reputational risk

During the quarter, there were no severe reputational risk incidents, with the risk overall under control. As per Provisional Regulations on Reputational Risk Management by Banking and Insurance Institutions, Regulations on Reputational Risk Management of China Pacific Insurance (Group) Co. Ltd and Rules on Reputational Risk Management of China Pacific Property Insurance Co. Ltd., as well as other applicable regulatory rules and Group policies, the Company revised and released rules on reputational risk management, conducted a special risk screening of reputational risk for Q2, and carried out reputational risk analysis for Q3. Additionally, it organised a reputational risk training session for the Shanghai Tele-marketing Centre, further cascading risk management responsibilities to front-line business units. Going forward, when conducting business and PR activities, it will further enhance risk screening and prevention, step up fast

response and coordination in risk-handling, with review and optimisation afterwards, accumulate the "asset" of reputation and strengthen early-stage intervention and closed-loop management of reputational risk, in a bid to forestall the risk more pro-actively.

4.Liquidity risk

To mitigate the liquidity risk, the Company coordinates cash flows from operating, investment and financing activities, pays special attention to large cash outflows arising from major claims, reinsurance bills, taxes, expenses and fixed assets, makes necessary arrangements in a timely manner to ensure sufficient liquidity to meet needs of various payment obligations. In Q2, the Company made funds available to meet needs of large pay-outs like quarterly prepayment of contribution into the Mandatory Insurance Security Fund, quarterly prepayment and 2024 annual settlement of income tax, reinsurance outgo and purchase & construction of fixed assets. It also made funds available for large claims payment of non-auto business, while handling needs for liquidity or applications for payment of branch offices in a timely manner. In Q3, apart from aforementioned payments, the Company will make funds available for payment of shareholder dividends, and will continue to monitor changes to its liquidity status, balance needs for liquidity and enhance its risk management capabilities.

V. Management analysis and discussions

(I) Review of key operating results

Analysis of changes to IRR ratings

The overall risk status of the Company remains stable, with solvency margin ratios stable and solid. Its business operation and net cash flows showed signs of improvement amid stability. The Company maintained a normal status in strategic risk, reputational risk and operational risk, without any occurrence of major risk events.

2. Analysis of solvency margin ratio movement

As at the end of Q2 2025, the comprehensive and core solvency margin ratios of the Company stood at 240.6% and 195.8% respectively, up by 0.3pt and 1.3pt respectively from the previous quarter. Of this, actual capital rose by 1.54bn yuan from the end of the previous quarter, mainly due to impact of net profit, other comprehensive income and profit distribution.

Minimum capital for insurance risk decreased by 80mn yuan from the end of the preceding quarter, mainly due to: lower capital requirement for premium risk as a result of changes to the combined ratio of auto insurance in the previous 6 months, and changes to balance of loans under financing guarantee insurance after reinsurance; higher capital requirement for reserve risk as a result of increase in balance of reserves for auto and short-term health insurance business.

Minimum capital for market risk rose by 870mn yuan from the end of the preceding quarter, largely due to increased risk exposure to overseas equity and bond securities, which in turn led to higher minimum capital requirement for risk of overseas equity prices and interest rate risk.

Minimum capital for credit risk rose by 340mn yuan from the end of the preceding quarter, largely due to increased risk exposure to premium receivables and outward reinsurance business, which raised the minimum capital requirement for counter-party default risk.

The Company sets its solvency risk upper limits and risk indicators based on its risk profile and appetite, and tracks them on a regular basis. In the meantime, it will continue to ensure stable and solid solvency positions via enhanced business quality control, improved risk identification and management, and optimised asset and business mix, etc.

1. Analysis of changes to liquidity risk indicators
(1) Liquidity coverage ratios (LCR)

As per C-ROSS II standards on liquidity, the liquidity coverage ratios of the Company, i.e., LCR1 and LCR2 in the next 3 months and 12 months under the base and stress scenarios respectively were both above 100%, and LCR3 above 50%, all meeting regulatory requirements. The Company adopts a prudent approach towards cash flow projections from operating activities, with the retrospective adverse deviation ratio of net cash flows from operating activities in the past 2 quarters consistently equal to or above the regulatory minimum level of -30%. On a YTD basis, net cash inflows of the Company amounted to 5.29bn yuan. Of this, net cash inflow from operating activities was 11.81bn yuan; net cash outflow from investment activities 5.02bn yuan; net cash outflow from financing activities 1.49bn yuan.

To mitigate liquidity risk, the Company attaches importance to daily cash flow management, coordinates cash flows from operating, investment and financing activities to ensure sufficient liquidity to meet needs of surrenders, claims and other benefit payments. Besides, the Company allocates in its SAA a certain proportion of highly liquid assets to meet liquidity requirements, which enables it to meet short-term cash flow requirements arising from business volatility. It will continue to monitor changes to its liquidity status and enhance risk management capabilities.

Summary of Quarterly Solvency Report (Excerpts)

China Pacific Life Insurance Co., Ltd.

2nd Quarter of 2025

Company overview and contact person

Company name (Chinese):	中国太平洋人寿保险股份有限公司
Company name (English):	China Pacific Life Insurance Co., Ltd.
Legal representative:	LI Jinsong
Registered address:	71 Shouning Road, Huangpu District, Shanghai, China
Registered capital:	8.6282bn yuan
Business license number:	000015

Date opening for business: November 2001

Business scope: Life/health insurance denominated in RMB yuan and foreign currencies including life insurance, health insurance, personal accident insurance, etc.; reinsurance of the above said insurance;statutory life/health insurance; agency and business dealings with domestic and overseas insurers and organizations, loss adjustment, claims and other business entrusted from overseas insurance organizations; insurance funds investment as prescribed by The Insurance Law and relevant laws and regulations; international insurance activities as approved; other international insurance business as approved by the former CIRC. [To conduct business subject to approval according to laws and regulations, permission of relevant departments is required.]

Business territories: Beijing, Shanghai, Tianjin, Chongqing, Heilongjiang Province, Jilin Province, Liaoning Province, Hebei Province, Shanxi Province, Shandong Province, Anhui Province, Jiangsu Province, Zhejiang Province, Fujian Province, Jiangxi Province, Guangdong Province, Hainan Province, Guangxi Zhuang Autonomous Region, Hunan Province, Hubei Province, Henan Province, Yunnan Province, Guizhou Province, Sichuan Province, Shaanxi Province, Gansu Province, Xinjiang Uygur Autonomous Region, Ningxia Hui Autonomous Region, Inner Mongolia Autonomous Region, Qinghai Province (with

	offices in 5 vice-provincial level municipalities such as
	Dalian, Qingdao, Ningbo, Xiamen, Shenzhen, where the
	insurance regulator also has branch offices)
Contact person:	WANG Chang
Office Tel. number:	021-33965272
Email:	[email protected]

I. BOARD AND MANAGEMENT STATEMENT·············································4
II. BASIC INFORMATION·········································································5
III. KEY INDICATORS ··············································································16
IV. RISK MANAGEMENT CAPABILITIES ····················································19
V. INFORMATION ON IRR (DIFFERENTIATED SUPERVISION) ·····················20
VI. MANAGEMENT ANALYSIS AND DISCUSSIONS ····································23

I. Board and management statement

(I). Board and senior management statement

(II). Information on review of the report by the board

Name of directors	For	Against	Abstain
MA Xin	√
SU Shaojun	√
LI Jinsong	√
ZHAO Yonggang	√
YUAN Ye	√
Total	5

1.Voting results by directors

Note: Mark "√" in corresponding blanks according to opinions of directors.

2.Are there any directors who cannot guarantee or harbor any doubt about the truthfulness, accuracy, completeness or compliance of the contents of this report? (yes □no■)

II. Basic information

(I) Ownership structure and shareholders, and change during the reporting period

	As at the beginning of the reporting period		Change during the reporting period				As at the end of the reporting period
Types of shareholders	Shares or contribution	Percentage (%)	Shareholder injection	Transfer from capital reserve and share dividends distribution	Share transfer	Sub total	Shares or contribution	Percentage (%)
State	14,733.69	1.708	-	-	-	-	14,733.69	1.708
Domestic legal person	-	-	-	-	-	-	-	-
Foreign	-	-	-	-	-	-	-	-
Natural person	-	-	-	-	-	-	-	-
Others (listed company)	848,086.31	98.292	-	-	-	-	848,086.31	98.292
Total	862,820	100	-	-	-	-	862,820	100

1.Ownership structure (unit: 10,000 shares or RMB yuan 10,000)

2.De facto controller

The Company has no de facto controller. China Pacific Insurance (Group) Co. Ltd. is the majority shareholder of the Company, holding 98.292% of its shares.

3.Shareholding information and related party relations as at the end of the reporting period

Information on shareholders (by descending order of shareholding percentage as of the end of the reporting period, unit: 10,000 shares or RMB yuan 10,000)

Names of shareholders	Types of shareholders	Change to shareholding or contribution during the reporting period	Shares held as at the end of the reporting period	Shareholding percentage as at the end of the reporting period (%)	Shares pledged or in lock-up
China Pacific Insurance	Listed	-	848,086.31	98.292	-
(Group) Co., Ltd.	company
Shenergy Group Co., Ltd.	State-owned	-	4,711.59	0.546	-
Shanghai State-Owned Assets Operation Co.,	State-owned	-	4,689.24	0.544	-

Names of shareholders	Types of shareholders	Change to shareholding or contribution during the reporting period	Shares held as at the end of the reporting period	Shareholding percentage as at the end of the reporting period (%)	Shares pledged or in lock-up
Ltd.
Shanghai Haiyan Investment Management Company Limited	State-owned	-	3,218.11	0.373	-
Yunnan Hehe (Group) Co., Ltd.	State-owned	-	2,114.75	0.245	-
Related party relations between shareholders	Of the 5 shareholders of the Company, with the exception of CPIC Group, all are concurrently shareholders of CPIC Group. Other than that, the Company is not aware of any related party relations between its shareholders.

4. Shareholding by directors, supervisors and senior management

None during the reporting period.

5. Share transfer during the reporting period

None during the reporting period.

(II) Directors, supervisors and senior management at head-office level

1. Basic information of directors, supervisors and senior management at head-office level

(1) Directors

As of the end of June 2025, the 8th Board of Directors of the Company has 5 directors in total:

Mr. MA Xin, born in April 1973, has a master's degree. He has been serving as Director of the Company since March 2018 (approval document: CIRC [2018] No. 320). Mr. MA currently also serves as Vice President of CPIC Group and Chairman of CPIC Health. He previously served General Manager of Shaanxi Branch of CPIC Life, General Manager of Strategic Planning Department, Director of Strategic Transformation Office, Transformation Director, and Board Secretary of CPIC Group, Director of CPIC P/C, and Director of Changjiang Pension.

Mr. SU Shaojun, born in February 1968, holds a Ph.D degree and designation of senior engineer. He has been serving as Director of the Company since December of 2021 (approval document: CBIRC [2021] No. 1033). Mr. SU currently also serves as Board Secretary of CPIC Group and Director of CPIC P/C. Previously, he served as Assistant General Manager and Deputy General Manager of the Underwriting Department, Deputy General Manager and General Manager of Beijing Branch, General Manager of Development Planning Department, head of the Board Office, head of the Office of the Board of Supervisors, General Manager of Telemarketing Department of CPIC P/C, head of the Strategic Research Center and Deputy Transformation Director of CPIC Group.

Mr. LI Jinsong, born in June 1969, has a master's degree. He has been serving as Director of the Company since July 2024 (approval document: NFRA [2024] No. 479). He currently is Executive Director and General Manager of the Company, and Chairman of CPIC Life (HK). Mr. LI previously served as General Manager of CPIC Life Sichuan Branch, General Manager of Bancassurance Department of CPIC Life, Assistant General Manager and Deputy General Manager of CPIC Life, Deputy Marketing Director/ General Manager of the Strategic Customer Department of CPIC Group, Director of Changjiang Pension.

Mr. ZHAO Yonggang, born in November 1972, holds a master's degree and has been serving as Chairman of the Company since December 2024 (approval document: NFRA[2024] No. 856). Mr. ZHAO currently also serves as Executive Director and President of CPIC Group. He previously served as Director of the Strategic Transformation Office of CPIC Life, General Manager of Heilongjiang Branch and Henan Branch, and Human Resources Director of CPIC Life, Vice President of CPIC Group, and Vice Chairman of the Board of Supervisors and Director of Haitong Securities Co., Ltd.

Mr. YUAN Ye, born in November 1972, holds a master's degree. He has been serving as Director of the Company since September 2024 (approval document: NFRA [2024] No.601). Mr. YUAN currently also serves as Director of President's Office of CPIC Group, Supervisor of CPIC Technology and Chairman of the Board of Supervisors of Shanghai Health and Elderly Care Development Group. Mr. YUAN previously served as Senior Staff Member of the Criminal Investigation Division of Putuo District Bureau of Shanghai Municipal Public Security Bureau, Senior Staff Member, Principal Staff Member, Deputy Director and Director of the Comprehensive Coordination Division of the Political and Legal Commission of Shanghai Party Committee, and General Manager of Legal and Compliance Department of CPIC Group.

(2) Supervisors

As of the end of June 2025, the 8th Board of Supervisors of the Company has 3 supervisors:

Mr. ZHANG Weidong, born in October 1970, holds a bachelor's degree. He has been serving as Chairman of the Board of Supervisors of the Company since May 2024 (approval document: NFRA [2024] No.297). Mr. ZHANG currently serves also as Chief Internal Auditor, General Counsel and Internal Audit Responsible Person of CPIC Group, Chairman of the Board of Supervisors of CPIC P/C, Director of CPIC Health. Mr. ZHANG previously served as Board Secretary and Director of the Company, General Manager of Legal & Compliance Department, head of the Board Office, Risk & Compliance Officer, General Manager of Risk Management Department, Chief Risk Officer and Compliance Responsible Person of CPIC Group, Board Secretary and Director of CPIC P/C, Board Secretary and Director of CPIC AMC and Director of Changjiang Pension.

Mr. ZHANG Lei, born in July 1976, holds a master's degree and designation of senior auditor. He has been serving as Supervisor of the Company (approval document: CBIRC [2021] No. 397) since June 2021. He currently also serves as head of the Office of Board of Supervisors of the Company, Party Secretary and Acting Responsible Person of Shandong Branch of the Company. Previously, he served as Deputy Director of Computerised Auditing Division, Deputy Director (in charge), Director of Social Security Audit Division, and Director of Corporate Audit Division of Shanghai Special Representative Office of National Audit Office, Chief Auditor (life insurance) of Audit Technology Department of Audit Center of CPIC Group, Chief Auditor (life insurance) of Digitalised Audit Technology Department of CPIC Group, General Manager of Investment Audit Department of CPIC Group, Internal Audit Responsible Person of Changjiang Pension, Deputy Compliance Director and General Manager of Legal and Compliance Department of CPIC Life.

Ms. ZHOU Lili, born in November 1972, holds a master's degree. She has been serving as Supervisor of the Company since September 2024 (approval document: NFRA [2024] No.603). Ms. ZHOU currently serves as General Manager of the Risk Management Department of CPIC Group and Director of CPIC Capital. Ms. ZHOU previously served as

Deputy Head of the Ceded P/C Insurance Section of Reinsurance Department CPIC Group, Senior Manager, Supervising Manager, and Deputy General Manager of Risk Monitoring Department of CPIC Group.

(3) Senior management at head-office level

As of the end of June 2025, the Company has 15 members of senior management in total:

Mr. LI Jinsong, born in June 1969, has been serving as Executive Director and General Manager of the Company since July 2024 (approval document: NFRA [2024] No. 489). Please refer to Basic Information of Directors above for his biography.

Mr. WEI Lin, born in July 1972, holds a master's degree. He has been serving as Deputy General Manager of the Company since June 2018 (approval document: CBIRC [2018] No.449), has been serving as Director of CPIC (Dali) Elderly Home Co., Ltd. since February 2019, as Executive Director of Pacific Medical & Health Management Co., Ltd since July 2021, and as General Manager of Pacific Healthcare and Management Co. Ltd since February 2024. He also serves as Executive Director and General Manager of Pacific Elderly Care Investment Management Co., Ltd. Mr. WEI previously served as Chief Staff Member of CIRC Chengdu Office, Deputy Director of the General Management Division of CIRC Sichuan Bureau, Deputy Director of the General Office of CIRC Sichuan Bureau, Deputy Director (in charge) of the Personnel and Education Division of CIRC Sichuan Bureau, Senior Manager of the Board Office of China Insurance (Holdings) Co., Ltd., General Manager of Investment Management Department of Taiping Group, and General Manager of Taiping Elderly Care Investment Company.

Mr. YE Peng, born in March 1972, has a master's degree and holds the designation of Senior Accountant (professor-level) and is a Certified Public Accountant and tax advisor in China. He has been serving as Deputy General Manager of the Company since August 2019 (approval document: CBIRC Shanghai [2019] No.638). He is also Director of CPIC AMC, Changjiang Pension and CPIC Life (HK) respectively, Executive Director of Beijing Borui Heming Insurance Brokerage Co., Ltd. Mr. YE previously served as Chief Accountant of John Hancock Tian'an Life Insurance Company, Assistant General Manager, CFO, Board Secretary, and Deputy General Manager of Changjiang Pension, and Finance Responsible Person of CPIC Life.

Mr. JIANG Yifeng, born in January 1978, holds a doctoral degree and has been serving as Deputy General Manager of the Company (approval document: NFRA [2024] No.660) since Oct. 2024. Mr. JIANG previously served as Deputy General Manager of Human Resources Department of CPIC Life, General Manager of CPIC Life Ningxia Branch, General Manager of CPIC Life Shaanxi Branch, head of the Office of All-around Transformation of CPIC Group, and General Manager of CPIC Life Zhejiang Branch, Assistant General Manager and Board Secretary of the Company.

Mr. DAI Chuanjiang, born in September 1973, holds a bachelor's degree and has been serving as Deputy General Manager of the Company (approval document: NFRA [2024] No.661) since October 2024, as General Manager of South China Unit of the Company since August 2021. Mr. DAI also serves as Director of Changjiang Pension. He previously served as Assistant Manager, Deputy Manager of CPIC Life Bijie Central Sub-Branch, Deputy Manager (in charge), Manager of Guiyang Business Department of CPIC Life Guizhou Branch, Deputy Manager of Business Division, Manager of Individual Business Management Department, Assistant General Manager, Deputy General Manager of CPIC Life Guizhou Branch, and Senior Deputy General Manager, General Manager of CPIC Life Shanghai Branch, Assistant General Manager of CPIC Life.

Ms. TAO Lei, born in September 1977, holds a master's degree and has been serving as Deputy General Manager and Board Secretary of the Company (approval document: NFRA [2024] No.609) since September 2024. Ms.TAO concurrently also serves as Director of CPIC Health. She previously served as Assistant General Manager, Board Secretary, Transformation Director and head of the Office of the Steering Committee for Deepening Transformation of CPIC P/C.

Mr. CHEN Yingjie, born in November 1967, holds a master's degree and designation of engineer. He has been serving as Acting Chief Compliance Officer and Acting Chief Risk Officer of the Company since June of 2025. Previously, he served as Deputy General Manager of CPIC P/C Liaoning Branch, General Manager of CPIC P/C Heilongjiang Branch, General Manager of CPIC P/C Sichuan Branch, and Chief Internal Auditor of CPIC Group.

Mr. TAI Fuchun, born in December 1967, holds a master's degree and has been serving as Assistant General Manager of the Company (approval document: CBIRC [2021] No. 745) since October 2021, and as General Manager of North China Unit of the Company since August 2021. Mr. TAI previously served as Assistant General Manager, Deputy General Manager and General Manager of CPIC Life Shanxi Branch, General Manager of Customer Resources Management Department of CPIC Life, General Manager of CPIC Life Shandong Branch, Deputy Chief Internal Auditor of CPIC Group, and Internal Audit Responsible Person (life insurance) of CPIC Group. Prior to that, Mr. TAI served as an official of the General Office of the Standing Committee of the Shanxi Provincial People's Congress.

Mr. ZHU Xuesong, born in November 1969, holds a bachelor's degree and has been serving as Assistant General Manager of the Company (approval document: CBIRC [2021] No. 1033) since December 2021. He also serves as Chief Operation Officer of the Company. Mr. ZHU previously served as Attending Surgeon at the Third Affiliated Hospital to Shanghai Textile Industry Bureau, head of the Group Insurance Operation Department of Taiping Life, Deputy General Manager of Taiping Pension Shanghai Branch, General Manager of the Group Insurance Business Department and Chief Operating Officer of the Operation Department of AIA China, Chief Operation Technology Officer of FWD China, General Manager of FWD Technology Co., Ltd., and Executive COO of WeDoctor Group.

Mr. ZHOU Jiangang, born in October 1967, holds a bachelor's degree. He has been serving as Assistant General Manager of the Company since June 2025 (approval document: NFRA [2025] No.368). Previously, he served as Senior Deputy General Manager of CPIC Life Jiangsu Branch, General Manager of CPIC Life Guizhou Branch, General Manager of CPIC Life Fujian Branch, head of the Urban Breakthrough Project Team of CPIC Life, General Manager of the Individual Business Training Department of CPIC Life, General Manager of CPIC Life Suzhou Branch, General Manager of CPIC Life Zhejiang Branch, and HR Director of CPIC Life.

Mr. YE Bo, born in June 1977, holds a master's degree and designation of accountant. He has been serving as Assistant General Manager of the Company (approval document: NFRA [2024] No.622) since September 2024. He is also Director of CPIC Life (HK). Mr. YE previously served as CFO of CPIC Life Zhejiang Branch, General Manager of Corporate Business Comprehensive Management Department of CPIC Life, head of General Administration Office of CPIC Life, and General Manager of CPIC Life Jiangsu Branch.

Ms. TIAN Rui, born in March 1976, has a master's degree and the designation of accountant. She has been serving as Assistant General Manager and Finance Responsible Person of the Company (approval document: NFRA [2024] No.846) since December 2024. Her previous roles include General Manager of the Finance Department of CPIC Life Beijing Branch and General Manager of CPIC Life Beijing Branch.

Mr. LIU Yuqing, born in October 1978, holds a master's degree. He has been serving as Assistant General Manager of the Company since February 2025 ( approval document: NFRA [2025] No. 91), and has been serving as the spokesperson of the Company since September 2022. Mr. Liu previously held the following positions: Senior Manager of the Strategic Management Department at CPIC Group, Director of the Fujian Transformation Pilot Base, Director of Transformation Promotion at Zhejiang Branch of CPIC Life, Senior Deputy General Manager and General Manager of Hangzhou Central Sub-Branch, General Manager of Shanghai Branch and Marketing Director of the Company.

Ms. YU Lingyan, born in August 1977, holds a bachelor's degree, and is a member of the Society of Actuaries. She has been serving as Assistant General Manager and Chief Actuary of the Company (approval documents: Shanghai CBIRC No. [2019] 667 and Shanghai CBIRC No. [2019] 464). Previously, Ms. YU served as General Manager of the Actuarial Department, Deputy General Manager, Chief Actuary, and Chief Risk Officer at ICBC-AXA Life Insurance Company Limited.

Mr. YU Yun, born in June 1965, holds a bachelor's degree. He has been serving as Internal Audit Responsible Person of the Company (approval document: CBIRC [2021] No. 975) since December 2021. He also serves as Deputy Chief Internal Auditor of CPIC Group. Mr.

YU previously served as General Manager of CPIC Xinjiang Karamay Central Sub-branch, Manager of the Individual Business Department of CPIC Xinjiang Branch, Assistant General Manager, Deputy General Manager, Deputy General Manager (in charge) and General Manager of CPIC Xinjiang Branch, and General Manager of CPIC Beijing Branch. Prior to that, Mr. YU served as Director of Administration of the Finance Bureau of Karamay City, Xinjiang.

2. Changes to directors, supervisors and senior management of headquarters

(1) Changes to directors:

Mr. XIE Weiqing ceased to serve as Director of the Company on 26 June 2025.

(2) Changes to senior executives

As approved by the 16th session (extraordinary) of the 8th Board of Directors of the Company, Ms. YU Lingyan began to serve as Assistant General Manager and Chief Actuary of the Company on 3 June 2025; Mr. ZHANG Yuanhan ceased to serve as Acting Chief Actuary of the Company.

As approved by the 17th session (extraordinary) of the 8th Board of Directors of the Company, Mr. CHEN Yingjie began to serve as Acting Chief Compliance Officer and Acting Chief Risk Officer of the Company on 16 June 2025, and Mr. WANG Guangjian ceased to serve as Executive Deputy General Manager, Compliance Responsible Person and Chief Risk Officer of the Company.

As approved by the 13th session (regular) of the 8th Board of Directors of the Company and as per qualifications approval by NFRA (approval document: NFRA[2025] No. 368), Mr. ZHOU Jiangang began to serve as Assistant General Manager of the Company on 19 June 2025.

(III) Subsidiaries, joint ventures or associates

	Number of shares (10,000 shares)			Shareholding percentage (%)
Company name	As at the beginning of Q2 2025	As at the end of Q2 2025	Change	As at the beginning of Q2 2025	As at the end of Q2 2025	Change
Changjiang Pension Insurance Co., Ltd.	186,486	186,486	-	62.16	62.16	-
City Island Developments Limited	0.1	0.1	-	100.00	100.00	-
Tianjin Trophy	35,369	35,369	-	100.00	100.00	-
Pacific Insurance Elderly Care Investment Management Co., Ltd.	500,000	500,000	-	100.00	100.00	-
Pacific Health Care Management Co. Ltd.	100,000	100,000	-	100.00	100.00	-
CPIC Elderly Care Development (Chengdu) Co. Ltd.	100,000	103,500	3,500	100.00	100.00	-
CPIC Elderly Care (Hangzhou) Co. Ltd.	104,100	105,600	1,500	100.00	100.00	-
CPIC Elderly Care (Xiamen) Co. Ltd.	90,000	90,000	-	100.00	100.00	-
CPIC Elderly Care (Nanjing) Co. Ltd.	50,856	50,856	-	100.00	100.00	-
CPIC Rehab & Retirement (Shanghai) Industrial Development Co. Ltd.	25,000	25,000	-	100.00	100.00	-
CPIC Elderly Care (Zhengzhou) Co. Ltd.	65,000	65,000	-	100.00	100.00	-
CPIC Elderly Care (Beijing) Co. Ltd.	80,000	80,000	-	100.00	100.00	-
CPIC Elderly Care (Wuhan) Co. Ltd.	98,000	98,000	-	100.00	100.00	-
CPIC Health Management (Sanya) Co. Ltd.	49,000	49,000	-	100.00	100.00	-
CPIC Elderly Care (Guangzhou) Co. Ltd.	36,500	44,300	7,800	100.00	100.00	-
CPIC Elderly Care (Suzhou) Co. Ltd.	25,000	25,000	-	100.00	100.00	-
Beijing Borui Heming Insurance Agency Co. Ltd.	5,200	5,200	-	100.00	100.00	-
China Pacific Life Insurance (Hong Kong) Company Limited	100,000	100,000	-	100.00	100.00	-
Shanghai Dabao Guisheng Information Technology Co. Ltd.	1,020	1,020	-	34.00	34.00	-
Shanghai Rui Yong Jing Property Development Co. Ltd.	983,500	983,500	-	70.00	70.00	-
Shanghai Shantai Health Care Technology Co. Ltd.	4,000	4,000	-	13.21	13.21	-
Zhongbao Rongxin Private Equity Fund Management Co. Ltd.	150,000	150,000	-	10.14	10.14	-

	Number of shares (10,000 shares)			Shareholding percentage (%)
Company name	As at the beginning of Q2 2025	As at the end of Q2 2025	Change	As at the beginning of Q2 2025	As at the end of Q2 2025	Change
Lianren Healthcare Big Data Technology Co. Ltd.	50,000	50,000	-	20.00	20.00	-

Notes:

Shareholding percentages of Shanghai Shantai Health Care Technology Co. Ltd. and Lianren Health Care Big Data Technology Co. Ltd. were based on subscribed capital contribution. As at 30 June 2025, the change of registered capital was not fully paid in, and based on paid-in capital, the shareholding of the Company was 14.66% and 24.37% respectively.
In the first half of 2025, China Pacific Life Insurance (Hong Kong) Company Limited reported HKD2.108bn in written premiums, with a net profit of HKD46mn. As of the end of Q2, its solvency margin ratio under HKRBC was 157%, meeting regulatory requirements. In June 2025, the company issued the solvency audit report, which indicated a solvency margin ratio of 238%, meeting regulatory requirements.

(IV) Breaches and penalties during the reporting period

1. Administrative penalties the Company and its directors, supervisors and senior management at head-office level received from financial regulators or other government departments.

None during the reporting period.

2.Misconduct by directors, supervisors, management at department-head level and above of headquarters and senior management of provincial-level branches which triggered judicial proceedings

None during the reporting period.

3.Regulatory measures taken by NFRA against the Company during the reporting period

During the reporting period, there was no regulatory measure against the Company by the head-office of NFRA. However, certain local branches of the regulator took regulatory measures against the Company: Lishui Key Sub-branch of Zhejiang, Jiangxi Branch, Jinhua Key Sub-branch of Zhejiang, Kunming Key Sub-branch of Yunan, and Anshun Key Sub-branch of Guizhou each received an administrative penalty; besides, Fujian Branch, Yunnan Branch, Longyan Key Sub-branch of Fujian, Pingxiang Key Sub-branch of Jiangxi, Shangrao Key Sub-branch of Jiangxi, Lijiang Key Sub-branch of Yunnan, Haozhou Key Sub-branch of Anhui, Huizhou Key Sub-branch of Guangdong, Meizhou Key Sub-branch of Guangdong, Ji'an Key Sub-branch of Jiangxi, Tongliao Key Sub-branch of Inner Mongolia, Dongguan Key Sub-branch of Guangdong, Hulunbuir Key Sub-branch of Inner Mongolia, Meishan Key Sub-branch of Sichuan, Nanping Key Sub-branch of Fujian, Shuangyashan Key Sub-branch of Heilongjiang, and Wuzhou Key Sub-branch of Guangxi each received one Regulatory Opinion Letter, and Guangzhou Key Sub-branch of Guangdong received two Regulatory Opinion Letters.

III. Key indicators

(I) Key solvency metrics

		unit: 10,000 RMB yuan
Indicators	As at the end of the reporting quarter	As at the end of the preceding quarter	Next quarter estimates
Admitted assets	255,614,592	248,223,404	257,945,324
Admitted liabilities	218,975,992	211,672,867	222,840,627
Actual capital	36,638,600	36,550,537	35,104,697
Tier 1 core capital	19,052,313	19,028,981	17,872,721
Tier 2 core capital	4,191,569	4,237,717	4,073,255
Tier 1 supplement capital	13,379,912	13,271,124	13,130,862
Tier 2 supplement capital	14,806	12,715	27,859
Minimum capital	17,064,038	16,566,905	17,415,038
Minimum capital for quantifiable risks	17,300,527	16,796,504	17,656,391
Minimum capital for control risk	-236,489	-229,599	-241,353
Supplement capital	-	-	-
Core solvency margin	6,179,844	6,699,793	4,530,938
Core solvency margin ratio (%)	136%	140%	126%
Comprehensive solvency margin	19,574,562	19,983,632	17,689,659
Comprehensive solvency margin ratio (%)	215%	221%	202%

Items	As at the end of /during the reporting quarter	As at the end of /during the preceding quarter
Liquidity coverage ratio (LCR) (%)
LCR under base scenario (LCR1)
Next 3 months	118%	117%
Next 12 months	105%	105%
LCR under stress scenario (LCR2)
Next 3 months	994%	1071%
Next 12 months	316%	316%
LCR under stress scenario before asset disposal (LCR3)
Next 3 months	89%	131%
Next 12 months	68%	76%
Retrospective adverse deviation ratio of net cash flows from operating activities (%)	6%	-20%
Net cash flow YTD (RMB yuan 10,000)	1,747,067	1,767,299

(II) Regulatory indicators for liquidity risk

(III) Other indicators for liquidity risk

	unit: 10,000 RMB yuan
Indicators	As at the end of /during the reporting quarter	As at the end of /during the preceding quarter
1. Net cash flow from operating activities	10,335,806	5,776,701
2. Comprehensive surrender ratio (%)	0.80%	0.48%
3-1. Net cash flow from participating accounts	968,386	412,177
3-2. Net cash flow from universal accounts	1,721,930	1,414,186
4.Written premiums growth year on year	12.59%	11.77%
5.Ratio of cash and liquidity instruments (%)	1.72%	1.82%
6.Quarterly average financial leverage ratio (%)	6.95%	7.49%
7.Share of domestic fixed income assets rated AA (inclusive) and below (%)	2.61%	2.46%
8.Share of investments in listed stocks with a stake of 5% or above (%)	0.26%	0.24%
9.Share of receivables (%)	0.85%	0.78%
10.Share of related party assets held by the Company (%)	2.35%	2.56%

(IV) Key business metrics

		unit: 10,000 RMB yuan
	As at the end of/during the	As at the end of the
Indicators	reporting quarter	reporting quarter/YTD
Gross written premiums	6,779,361	16,800,958
Net profits	1,325,229	2,065,798
Total assets	265,422,692	265,422,692
Net assets	15,468,430	15,468,430
Insurance contract liabilities	227,612,286	227,612,286
Basic earnings per share (RMB yuan)	1.54	2.39
ROE (%)	9.04%	12.80%
ROA (%)	0.51%	0.80%
Investment yield (%)	1.01%	1.80%
Comprehensive investment yield (%)	1.92%	2.22%

Note: Gross written premiums in the table above was based on Accounting Standard for Business Enterprises No. 22 - Recognition and Measurement of Financial Instruments, Accounting Standard for Business Enterprises No. 25 - Insurance Contracts, Accounting Standard for Business Enterprises No. 26 - Reinsurance contracts promulgated by the Ministry of Finance (MoF) in 2006, and Provisions on Accounting Treatment of Insurance Contracts by MoF in 2009 (collectively referred to as "old accounting standards"). Investment yields, comprehensive investment yields, average investment yields in the past 3 years and average comprehensive investment yields in the past 3 years were prepared in accordance with relevant provisions of Solvency Regulatory Standards of Insurance Companies No. 18 - Solvency Report, based on results under the old accounting standards. Net profits, total assets, net assets, and insurance contract liabilities were prepared according to Accounting Standard for Business Enterprises No. 22 - Recognition and Measurement of Financial Instruments, Accounting Standard for Business Enterprises No. 23 - Transfer of Financial Assets, Accounting Standard for Business Enterprises No. 24 - Hedge Accounting and Accounting Standard for Business Enterprises No. 37–Presentation of Financial Instruments and Accounting Standard for Business Enterprises No. 25 - Insurance Contracts (hereinafter referred to as the "new insurance standards") amended and issued by MoF in 2017 and 2020 sequentially. Basic earnings per share, ROE and ROA were prepared according to relevant provisions of Solvency Regulatory Standards of Insurance Companies No. 18 - Solvency Report, based on results under the new accounting standards.

(V) (Comprehensive) Investment yields in the past 3 years

Indicators	Results
Average investment yield in the past 3 years (%)	3.06%
Average comprehensive investment yield in the past 3 years (%)	4.06%

IV. Risk management capabilities

(I) Company overview

Established in November 2001, the Company is the life insurance subsidiary of CPIC Group. As per Articles 5 and 6 of Solvency Regulatory Rules No. 12: Solvency Aligned Risk Management Requirements and Assessment on classification of insurance companies, it is a Category I insurance company. In 2024, its written premiums amounted to 261.1bn yuan, with total assets of 2,481.9bn yuan as of the end of 2024, and 35 provincial-level branches.

(II) Results of the last SARMRA evaluation

In 2022, the regulator carried out an on-site SARMRA evaluation of the Company, which scored 84.50 points. Of this, infrastructure and environment of risk management was 17.06 points, targets and instruments of risk management was 8.89 points, insurance risk management was 8.43 points, market risk management was 8.36 points, credit risk management was 8.37 points, operational risk management was 8.39 points, strategic risk management was 8.4 points, reputation risk management was 8.28 points, liquidity risk management was 8.32 points.

(III) Measures taken to improve risk management and implementation status during the reporting period

The Company attaches great importance to risk management. It organises analysis by relevant departments of findings of regulatory assessment of its peers as well as findings of its own internal audits, identifies gaps in solvency risk management systems and takes effective remedial actions to enhance solvency risk management. What was done in Q2 2025 mainly includes: issued the updated risk management rules and policies, including those specific to each risk category, as well as the 2025 Annual Risk Appetite System, followed by strict enforcement; monitored and evaluated the risk status of the Company on an on-going basis.

We will carry out solvency risk management in the following aspects during Q3 2025:

Conduct SARMRA annual self-assessment of the risk management system in terms

of soundness of rules and effectiveness of adherence; continue to enhance the risk management system of the Company based on findings of internal and external audits and self-assessment.

(IV). Information on SARMRA self-assessment

Not applicable during the reporting period.

V. Information on IRR (differentiated supervision)

(I) Results of IRR in the previous two quarters

The feed-back from the regulator concerning the results of the IRR (differentiated supervision) indicated an AA rating of the Company for both Q4 of 2024 and Q1 of 2025.

(II) Measures taken or to be taken for rectification

The Company continued to enhance the IRR evaluation system. On the one hand, it continuously improved its basic management mechanisms by formulating and issuing IRR management rules, establishing systems for data filing and management processes, defining the primary management responsibility of front-line business for each indicator, and regularly conducting data quality governance. On the other hand, it strengthened rectification and management of under-performing risk indicators. First, monitored changes to the indicators and issued early warning when necessary, formulated and implemented control measures based on characteristics of each indicator; second, used the IRR to communicate indicator management requirements to risk sources and front-line business units to guide them towards increased compliance and basic management; third, stepped up research, prevention and control of specific risks, especially in terms of their causes and trends and dynamics, which would enable the Company to identify underlying patterns, detect potential hazards at an early stage, and implement timely management and mitigation measures.

(III) Self-assessment of operational risk, strategic risk, reputational risk and liquidity risk

As per requirements for IRR under C-ROSS II, the Company continued to strengthen its in-house evaluation system for IRR, continuously reviewed risk metrics to improve the timeliness and accuracy of monitoring; ensured risk early warning in a timely manner via monitoring and analysis of changes to metrics on a regular basis.

1. Methods, processes and results of self-assessment

As part of its work in IRR, the Company organises, on a quarterly basis, a self-review of operational risk, strategic risk, reputational risk and liquidity risk by relevant departments so as to evaluate the risk status in an objective way. Departments involved would monitor the key under-performing indicators according to assignment of responsibilities, and in the event of detection of abnormalities, would follow up and identify their causes and roll out remedial actions. The Company's unquantifiable risks overall are under effective control, and no material flaws or potential risks were detected.

2. Status of unquantifiable risks

In operational risk, the Company issued the revised version of Regulations on Operational Risk Management and relevant supportive policies in Q4 2024, which further improved the governance framework of operational risk management and relevant work mechanisms. The Company continuously monitored and analysed its operational risk status using management tools such as self-assessment, operational risk data loss recovery and key risk indicators. The Company strived for a matrix-based compliance risk management system, with branches focusing on coordination, vertical functions bearing the primary responsibility, and all departments and positions getting involved. This matrix approach ensures optimal mechanisms for ownership of the objectives and sharing of resources and responsibilities relating to compliance and risk control. The Company continued to increase the use of IT in operational risk control so that operational execution in key areas can be controllable and traceable. The Company takes risk screening seriously: all head-office departments and branches are supposed to carry out various risk assessments from time to time as per regulatory and corporate rules. In Q2 2025, monitoring of key risk indicators and data loss recovery indicated that the Company's overall operational risk was manageable.

On the side of reputational risk, the Company revised Implementation Rules on Reputational Risk Management and Emergency Contingency Plan for Major Reputational Risks as per C-ROSS II requirements to further improve the governance structure and work mechanisms of reputational risk management. It implemented

end-to-end process management and built normalised mechanisms for reputational risk: established a hierarchical structure of risk management personnel, with close coordination across different levels; strengthened mechanisms for risk screening and assessment and stepped up at-source control of negative media publicity; organised training and drills tailored for specific needs to empower the risk management personnel; conducted PR programmes to foster a more favourable media environment. In Q2 2025, there were no Level I or II major incidents, which, combined with monitoring of relevant key risk metrics, indicated manageable reputational risk.

As for strategic risk, the implementation of strategies of the Company is in a healthy status. In terms of risk factors which may impact the Company's business operation and fulfillment of strategic objectives, China's economy continued to grow steadily, but the foundation for economic recovery is yet to be solidified. New government policies and guidelines will be conducive to high-quality development of the insurance industry. The life insurance market faces both challenges and opportunities amid intensified industry competition and secular decline of interest rates. In response to changes of the market environment, the Company upholds the "big picture" outlook on insurance, stays focused on the core business of insurance, particularly in the context of the "5 Financial Priorities", and forges ahead with the customer-oriented Changhang Transformation. It stepped up channel diversification. For the agency channel, it pushed for "upgrade" of customer mix, deepened customer segmentation to boost improvement of the agency force in quality and productivity; in terms of bancassurance, it focused on value creation and stepped up business development; the group channel business accelerated work-site marketing and expanded the coverage of inclusive insurance; the internet channel optimised product mix, with rapid business growth. Besides, the Company further diversified product/service offerings, with steady improvement in product mix; deepened presence in health & elderly care sectors; further strengthened ALM, enhanced capacity-building for compliance and risk management, improved consumer rights protection. Going forward, the Company will forge ahead with the Changhang Transformation, abide by the business philosophy of "creating value for customers via suitable products/services delivered by professional sales force" so as to add impetus to high-quality development.

With respect to liquidity risk, the Company established a cash flow management system for investment accounts covering assets and liabilities, front-line and back-office departments. To be concrete, the system includes the projection, review, analysis and transfer of cash flows of investment accounts. It conducts account-specific cash flow projections at year-end, month-end and in the event of material adjustment of its business plans, with analysis of discrepancies between actual cash flows and projections. It also sets limits on cash-flow discrepancies depending on size of accounts and profiles of liabilities. In the event of breaches of such tolerances, a detailed explanation for material cash flow variance will be required. Meanwhile, the Company conducts liquidity emergency drills on a regular basis to ensure effective response in cases of risk incidents; put in place normalised mechanisms for early warning, with the focus shifting from crisis handling to early warning and prevention, which can enhance overall liquidity risk management. Liquidity coverage ratios (LCRs) under all scenarios remained solid. Relevant indicators showed that the liquidity management of the Company was sound and effective, with the liquidity risk overall under control.

VI. Management Analysis and Discussions

(I) Changes to solvency analysis this quarter

As of the end of the quarter, core solvency margin ratio of the Company was 136%, with a core solvency margin of 61.79844bn yuan, down by about 4pt from the previous quarter; comprehensive solvency margin ratio of the Company was 215%, with a comprehensive solvency margin of 195.74562bn yuan, down by approximately 6pt from the previous quarter. Reasons for change are as follows:

As of the end of the quarter, actual capital amounted to 366.38600bn yuan, versus 365.50537bn as of the end of the previous quarter, up by 0.2%, mainly due to:

(1) Core capital decreased by 228.16mn yuan in the quarter as a result of capital market movement, profit distribution and changes to insurance contract liabilities under solvency reporting.

(2) Supplement capital increased by 1.10879bn yuan.

As of the end of this quarter, minimum capital amounted to 170.64038bn yuan,

versus 165.66905bn yuan as of the end of the previous quarter, up by 3.0%, mainly due to:

(1) During the quarter, minimum capital for life insurance risk rose by 1.26255bn yuan, and that for non-life insurance increased by 109.78mn yuan;

(2) During the quarter, minimum capital for market risk rose by 4.80010bn yuan, and of this, that for interest rate risk fell by 2.55522bn yuan, that for equity price risk decreased by 15.95mn yuan, and that for overseas equity price risk increased by 8.33529bn yuan;

(3) During the quarter, minimum capital for credit risk decreased by 997.16mn yuan, and of this, that for credit spread dropped by 253.79mn yuan, and that for default risk of counter-parties fell by 981.16mn yuan;

(4) Risk diversification effect and loss absorption increased by 135.04mn yuan, which lowered minimum capital requirement accordingly;

(5) Subtraction from minimum capital by control risk rose by 68.90mn yuan from the preceding quarter.

(II) Changes to regulatory liquidity risk indicators

LCR for the next 3 months was 118%, and that for the next 12 months 105%, which can satisfy the minimum requirement of 100%. LCR in the next 12 months under the stress scenario after and before disposal of assets was 316% and 68% respectively, staying solid.

(III) Analysis of changes to IRR

As per notice of the regulator, the Company was rated AA at the IRR for Q1 2025, maintaining an A-class rating. In recent years, it continued to implement new regulatory rules on IRR under C-ROSS II, put in place long-term work mechanisms, enhanced rectification of early-warning indicators; at the same time, it pressed ahead with the Changhang Transformation and strived to address various risks via strategic transformation. Going forward, the Company will stay focused on the long term, ensure compliance in its business operation, strengthen risk control and accelerate high-quality development.

Summary of Quarterly Solvency Report (Excerpts)

Pacific Health Insurance Co., Ltd.

2nd Quarter of 2025

Company overview and contact information

Company name (Chinese):	太平洋健康保险股份有限公司
Company name (English):	Pacific Health Insurance Co., Ltd.
Legal representative:	MA Xin
Registered address	7th-9th Floor, No.1 Zhongshan Nan Road, Shanghai, the PRC
Registered capital	3.6 billion yuan
Business license number	00000117
Date opening for business	December 2014
	Health and personal accident insurance
	denominated in RMB yuan and foreign
	currencies; health insurance commissioned by
	the government or supplementary to state
Business scope	medical insurance policies; reinsurance of the
	above said insurance;health insurance-related
	agency and consulting business; insurance
	funds investment as approved by relevant laws
	and regulations; other business as approved
	by the CIRC.
Business territories	Shanghai, Beijing, Guangdong Province,
	Sichuan Province.
Contact person:	XIA Bing
Tel. number:	+86-21-33968652
Cell phone:	13761619886
Fax number:	+86-21-68870641
Email:	[email protected]

I. BOARD AND MANAGEMENT STATEMENT··············································4
II. BASIC INFORMATION··········································································5
III. MAIN INDICATORS···········································································11
IV. RISK MANAGEMENT CAPABILITIES····················································14
V. INTEGRATED RISK RATING (DIFFERENTIATED SUPERVISION)················15
VI. MANAGEMENT ANALYSIS AND DISCUSSIONS ····································16

I. BOARD AND MANAGEMENT STATEMENT

The report has been approved by the board of directors. The board chairman and senior management of the Company warrant that the contents of this report are true, accurate and complete and have fully complied with applicable laws and regulations, and that there is no false representation, misleading statement or material omissions; and they severally and jointly accept responsibility for the contents of this report while each of them is directly responsible for contents within their respective scope of responsibilities.

Voting results by directors

Name of directors	For	Against	Abstain
MA Xin	√
MA Boyong	√
YIN Yanling	√
ZHANG Yuanhan	√
ZHANG Weidong	√
ZHOU Yanfang	√
TAO Lei	√
Total	7

Note: Mark "√" in corresponding blanks according to opinions of directors.

Are there directors who can not warrant that the contents of this report are true, accurate and complete and have fully complied with applicable laws and regulations, or who have raised issues in this regard? (yes□no■)

II. BASIC INFORMATION

(I) Ownership structure and shareholders

1.Ownership structure

Types of shareholding	Shares or contribution as at the end of the reporting period (unit: 10,000 shares)	Percentage (%)	Shares or contribution as at the beginning of the reporting period (unit: 10,000 shares)	Percentage (%)
Domestic legal	360,000.00	100.00	360,000.00	100.00
persons
Domestic natural	-	-	-	-
persons
Foreign	-	-	-	-
Others	-	-	-	-
Total	360,000.00	100.00	360,000.00	100.00

2.Top 5 shareholders as at the end of the reporting period

Names of shareholders	Shares held or contribution made as at the end of the reporting period (unit: 10,000 shares)	Shareholding percentage as at the end of the reporting period (%)
China Pacific Insurance (Group) Co., Ltd.	306,183.60	85.051
China Pacific Life Insurance Co., Ltd.	53,816.40	14.949

3.Shareholding by directors, supervisors and senior management

Did any of them hold any shares of the Company during the reporting period? (Yes□ No■)

4.Share transfer during the reporting period

Did any share transfer occur during the reporting period?	(Yes□	No■)
-----------------------------------------------------------	-------	------

(II) Controlling shareholder or de facto controller

China Pacific Insurance (Group) Co., Ltd.

(III) Directors, supervisors and senior management

1. Directors (7 in total)

Mr. MA Xin, born in April 1973, has a master's degree. He has been serving as Chairman of the Company since January 2021 (approval document: CBIRC [2021] No.4). Mr. MA currently serves as Vice President of CPIC Group and Director of CPIC. He previously served as Manager of Individual Business Department and Assistant General Manager of CPIC Life Xi'an Branch, Deputy General Manager and General Manager of CPIC Life Shaanxi Branch, General Manager of the Strategic Planning Department, head of Strategic Transformation Office, Transformation Director and Board Secretary of CPIC Group, Director of CPIC P/C, Acting Responsible Person of the Company and Director of Changjiang Pension.

Mr. ZHANG Weidong, born in October 1970, holds a bachelor's degree. He has been serving as Director of the Company since May 2021 (approval document: CBIRC [2021] No.341). Mr. ZHANG currently serves as Chief Internal Auditor, General Counsel, Internal Audit Responsible Person of CPIC Group and Chairman of the Board of Supervisors of CPIC P/C and CPIC Life respectively. Mr. ZHANG previously served as General Manager of Legal & Compliance Department, head of the Board Office, General Manager of Risk Management Department, Risk & Compliance Officer, Chief Risk Officer, Compliance Responsible Person and Acting Internal Audit Responsible Person of CPIC Group, Director and Board Secretary of CPIC P/C, CPIC Life and CPIC AMC respectively, and Director of Changjiang Pension.

Mr. ZHANG Yuanhan, born in November 1967, holds a master's degree and is a member of Society of Actuaries and American Academy of Actuaries respectively, and Director of China Association of Actuaries. He has been serving as Director of the Company since April 2021 (approval document: CBIRC [2021] No.280). Mr. ZHANG currently serves as Chief Actuary of CPIC Group and Director of CPIC P/C. Mr. ZHANG previously served as Chief Actuary, Deputy General Manager and Vice President of MetLife Insurance Company Limited (Shanghai), Chief Actuary of Sino Life Insurance Co., Ltd., Deputy General Manager, CFO, Chief Actuary of Sun Life Everbright Life Insurance Co., Ltd., Director of Sun Life Everbright Asset Management Co., Ltd, Chief Risk Officer and Chief Actuary of the Company, Director of CPIC AMC, Finance Responsible Person of CPIC Group and Director and Acting Chief Actuary of CPIC Life.

Mr. MA Boyong, born in October 1967, holds a master's degree and designation of engineer. Mr. MA began to serve as Director of the Company in October 2023 (approval document: NFRA [2023] No. 362). Mr. MA currently serves as General Manager of Technology Management Department of CPIC Group and Director of CPIC Technology. Previously, he served as section head and Assistant General Manager of Information Technology Department of CPIC Group, Assistant General Manager of CPIC P/C Shanghai Branch, General Manager of IT Application Management Department of CPIC Group, General Manager of Information Security and Internal Control Management Department of CPIC Group, deputy head of Digitalisation Office, head of the Preparatory Team of Chengdu R & D Centre and General Manager of IT Design Department of CPIC Group.

Ms. ZHOU Yanfang, born March 1980, holds a master's degree. She became a Director of the Company in November 2024 (approval document: NFRA [2024] No.706). Ms. Zhou currently serves as Director of Strategic Research Center of CPIC Group. Her previous roles include Deputy Director of Strategic Research Center of CPIC Group, Senior Deputy General Manager of CPIC Life Shanghai Branch, Deputy General Manager (in charge) and General Manager of Pacific Medical Health Management Co., Ltd.

Ms. YIN Yanling, born in June 1972, holds a master's degree and is a member of China Association of Actuaries. She has been serving as Director of the Company since March 2025 (approval document: NFRA [2025] No.175). She currently serves as Deputy General Manager, Finance Responsible Person, Chief Actuary and Board Secretary of the Company. Previously, she served as head of the Actuarial Management Section of Planning and Finance Department of CPIC Group, Assistant General Manager of Planning and Finance Department of CPIC Group, Deputy General Manager (in charge) of Financial Investment Department/Actuarial Department, Deputy General Manager (in charge) of Financial Management Department/Actuarial Department, Deputy General Manager of Risk Management Department/Risk Monitoring Department, General Manager of Financial Management Department/Actuarial Department, and General Manager of Actuarial Department of CPIC Group, General Manager of Actuarial Department of CPIC Life, Acting Finance Responsible Person and Acting Actuarial Responsible Person of the Company.

Ms. TAO Lei, born in September 1977, holds a master's degree. She has been serving

as Director of the Company (approval document: NFRA [2025] No. 175) since March 2025. Ms. TAO currently serves as Deputy General Manager and Board Secretary of CPIC Life. Previously, she served as head of the Office of All-around Transformation, head of Transformation, head of the Office of Board of Directors/Board of Supervisors, General Manager of the Development and Planning Department, Board Secretary, and Assistant General Manager of CPIC P/C.

2. Supervisors (3 in total):

Mr. GU Qiang, born in January 1967, holds a master's degree and designation of Senior Accountant. He has been serving as Chairman of the Board of Supervisors of the Company (approval document: CBIRC [2021] No.165) since March 2021. Mr. GU currently serves as Employee Representative Supervisor of CPIC Group, Chairman of the Board of Supervisors of CPIC AMC and Chairman of the Board of Supervisors of Changjiang Pension. Mr. GU formerly was a lecturer at the Department of Finance and Insurance of Shanghai University of Finance and Economics, senior auditor of Pricewaterhouse Da Hua Certified Public Accountants, Manager of the International Business Department of Wanguo Securities Co., Ltd., Vice President and CFO of Shanghai Branch of American International Underwriters, served as Deputy Chief Accountant, CFO, Finance Responsible Person and Deputy General Manager of CPIC P/C, Deputy General Manager and Finance Responsible Person of Anxin Agricultural Insurance Co., Ltd.

Ms. HU Shuangzhu, born in September 1980, holds a master's degree. She is a certified internal auditor, certified information system auditor, financial risk manager, and has CRMA qualification. She has been serving as Supervisor of the Company since August 2016 (approval document: CIRC [2016] No.814). Ms. HU currently serves as Chief Auditor of Internal Control Operation Department, Internal Audit Center of CPIC Group. Previously, Ms. HU served as Senior Manager of PricewaterhouseCoopers Business Consulting (Shanghai) Co., Ltd., Chief Auditor of Internal Audit Business Department and Chief Auditor of Internal Control Technology Department of Internal Audit Center of CPIC Group.

Mr. WANG Yong, born in July 1974, holds a master's degree. He has been serving as Supervisor (employee representative) of the Company (approval document: NFRA [2025] No.189) since April 2025. Mr. WANG currently serves as Secretary of the Party Discipline Inspection Commission of the Company and Chairman of the Trade Union of the Company. Previously, he served as Assistant General Manager of the Human Resources Department of CPIC Life, Secretary to Chairman of CPIC Group, head of the Party Affairs Department, General Manager of the Employee Work Department, vice head of the Party Committee Office and head of the Party-People Work Department of CPIC Group, General Manager of CPIC P/C Tianjin Branch, Deputy Secretary of the Party Committee of IT Centre of CPIC Group, Senior Deputy General Manager of CPIC Life Suzhou Branch, head of the Strategy Research Centre of CPIC Group, head of the Party Committee Inspection Team of CPIC Group, and Director of the Company.

3. Senior management at head-office level (7 in total)

Mr. SHANG Jiaoyan, born in March 1978, holds a bachelor's degree, and has been serving as General Manager of the Company since May 2023 (approval document: CBIRC [2023] No. 293). Previously, Mr. SHANG served as head of Sales and Deputy General Manager (in charge) of Ping An Health Insurance Company Beijing Branch, Marketing Director/ General Manager of Individual Business Division of Ping An Health Insurance Company and Vice President of Tencent WeSure.

Mr. LI Jieqing, born in November 1968, holds a bachelor's degree. He has been serving as Deputy General Manager of the Company (approval document: CIRC [2016] No.450) since May 2016 and as Chief Risk Officer of the Company since August 2021 (no approval document), and Compliance Responsible Person of the Company since January 2024 (approval document: NFRA [2024] No. 42). Mr. LI also serves as Director of Shanghai Proton & Heavy Ion Hospital. Previously, Mr. LI served as Director of Risk and Compliance, Compliance Responsible Person and General Manager of Risk Management Department of CPIC Group, Director of CPIC P/C, CPIC Life, CPIC AMC and the Company, respectively.

Mr. SONG Quanhua, born in February 1973, holds a master's degree. He has been serving as Deputy General Manager of the Company (approval document: CBIRC [2021] No.691) since September 2021. He previously served as Deputy General Manager of CPIC Life Ningbo Branch, General Manager of CPIC Life Dalian Branch, Director of Party Affairs Department, General Manager of New Channel Business Department, General Manager of Corporate Channel Business Marketing Department, Deputy General Manager of Health and Elderly Care Business Center and Deputy General Manager of Group Business Center of CPIC Life, and General Manager of Pacific Medical & Healthcare Management Co., Ltd.

Mr. GUO Chao, born in February 1982, holds a master's degree, and is a member of the Society of Actuaries. He has been serving as Deputy General Manager of the Company since July 2024 (approval document: CBIRC [2021] No.697), and his qualifications do not require a second-time approval. Mr. GUO previously served as General Manager of the Brokers Department of Cigna & CMB Health Insurance, President of Shanghai Fuheng Insurance Brokers, President of Shanghai Xingyi Health Management Co., Ltd., General Manager of Health Insurance Business of Fosun High Tech (Group) and Deputy General Manager of Fosun United Health Insurance Co., Ltd.

Ms. YIN Yanling, born in June 1972, holds a master's degree and is a member of China Association of Actuaries. She has been serving as Finance Responsible Person of the Company since September 2021 (approval document: CBIRC [2021] No.729), serving as Chief Actuary of the Company since August 2022 (approval document: CBIRC [2022] No.532), as Board Secretary of the Company since August 2022 (no approval required) and as Deputy General Manager of the Company since March 2025 (approval document: NFRA [2025] No.160). She became a Director of the Company in March 2025 (approval document: NFRA [2025] No.175). Previously, she served as head of the Actuarial Management Section of Planning and Finance Department of CPIC Group, Assistant General Manager of Planning and Finance Department of CPIC Group, Deputy General Manager (in charge) of Financial Investment Department/Actuarial Department, Deputy General Manager (in charge) of Financial Management Department/Actuarial Department, Deputy General Manager of Risk Management Department/Risk Monitoring Department, General Manager of Financial Management Department/Actuarial Department, and General Manager of Actuarial Department of CPIC Group, General Manager of Actuarial Department of CPIC Life, Acting Finance Responsible Person and Acting Actuarial Responsible Person of the Company.

Ms. SUN Min, born April 1977, holds a doctoral degree and the designation of Senior Auditor. She has been serving as Internal Audit Responsible Person of the Company in since May 2025 (approval document: NRFA [2025] No. 266). Ms. Sun currently serves as General Manager of the Internal Audit Operations Department of CPIC Group. Her previous positions include Deputy Section Chief of Internal Audit Department of CPIC Life; Senior Auditor of Internal Audit Center of CPIC Group; Deputy General Manager of Internal Audit Technology Department, Deputy General Manager of Digital Audit Technology Department of CPIC Group and Acting Internal Audit Responsible Person

of the Company.

Ms. XUE Yongxian, born in November 1976, holds a master's degree. She has been serving as Assistant General Manager of the Company (approval document: NFRA [2025] No.324) since May 2025. Ms. XUE currently serves as head of Key Account Business Center of the Company. Previously, she served as Employee Representative Supervisor of the Company, Chairman of the Trade Union, General Manager of Shanghai Branch, General Manager of Sales Management Department and General Manager of Individual Life Insurance Cooperation Business Centre (SBU) of the Company; Deputy General Manager of Group Business Department/ Planning and Training Division of CPIC Life, Assistant General Manager of Group Business Department/ Accident Insurance Division of CPIC Life, Assistant General Manager/ Senior Manager of Group Business Department/ Direct Sales Supervision Division of CPIC Life, and section head of Group Business Department of CPIC Life.

Note: In April 2025, Ms. ZHOU Yanfang began to serve as Director of Changjiang Pension; in April 2025, Mr. WANG Yong began to serve as Supervisor (employee representative) of the Company and Ms. XUE Yongxian ceased to serve as Supervisor (employee representative) of the Company. Ms. Xue began to serve as Assistant General Manager of the Company in May 2025.

(IV) Subsidiaries, joint ventures or associate ventures (Yes■ No)

One associate venture: Shanghai Proton & Heavy Ion Hospital. The Company completed an investment of RMB100 million in the entity in January 2016, holding 20% of its shares.

There was no change during the reporting period.

(V) Breaches and administrative penalties during the reporting period (Yes No■)

None during the reporting period.

III. Main indicators

(I) Solvency margin ratios

Items As at the end of the reporting quarter As at the end of the previous quarter Next quarter estimates Admitted assets 1,331,381.54 1,266,846.73 1,385,674.30 Admitted liabilities 884,587.13 836,592.70 936,441.73

unit: 10,000 RMB yuan

Actual capital	446,794.41	430,254.03	449,232.56
Tier-1 core capital	336,406.04	331,982.65	331,268.75
Tier-2 core capital	29,387.21	28,894.33	31,062.29
Tier-1 supplement capital	77,131.16	67,276.61	82,810.92
Tier-2 supplement capital	3,870.00	2,100.43	4,090.60
Minimum capital	204,529.29	184,690.32	213,792.46
Minimum capital for quantifiable risks	202,981.36	183,292.54	212,174.43
Minimum capital for control risk	1,547.93	1,397.78	1,618.03
Minimum capital for supplement
capital	-	-	-
Solvency margin
Core solvency margin	161,263.96	176,186.66	148,538.59
Comprehensive solvency margin	242,265.13	245,563.71	235,440.10
Core solvency margin ratio (%)	179	195	169
Comprehensive solvency margin ratio (%)	218	233	210

(II) Regulatory indicators for liquidity risk

Indicators	During/as at the end of the reporting quarter	During/as at the end of the preceding quarter
Actual cash flow (unit:10,000 yuan)	19,627.84	3,191.49
Retrospective adverse deviation ratio of net cash flows from operating activities (%)	2433	-75
Overall liquidity coverage ratio under base scenario (next 3 months)(%)	147	119
Overall liquidity coverage ratio under base scenario (next 12 months)(%)	113	105
Overall liquidity coverage ratio under stress scenario - mandatory (next 3 months)(%)	515	456
Overall liquidity coverage ratio under stress scenario - mandatory (next 12 months)(%)	156	175
Overall liquidity coverage ratio under stress scenario - self-assessment (next 3 months)(%)	501	455
Overall liquidity coverage ratio under stress scenario - self-assessment (next 12 months)(%)	208	217
Liquidity coverage ratio before asset disposal under stress scenario - mandatory (next 3 months)(%)	202	129
Liquidity coverage ratio before asset disposal under stress scenario - mandatory (next 12 months)(%)	82	89
Liquidity coverage ratio before asset disposal under stress scenario - self-assessment (next 3 months)(%)	224	170
Liquidity coverage ratio before asset disposal under stress scenario - self-assessment (next 12 months)(%)	146	148

(III) Other indicators for liquidity risk

Indicators	As at the end of /during the reporting quarter	As at the end of/ during the previous quarter
Net cash flows from operating activities (unit: 10,000 yuan)	35,959.83	1,232.23
Comprehensive surrender ratio (%)	0.44	0.21
Net cash flows from participating/universal accounts	-	-
Written premiums year-on-year growth (%)	38.52	34.68
Share of cash and liquidity management tools (%)	4.96	3.75
Quarterly average financial leverage ratio (%)	1.75	3.11
Share of domestic fixed income assets rated AA and below (%)	-	-
Share of investments in listed stocks where the Company holds a stake of 5% or above (%)	-	-
Share of receivables (%)	23.61	21.25
Share of related party assets held (%)	5.00	4.09

(IV) Key business metrics

Indicators	As at the end of the reporting quarter/during the reporting quarter	unit: 10,000 yuan As at the end of the reporting quarter/YTD
Gross written premiums	215,023.39	452,478.17
Net profit	2,062.00	3,866.60
Total assets	1,025,746.65	1,025,746.65
Net assets	331,106.76	331,106.76
Insurance contract liabilities	544,015.35	544,015.35
Basic earnings per share (yuan)	0.01	0.01
ROE (%)	0.62	1.16
ROA (%)	0.20	0.38
Investment yield (%)	1.19	2.07
Comprehensive investment yield (%)	1.43	2.30

Note: Net profit, total assets, net assets, and insurance contract liabilities listed above were disclosed according to the Financial Report (which was prepared based on Chinese accounting standards such as Accounting Standard for Business Enterprises No. 22 - Recognition and Measurement of Financial Instruments revised and promulgated by the Ministry of Finance in 2017, and Accounting Standard for Business Enterprises No. 25 - Insurance Contracts revised and promulgated by the Ministry of Finance in 2020); basic earnings per share, ROE and ROA were calculated in accordance with the formula prescribed by Article 24 of Solvency Regulatory Standards of Insurance Companies No. 18 - Solvency Report, based on results of aforementioned indicators.

(V) Average investment yield and average comprehensive investment yield in the past three years

Average investment yield and average comprehensive investment yield of the Company in the past three years were 3.33% and 3.58%, respectively.

IV. Risk management capabilities

(I) Company category

The Company was incorporated in December 2014. As of the end of June 2025, its total assets reached 10,257.4665 million yuan, with written premiums amounting to 2,174.1299 million yuan in the first half of 2025. It has 4 provincial-level branch offices, and according to Solvency Regulatory Standards of Insurance Companies No.12: Solvency-aligned Risk Management Requirement and Assessment, the Company is in Category II.

(II) Measures taken to improve risk management and the latest status

The Company revised and formulated its 2025 risk appetite and risk tolerance. Based on realities of its business operation and with an aim of preventing major risks, we set specific indicators and thresholds for the 2025 risk limit framework. The framework covers all types of risks faced by the Company, including insurance business, investment and operational management, seeking to ensure effective constraints on key business lines / areas.

The Company monitored indicators of Integrated Risk Rating (IRR) and other relevant life insurance regulatory ratings for forward-looking and retrospective analyses. It focused on rectification of "weak links" while breaking down and cascading risk management responsibilities to functions/departments to continuously enhance its overall risk management capabilities.

In Q2 2025, the Company's risk management system and all related activities were consistently implemented as per established risk management policies and procedures. Under the framework of the Company's risk management and risk appetite systems, no major risk events occurred during the second quarter of 2025.

(III) Results of Latest Solvency Aligned Risk Management Requirements and Assessment (SARMRA) of the Company

The Company scored 80.15 points at SARMRA assessment for 2022. To be specific, it

consisted of 16.29 points for risk management infrastructure and environment, 7.69 points for risk management objectives and tools, 7.98 points for insurance risk management, 8.14 points for market risk management, 8.13 points for credit risk management, 8.16 points for operational risk management, 7.81 points for strategic risk management, 7.89 points for reputational risk management, and 8.06 points for liquidity risk management.

V. Integrated risk rating (differentiated supervision)

(I) IRR results in the previous two quarters

The Company was rated AA for both Q4 of 2024 and Q1 of 2025, which met regulatory requirements in solvency, with a low level of operational risk, reputational risk, strategic risk and liquidity risk.

(II) Measures taken or to be taken for improvement

In Q2 2025, in light of Assessment Criteria for Unquantifiable Risks of Insurance Companies, the Company took key control measures for operational and strategic risk indicators which, according to the self-assessment, could be further improved. In terms of operational risk, it continued to enhance operational efficiency while maintaining current operational turnaround and quality, focusing particularly on handling of insurance frauds and customer complaints, and on implementing the use of 3 operational risk management tools as per regulatory requirements. With regard to strategic risk, it maintained stability in senior management turnover and business development. As for reputational risk, it maintained the status of zero media crisis during the reporting period.

(III) Findings of self-assessment of operational, strategic and reputational risks

Liquidity risk: Liquidity risk of the Company mainly stems from claims and maturity payments on insurance contracts, and daily expenditures on business activities. As of the end of Q2 2025, there were no circumstances which may trigger liquidity risk. The Company maintained a high proportion of liquid assets, with the 5-day liquidation ratio at sound levels, which enabled it to meet various needs for liquidity. At the same time, the Company maintained a certain level of gear ratio and financing activities to ensure sufficient borrowing to ease the pressure on liquidity in the unlikely event of emergencies. Overall, the sources of liquidity outweighed needs for liquidity, indicating a low risk of liquidity gaps.

Operational risk: In terms of compliance and internal control, the Company detected no breaches and received no administrative penalties from the regulator in Q2 2025. On the IT side, the Company's core systems were 100% usable, and there was no financial losses incurred due to system failures. As for personnel, workforce turnover was relatively low. There was no losses resulting from operational risk incidents in sales, U/W, POS, claims settlement or investment, or occurrence of insurance frauds in the quarter.

Reputational risk: The Company's media monitoring system includes the in-house system of the Group and third-party monitoring services, which can effectively monitor, on a daily basis, negative publicity of the Company and its insurance/ investment counter-parties. In daily work, the Company strictly implements various reputational risk management processes covering early-stage assessment, risk handling and post-crisis accountability. In the reporting quarter, the Company did not experience any reputational risk events on mainstream (Level-1 or Level-2) or other types of media.

Strategic risk: In light of its Strategic Development Plan and annual business objectives, the Company defined its strategic positioning, paths of implementation and expected results. It has a clear strategic direction, with detailed plans for execution. Guided by its own strategic objectives and those of the Group, the Company will strive for breakthroughs across all KPIs in the next three years to pursue high-quality development. It formulated strategic decisions based on market environment to identify, assess and manage strategic risks by means of target breakdown, business review on a regular basis, analysis of market conditions and its own strengths and weaknesses. In Q2 of 2025, there was no breach of risk limits and no occurrence of strategic risk incidents.

VI. Management analysis and discussions

(I) Solvency Analysis

1. Actual capital

As at 30 June 2025, actual capital of the Company amounted to 4,467.9441 million yuan, an increase of 3.8% from the previous quarter, mainly due to increase in future surplus on insurance policies.

2. Minimum capital

Minimum capital of the Company as at the end of the reporting period was 2,045.2929

million yuan, up by 10.7% from the end of the previous quarter, mainly due to: changes to long-term business mix and business growth, which increased minimum capital requirement for life insurance risk; increase in fair value of equity investments from the preceding quarter, which led to higher minimum capital requirement for market risk; changes to aging distribution of accounts receivable and extended duration of corporate/enterprise bonds, which led to increase in minimum capital for credit risk. Of this, minimum capital for life insurance risk was 1,708.9709 million yuan, that for non-life business was 813.8318 million yuan, that for market risk 365.3508 million yuan, that for credit risk 306.7839 million yuan, diversification effect for quantifiable risk was 939.5890 million yuan, and that for control risk was 15.4793 million yuan.

3. Solvency margin ratios

As of 30 June 2025, the Company's core solvency margin was 1,612.6396 million yuan, with a core solvency margin ratio of 179%; comprehensive solvency margin was 2,422.6513 million yuan, with a comprehensive solvency margin ratio of 218%.

(II) Liquidity risk

For the reporting quarter, net cash flow was 196 million yuan, mainly because of increased cash received from operating activities; the difference between actual net cash flow from operating activities and the estimate was 362 million yuan, with a retrospective adverse deviation ratio of 2433%, in line with regulatory requirements. As of the end of Q2 2025, all liquidity coverage ratios under various scenarios and all liquidity indicators were in compliance with regulatory requirements.

The Company will strictly follow regulatory rules and requirements on solvency-related cash flow projection, take into account factors such as business development and market changes, regularly evaluate the effectiveness of its liquidity risk management mechanisms and systems, and make appropriate arrangements, if necessary, to ensure a reasonable liquidity risk level.

Summary of Quarterly Solvency Report (Excerpts)

Pacific Anxin Agricultural Insurance Co., Ltd.

2nd Quarter of 2025

Company overview and contact information

Company name (Chinese):	太平洋安信农业保险股份有限公司
Company name (English):	Pacific Anxin Agricultural Insurance Company Limited
Legal representative:	SONG Jianguo
Registered address	3651 Gonghexin Road, Shanghai, the PRC.
Registered capital	1.08bn yuan
Business license number	00000089
Date opening for business	September 2004
Business scope	Agricultural insurance; property indemnity insurance; liability insurance including mandatory liability insurance; credit and guarantee insurance; short-term health and accident insurance; other types of property insurance relating rural areas and farmers; reinsurance of the above said insurance; insurance agency business (business which requires approval will be conducted subject to approval documents or permits)
Business territories	Shanghai, Zhejiang Province, Jiangsu Province.
Contact person:	LI Mao
Tel. number:	+86-21-66988703
Cell phone:	18817959847
Email:	[email protected]

I. BOARD AND MANAGEMENT STATEMENT··············································4
II. BASIC INFORMATION··········································································5
III. MAIN INDICATORS···········································································13
IV. RISK MANAGEMENT CAPABILITIES····················································16
V. INTEGRATED RISK RATING (DIFFERENTIATED SUPERVISION)················18
VI. MANAGEMENT ANALYSIS AND DISCUSSIONS ····································22

I. Board and management statement

(I)Statement by board and management

The report has been approved by the board of directors of the Company. The board and senior management of the Company warrant that the contents of this report are true, accurate and complete and have fully complied with applicable laws and regulations, and that there is no false representation, misleading statement or material omissions; and they severally and jointly accept responsibility for the contents of this report.

Name of directors	For	Against	Abstain
SONG Jianguo	√
ZHENG Kai	√
MAO Xiaojun	√
XING Zhibin	√
SHEN Chun	√
ZHANG Qiao	√
ZHOU Hua	√
Total	7

(II) Voting results by directors

Note: Mark "√" in corresponding blanks according to opinions of directors.

There are no directors who cannot guarantee or raise any issues with the truthfulness, accuracy, completeness or compliance of the contents of this report.

II. Basic information

(I) Ownership structure and shareholders, and change during the reporting period

1.Ownership structure and change

	As at the beginning of the reporting period		Change of shares or stake during the reporting period				As at the end of the reporting period
Types of shareholders	Shares or contribution	Percentage (%)	Shareholder injection	Transfer from capital reserve and share dividends distribution	Share transfer	Sub total	Shares or contribution	Percentage (%)
State	0	0	0	0	0	0	0	0
State-owned legal person	108,000	100	0	0	0	0	108,000	100
Private legal person	0	0	0	0	0	0	0	0
Foreign	0	0	0	0	0	0	0	0
Others	0	0	0	0	0	0	0	0
Total	108,000	100	0	0	0	0	108,000	100

Note: (1) Shares apply to joint-stock companies (unit: 10,000 shares), and stake applies to non-joint-stock companies (unit: 10,000 yuan). (2) Ownership by state refers to the stake acquired by investment entities or departments on behalf of the state by way of capital contribution or following legal procedures. Such shares are registered by insurance companies as being owned by the e ntity or department. Ownership by state-owned legal persons refers to the stake acquired by state-owned enterprises, not-for-profit organisations and other entities by way of contributing capital to an independent insurance firm or acquired following legal procedures using assets legally in their possession. Such shares are registered by insurance companies as being owned by the state owned enterprise, not-for-profit organisation or entity.

2.De facto controller

The Company has no de factor controller. China Pacific Property Insurance Co., Ltd. is the majority shareholder, holding 67.78% of the shares of the Company.

3.Shareholders and related parties as at the end of the reporting period

Names of shareholders	Types of shareholders	Shares held at the end of the reporting period (unit:10,00 0shares)	Shareholding percentage at the end of the reporting period	Shares pledged or in lock-up
China Pacific Property Insurance		73,205.68	67.78% 0
Co., Ltd.	State-owned
Shanghai Agricultural Development
Co., Ltd.	State-owned	7,718.03	7.15%	0

Names of shareholders	Types of shareholders	Shares held at the end of the reporting period (unit:10,00 0shares)	Shareholding percentage at the end of the reporting period	Shares pledged or in lock-up
Shanghai Minhang Asset Investment (Group) Co., Ltd.	State-owned	5,365.19	4.97%	5,365.19 (unit:10, 000shar es) in lock-up
Shanghai Nongfa Asset Management Co., Ltd.	State-owned	4,201.72	3.89%	0
Shanghai Fengxian District State owned Asset Operation Co., Ltd.	State-owned	3,653.35	3.38%	0
Shanghai Baoshan Fiscal Investment Company	State-owned	3,150.84	2.92%	0
Shanghai Jiading Guangwo Asset Management Co., Ltd.	State-owned	2,504.59	2.32%	0
Shanghai Songjiang State-owned Asset Investment Management Group Co., Ltd.	State-owned	2,025.88	1.88%	0
Shanghai Huinong Investment Management Co., Ltd.	State-owned	1,817.99	1.68%	0
Shanghai Qingpu Asset Management Co., Ltd.	State-owned	1,719.37	1.59%	0
Shanghai Jinshan Capital Management Group Co. Ltd.	State-owned	1,640.50	1.52%	0
Shanghai Chongming Asset Operation Co., Ltd.	State-owned	996.86	0.92%	0
Total	——	108,000.00	100.00%	0
Related party relations among shareholders	None

Note: Types of shareholders refer to "state-owned", "foreign" and "natural persons", etc.

4.Shareholding by directors, supervisors and senior management

None during the reporting period.

5.Share transfer during the reporting period

None during the reporting period.

(II) Directors, supervisors and senior management at head-office level

1. Directors, supervisors and senior management at head-office level

1.1 Directors

As of the end of June 2025, the 5th Board of Directors of the Company has 6 directors in total:

Mr. SONG Jianguo, born in December 1966, holds a master's degree. He has been serving as Chairman of the Company since February 2015 (approval document: CIRC [2015] No. 143). Mr. SONG currently serves as Deputy General Manager of CPIC P/C and President of Tai'an Agricultural Insurance Institute. He previously served as General Manager of CPIC P/C Hainan Branch, General Manager of Property Liability Insurance Department of CPIC P/C, General Manager of CPIC P/C Shandong Branch, Sales Director of CPIC P/C, etc.

Mr. MAO Xiaojun, born in March 1967, received junior college education and the designation of Accountant. He has been serving as Non-executive Director of the Company since July 2015 (approval document: CIRC [2015] No. 732). Mr. MAO currently serves as General Manager of Shanghai Shenlian Shengshi Enterprise Development Co., Ltd. He previously served as CFO of Shanghai Dalong Accounting Firm, and head of Investment Management Department of Shanghai Minhang Asset Investment Management (Group) Co., Ltd.

Ms. XING Zhibin, born in June 1982, holds a bachelor's degree. She has been serving as Non-executive Director of the Company since February 2022 (approval document: CBIRC [2022] No. 32). Ms. XING currently serves as head of Assets Supervision Section of Shanghai Agricultural Development Promotion Center. She previously served as Deputy Manager of Administrative Affairs Department of Shanghai Kaibo Property Management Co., Ltd., Deputy Head of Organization and Personnel Section of Shanghai Modern Agriculture Open Training Center, and Director of General Office of Shanghai Agricultural Development Promotion Center.

Mr. ZHOU Hua, born in August 1977, holds a doctoral degree and is a Fellow of China Association of Actuaries (FCAA, life insurance). Mr. ZHOU has been serving as Independent Director of the Company since April 2024 (approval document: NFRA [2024] No. 254). Mr. ZHOU is a professor at Central University of Finance and Economics (CUFE), dean of the university's School of Insurance, dean of China Institute of Actuarial Science. He previously served as teaching assistant, lecturer, associate professor, deputy director of the Department of Actuarial Science, and deputy dean of the School of Insurance of CUFE. Mr. ZHOU is also a director of the China Association of Actuaries and an independent director of New China Pension Co., Ltd.

Mr. SHEN Chun, born in August 1971, holds a bachelor's degree. He has been serving as Independent Director of the Company since January 2019 (approval document: CBIRC [2019] No. 44). Mr. SHEN currently serves as Director of Management Committee of Excellent Law Firm, Chairman of Wusong General Branch of Baoshan Committee of China Democratic National Construction Association, member of the Standing Committee of the 9th Baoshan District Political Consultative Conference, Law Enforcement Supervisor of CPC Political and Legal Commission of Baoshan District, Legal Advisor of Government of Baoshan District. Mr. SHEN previously served as deputy head and partner of Shanghai Zhengming Law Firm.

Mr. ZHANG Qiao, born in November 1962, holds a doctoral degree. He has been serving as Independent Director of the Company since December 2022 (approval document: CBIRC [2022] No. 851). Mr. ZHANG currently serves as executive member of the Agriculture Risk Management Council of China, Research Fellow of the National Research Centre on Agriculture and Rural Areas of China Agriculture University, and vice chair of the Panel of Monitoring and Early Warning of China Agricultural Institute. He previously served as Assistant Research Fellow, Deputy Research Fellow and Research Fellow of Agricultural Information Institute of the Chinese Academy of Agricultural Sciences, and lecturer of Shanxi University of Finance and Economics.

1.2 Supervisors

As of the end of June 2025, the 4th Board of Supervisors of the Company has 6 supervisors:

Mr. CHEN Yuanliang, born in June 1971, received post-graduate university education, and has been serving as Supervisor and Chairman of the Board of Supervisors of the Company since September 2023 (approval document: NFRA [2023] No. 260). Mr. CHEN also serves as Vice Dean of Tai'an Agricultural Insurance Institute, Market Development Director (sannong) and General Manager of Market Department of Sannong Business Centre of CPIC P/C. Previously he served as General Manager of CPIC P/C Baotou Central Sub-branch, Deputy General Manager of CPIC P/C Inner Mongolia Branch, General Manager of the Agricultural Insurance Business Unit, General Manager of the Agricultural Insurance Market Development Department, and General Manager of the Agricultural Insurance Management Department of CPIC P/C, General Manager of CPIC P/C Xinjiang Branch, and Deputy General Manager of Anxin Agricultural Insurance Co., Ltd.

Ms. ZHANG Wen, born in November 1984, holds a bachelor's degree. She has been serving as Supervisor of the Company since July 2022 (approval document: CBIRC [2022] No. 403). Ms. ZHANG currently serves as Manager of Asset Management Department of Shanghai Kailun Investment Co. Ltd. She previously served as Executive Director, General Manager of Shanghai Xingbo Supplies Co., Ltd., General Manager of Business Development Management Department, Employee Representative Supervisor, and Director of Administration of Shanghai Fengxian SPD Rural Bank, Assistant President and then Deputy President of Shanghai Fengxian Branch of Ningbo Bank.

Mr. ZHANG Rongyao, born in July 1989, holds a master's degree. He started to serve as Supervisor of the Company in January 2025 (approval document: NAFR [2024] No. 885). Mr. Zhang currently is a member of the CPC Committee of Shanghai Jiading

Technology Investment (Group) Co., Ltd. and General Manager of Shanghai Huijia Venture Capital Co., Ltd. He previously served as Corporate Communications Manager of the General Management Department, Deputy Director of the Party-People Work Department, head of the Secretary & Supervision Office of the General Management Department, head of the General Office, and head of the Secretary & Supervision Office of the General Office at Shanghai Jiading State-owned Assets Operation (Group) Co., Ltd.

Ms. YUAN Changming, born in May 1966, holds a master's degree. She has been serving as Supervisor of the Company since April 2024 (approval document: NFRA [2024] No. 237). Ms. YUAN currently is a teacher and associate professor at the School of Management of Shangdong University, and also a certified public accountant of Shangdong SD-Audit Certified Accounts Co., Ltd., a management consultant of Tianju Enterprise Group, and an independent director of MH Robot & Automation Co., Ltd. She was previously a teacher at Bengbu Finance and Trade Vocational School, head of the Finance Section of Shandong Inzone Group Co., Ltd, and a lecturer at Shandong University of Technology. Ms. YUAN was also concurrently an advisor at Shandong Anpurui Agriculture and Animal Husbandry Development Co., and adjunct professor at Shandong Agricultural Management College.

Mr. ZHANG Xiangdong, born in April 1966, holds a bachelor's degree in medicine and designation of agronomist. Mr. ZHANG has been serving as Supervisor of the Company since April 2024 (approval document: NFRA [2024] No. 237). Mr. ZHANG currently serves as Chairman of Shanghai Caoye Agricultural Development Co., Ltd., and Chairman of Shanghai Baida Supermarket Co., Ltd. He is also a special deputy to the People's Congress of Fengxian District, Shanghai, a special member of the Standing Committee of the People's Congress of Fengxian District, and Director of Tai'an Agricultural Insurance Institute. Previously, he was an employee of Shanghai Pharmaceuticals & Health Products Import & Export Corporation, and Corporate Development Manager of Amtek Group (Singapore).

Mr. GUO Zongjie, born in December 1968, holds a bachelor's degree. He became Employee Representative Supervisor of the Company in December 2020 (approval document: CBIRC [2020] No. 860). Mr. GUO is currently head of the Office of the Board of Directors/Office of the Board of Supervisors, head of the Party Building Department, and Director of the Party Committee Office of the Company. Previously, he served as Director of the General Office and Party Committee Office of CPIC P/C Shandong Branch, General Manager of the Intermediary Business Department of CPIC P/C Shandong Branch, and Director of the Administrative Office and General Manager of the Development Planning Department of the Company.

1.3 Senior management at head-office level

As of the end of June 2025, the Company has 7 members of senior management:

Mr. ZHENG Kai, born in August 1972, holds a master's degree. He has been serving as General Manager of the Company since March 2025 (approval documents: NFRA

[2025] No. 150). Mr. ZHENG is also member of the Jing'an District Committee of CPPCC. Mr. ZHENG previously served as deputy head of Youth Work Department of Communist Youth League Shanghai Municipal Committee, Secretary-General of Shanghai Young Entrepreneurs Association, deputy head of Economic Division of Taiwan Affairs Office of Shanghai Municipal Government, head of Exchange and Communication Division of Taiwan Affairs Office of Shanghai Municipal Government, head of Coordination Division of Taiwan Affairs Office of Shanghai Municipal Government, and General Manager of Shanghai Urban Areas Business Centre of Anxin Agricultural Insurance Co., Ltd, Deputy General Manager and Board Secretary of the Company.

Ms. LI Shuhui, born in July 1972, holds a master's degree and the designation of Senior Auditor, CPA, CIA and CCSA. She has been serving as Finance Responsible Person and Deputy General Manager of the Company since December 2019 (approval documents: CBIRC Shanghai [2019] No. 984, and CBIRC Shanghai [2019] No. 983 respectively). She currently also serves as Interim Board Secretary and Chief Information Officer of the Company. She previously served as Deputy General Manager of the Second Division/Internal Audit Center, General Manager of Audit Technology Division of CPIC Group, Supervisor of CPIC Allianz Health, Internal Audit Responsible Person of Changjiang Pension, Supervisor of CPIC Online Services, Supervisor of Anxin Agricultural Insurance Co., Ltd, and General Manager of Finance Department and Asset Management Department of CPIC P/C, and Supervisor of CPIC P/C.

Mr. HUANG Xiaofeng, born in March 1971, holds a master's degree. He has been serving as Assistant General Manager of the Company (approval document: CBIRC [2022] No. 409) since June 2022. Previously, Mr. HUANG served as deputy head of Gaodong Township, head of Heqing Township, Pudong New Area, Shanghai; Deputy Director of Rural Affairs Office of CPC Pudong New Area, Deputy Director of District Agricultural Committee of Pudong New Area, member of CPC Committee of Anxin Agricultural Insurance Co., Ltd. and General Manager of its Shanghai Nanhui Subbranch, Deputy Party Secretary and Deputy General Manager of Shanghai Branch of Anxin Agricultural Insurance Co., Ltd., member of CPC Committee/General Manager of Agricultural Insurance Market Development Department and General Manager of Agricultural Insurance Business Management Department of Pacific Anxin Agricultural Insurance Co., Ltd.

Mr. WU Gang, born in August 1970, holds a bachelor's degree. He has been serving as Compliance Responsible Person, and Chief Risk Officer of the Company (approval document: CBIRC [2022] No. 403) since June 2022. Previously, Mr. WU served as Assistant General Manager, Deputy General Manager (in charge) and General Manager of CPIC P/C Ningxia Branch, General Manager of CPIC P/C Gansu Branch, and General Manager of the Legal Affairs and Compliance Department of CPIC P/C.

Mr. HU Dexiong, born in August 1983, holds a master's degree. He has been serving as Assistant General Manager of the Company since March 2024 (approval document: NFRA [2024] No.99). Mr. HU previously worked with Anxin Agricultural Insurance Company Limited, serving as Deputy Manager of the Policy Research Office of the Agricultural Insurance Department, Deputy Manager of the Branch Management Section of the Strategic Development Department, Assistant General Manager and Deputy General Manager of the Strategic Development Department, Deputy General Manager of the Agricultural Insurance Market Development Department, Deputy General Manager (in charge) and General Manager of the Product Research and Development Department. He also served as General Manager of the Development & Planning Department of the Company.

Mr. WU Kaibing, born in July 1968, holds a doctoral degree and the designation of Senior Auditor. He has been serving as Internal Audit Responsible Person since October 2017 (approval document: CIRC [2017] No. 1191). Mr. WU currently serves as General Manager of the Internal Audit Department (South China) of CPIC Group. He previously served as head of Securities Research of the Shanghai Securities Department of SDIC Hainan, Assistant President of Shanghai Kaiquan Pump (Group) Co., Ltd., Deputy Director of the Financial Audit Division of CNAO's Shanghai Resident Office, Senior Auditor of the Second Division of the Internal Audit Centre of CPIC Group, Supervising Auditor, and Deputy General Manager of the Internal Audit Business Department of Internal Audit Center of CPIC Group.

Ms. YANG Guotao, born in January 1981, holds a master's degree and membership of China Association of Actuaries and FRM qualification. She has been serving as Chief Actuary of the Company since January 2020 (approval document: CBIRC Shanghai [2019] No. 1096). Ms. YANG currently serves as General Manager of the Actuarial Department of the Company. She previously worked in the capacity of actuarial service with China Continent Insurance Co. Ltd., served as Actuarial Responsible Person and Deputy General Manager (in charge) of the Actuarial Department of Anxin Agricultural Insurance Co., Ltd.

Position	Predecessors	Incumbents	Remarks
Director	SHI Jian	ZHENG Kai	Mr. SHI Jian ceased to serve as director of the Company on May 23, 2025 due to reelection of the board; Mr. ZHENG Kai obtained appointment qualification of a director on July 1, 2025, and began to serve as director of the Company on July 3, 2025.
Director	CHEN Sen	-	Mr. CHEN Sen ceased to serve as director of the Company on May 23, 2025 due to reelection of the board.

2.Changes to directors, supervisors and senior management at head-office level

Position	Predecessors	Incumbents	Remarks
Director	ZHOU Li	-	Ms. ZHOU Li ceased to serve as director of the Company on May 23, 2025 due to reelection of the board

(III) Subsidiaries, joint ventures or associate ventures

None during the reporting period.

(IV) Breaches and administrative penalties during the reporting period

1. Administrative penalties by financial regulators or other government departments against insurance companies and their directors, supervisors, and senior management at head-office level

None.

2. Misconduct which triggered judicial proceedings by directors, supervisors, management at department-head level or above at headquarters or senior management of provincial branch offices

None.

3. Regulatory measures against the Company by NFRA (former CBIRC) None during the reporting period.

III. Main indicators

(I) Solvency margin ratios

	unit: 10,000yuan
Lines		As of the end of	As of the end of	Next quarter
	Item	Q2 2025	Q1 2025	estimates
1	Admitted assets	732,452	727,762	719,610
2	Admitted liabilities	422,564	406,110	407,288
3	Actual capital	309,887	321,652	312,322
3.1	Tier-1 core capital	278,750	291,211	281,185
3.2	Tier-2 core capital	-	-	-
3.3	Tier-1 supplement capital	31,137	30,440	31,137
3.4	Tier-2 supplement capital	-	-	-
4	Minimum capital	99,091	95,086	101,706
4.1	Minimum capital for quantifiable risks	96,896	92,980	99,453
4.1.1	Minimum capital for life insurance risk	-	-	-
4.1.2	Minimum capital for non-life insurance risk	81,266	78,460	82,622
4.1.3	Minimum capital for market risk	45,825	42,950	47,717
4.1.4	Minimum capital for credit risk	27,836	27,077	29,112
4.1.5	Diversification effect for quantifiable risks	47,264	45,176	48,947
4.1.6	Loss absorption for special-type insurance contracts	-	-	-
4.2	Minimum capital for control risk	2,195	2,106	2,253
4.3	Supplement capital	-	-	-
5	Core solvency margin	179,659	196,125	179,479
6	Core solvency margin ratio	281.31%	306.26%	276.47%
7	Comprehensive solvency margin	210,796	226,566	210,616
8	Comprehensive solvency margin ratio	312.73%	338.27%	307.08%

(II) Regulatory indicators for liquidity risk

Items			As at the end of/	As at the end of/
			during Q2 2025	during Q1 2025
Liquidity Coverage Ratio (%)	LCR1	Next 3 months	105.4%	116.0%
		Next 12 months	110.8%	103.6%
	LCR2	Next 3 months	148.4%	196.6%
		Next 12 months	123.3%	111.9%
	LCR3	Next 3 months	67.8%	109.2%
		Next 12 months	88.3%	81.8%
Retrospective adverse deviation ratio of net cash flows from business activities		361.2%	28.1%
Net cash flows (RMB 10,000)	YTD		3,583	-988
	FY 2024		405	405
	FY 2023		1,528	1,528

(III) Other indicators for liquidity risk

	As of the end of/	As of the end of/
Item	during Q2 2025	during Q1 2025
1. Net cash flows from operating	-9,557	-34,058
activities(10,000 yuan)
2. Net cash flows from operating activities per	-7.7	-74.6
100 yuan in premiums (yuan)
3. Share of cash outflow for special types of		0.0%
business	0.0%
4. Written premiums growth year-on-year	1.1%	3.4%
5. Share of cash and liquidity management	1.9%	3.5%
instruments
6. Quarterly average financial leverage ratio	6.6%	9.2%
7. Share of domestic fixed income assets rated
AA and below	0.1%	0.1%
8. Share of investments in listed stocks with a
stake of 5% or above	0.0%	0.0%
9. Proportion of receivables	17.2%	18.3%
10. Proportion of related party assets held by	0.0%	0.0%
the Company

Notes:

1.Ratio of cash outflow from business of special types: Ratio of cash outflow from business of special types = (Claim expenses of special-type business + Claim reserves of special-type business) ÷(Total claim expenses + Total claim reserves) ×100%. Business of special types includes financing guarantee insurance business and non-auto business that accounts for more than 5% of total claim expenses, and the latter refers to non-auto insurance business that incurs, due to catastrophes or major claims, estimated or actual claim expenses after reinsurance exceeding 5% of total non-auto claim expenses of the previous year.

2.Ratio of receivables (%): Ratio of receivables= (Premium receivables + Reinsurance receivables) ÷ Total assets by the end of the reporting period × 100%. Premium receivables, reinsurance receivables and total assets refer to their respective book value as at the end of the reporting period.

3.Ratio of assets of related parties held: Ratio of assets of related parties held = Total investment assets of related parties held ÷ Total assets as at the end of the reporting period × 100%, excluding related-party transactions between the insurance company and the insurance group that it belongs to or between subsidiaries of the insurance group.

unit:10,000yuan
Indicators	As at the end of/	As at the end of Q2
	during Q2 2025	2025/YTD
Gross written premiums	88,997	139,339
Net profit	6,031	9,885
Total assets	616,064	616,064
Net assets	300,891	300,891
Insurance contract liabilities	205,697	205,697
Basic earnings per share (yuan)	0.06	0.09
ROE	2.0%	3.2%
ROA	1.0%	1.6%
Investment yield	1.3%	2.1%
Comprehensive investment yield	1.2%	2.2%
Profitability indicators
1. Combined ratio	--	99.9%
2. Expense ratio	--	18.9%
3. Loss ratio	--	81.0%
4. Proportion of commission and brokerage	--	2.3%
expenses
5. Proportion of operating and	--	11.9%
administrative expenses
Scale indicators
1. Written premiums	78,222	123,861
2. Written premiums of auto insurance	-	-

(IV) Key business metrics

3. Written premiums of top 5 non-auto insurance business lines	74,944	118,648
Largest non-auto business line	60,912	89,949
Second largest non-auto business line	5,981	12,954
Third largest non-auto business line	6,222	10,451
Fourth largest non-auto business line	1,411	4,500
Fifth largest non-auto business line	418	794
4. Average vehicle premium of auto insurance	-	-
5. Written premiums by channels	78,222	123,861
Agency	2,114	6,266
Direct	73,341	111,965
Brokerage	2,767	5,630
Others	-	-

Net profit, total assets, net assets, and insurance contract liabilities listed above were based on Accounting Standard for Business Enterprises No. 22 - Recognition and Measurement of Financial Instruments revised and promulgated by the Ministry of Finance in 2017, and Accounting Standard for Business Enterprises No. 25 - Insurance Contracts revised and promulgated by the Ministry of Finance in 2020; basic earnings per share, ROE and ROA were calculated in accordance with the formula prescribed by Article 24 of Solvency Regulatory Standards of Insurance Companies No. 18 - Solvency Report, based on results of aforementioned indicators.

(V) (Comprehensive) Investment yields in the past 3 years

Average investment yield in the past 3 years	3.81%
Average comprehensive investment yield in the past 3 years	3.67%

Note: As per Notice on Optimising Standards for Solvency Regulation of Insurance Companies by National Administration of Financial Regulation (NFRA [2023] No. 5), insurance companies shall disclose the average investment yield and average comprehensive investment yield in the past 3 years, based on the formula of: [(1+(comprehensive) investment yield in the most recent year)*(1+(comprehensive) investment yield in the second most recent year)*(1+(comprehensive) investment yield in the third most recent year]^(1/3)-1.

IV. Risk management capabilities

(I) Company category

The Company was incorporated in Shanghai in September 2004 as per approval of the former CIRC. In 2024, its written premiums amounted to 2.005bn yuan, and as of the end of 2024, total assets stood at 7.140bn yuan, with 3 provincial-level branch offices. According to Article 6 of Solvency Regulatory Standards of Insurance Companies No. 12: Solvency-aligned Risk Management Requirement and Assessment, it is a Category II insurance company.

(II) The latest result of Solvency Aligned Risk Management Requirements and Assessment (SARMRA) of the Company

The Company scored 76.69 points in the last on-site SARMRA assessment. As per Solvency Regulatory Standards of Insurance Companies No. 12: Solvency-aligned Risk Management Requirement and Assessment of Solvency Regulatory Standards of Insurance Companies (II) (CBIRC Document [2021] No. 51), the final score of the Company was 75.47 points.

(III) Measures taken to improve solvency risk management and the latest status

During the reporting period, the Company took further steps to enhance risk management. To be specific:

In respect of insurance risk, we completed an ad hoc assessment report for major products; retrospectively reviewed the results of the Company's reserve assessment for the previous year and the year before, which showed favourable developments and confirmed adequate reserve provisions; engaged a third-party institution to review the Company's 2024 reserve assessment results, which validated our assessment; proceeded with optimisation of the reinsurance system and enhanced management of inward reinsurance business.

In terms of market risk, we carried out quantitative assessment and quarterly analysis of ALM, which, among others, measured and analysed the impact of market fluctuations on investment yields, monitored the matching of costs and returns, with projections of key indicators to meet regulatory and in-house ALM requirements.

As for credit risk, we reviewed the lists of delinquent and overdue accounts and developed collection plans; performed examination of co-insurance claims recoveries and key delinquent accounts on an case-by-case basis; and regularly updated credit ratings information of brokers, reinsurers, and cedants to effectively monitor potential credit risk and issue early-warning.

On the side of operational risk, we revised the Operating Procedures for Customer Money Laundering Risk Ratings and Customer Classification Management, and the Operating Procedures for Large-Sum and Suspicious Transaction Reporting to enhance the Company's AML framework; launched a new AML system, completed quarterly AML self-review, with timely rectification based on identified issues; organised quarterly analysis of anti-fraud work by branches and drafted the Quarterly Fraud Risk Analysis Report; completed the 2024 Special Risk Assessment on Information Technology Outsourcing; continued with consumer rights protection management, formulated annual work programme and optimised KPI protocols to ensure effective review of consumer protection.

With regard to the strategic risk, we completed the quarterly analysis report on the

implementation of the Company's development plan for Q1 2025, and submitted it to the Board of Directors and Board of Supervisors; monitored ESG risks to help ensure sustainable, high-quality development of the Company.

For reputational risk management, we circulated Weekly Risk Alert Reports among relevant personnel to help detect and mitigate potential risks; conducted quarterly review of potential risk triggers to cement the foundation of reputational risk management and improve coordination in public opinion management.

With regard to liquidity risk, we continued to optimise cash flow projection modelling, enhanced retrospective review of net cash flows from operating activities, conducted review of cash flow budgets; tracked the status of claims, evaluated the impact of future claims pay-out on cash flows in a timely manner, so as to ensure sufficient liquidity and stable cash flows; continued to communicate with CPIC AMC to ensure an asset allocation compatible with needs for cash flows; reviewed and optimised the risk matrix of investment liquidity, continuously monitored and assessed market liquidity and interest rate movements and their impact on liquidation of investment assets; enhanced annual performance appraisal on accounts receivables and stepped up collection of arrears, continued to improve fund turnover and risk control; pushed for recoveries of variable, pure profit commissions from preceding years and strengthened cash flow management from reinsurance.

(IV) Status of SARMRA self-assessment

Not applicable during the reporting period.

V. Integrated risk rating (differentiated supervision)

(I) IRR results of the previous two quarters

The Company was rated AA at the IRR (differentiated supervision) by NFRA (formerly CBIRC) for both Q4 of 2024 and Q1 of 2025. It has briefed the board on IRR results, with follow-up analysis.

(II) Measures taken or to be taken for improvement

The Company's integrated risk rating (IRR) for Q1 2025 was AA.

In the reporting quarter, the Company strengthened its operational risk management, enhanced its regulatory data submission supervision mechanisms, and established a regulatory data submission oversight platform to improve regulatory data governance and ensure the timeliness and accuracy of reporting; optimised the IT governance framework, refined the IT control system, and improved the organisational setup for information security and data management functions; continuously monitored key indicators, pushed forward corrective actions, and further enhanced its risk management capabilities in strict compliance with requirements of the NFRA and the PBOC, as well as other industry regulations.

(III) Findings of self-assessment of operational, strategic, reputation and liquidity risks

1. Operational risk
1.1 Operational risk status

In the quarter, the Company strictly complied with regulatory requirements, proceeded steadily with the identification, assessment, control and mitigation of operational risk, with the risk staying within acceptable levels. First, it formulated rectification plans for various defects newly discovered in audits, carried out rectification with regular status follow-up, urged relevant parties to complete rectification according to the submitted plan;second, updated database of operational risk losses, with analysis and evaluation of such losses via risk management systems; third, amended and issued policies including Regulations on Management of Special Cases and Rules on Management of Major Cases, and ensured their strict implementation to control operational risks.

1.2 Methods of operational risk assessment

Conducted self-review by business lines and reporting of major operational risk events as per Solvency Regulatory Standards of Insurance Companies No.11.

1.3 Process of operational risk assessment

In the quarter, first, the Company conducted an assessment of IRR operational risk status, organised a review by relevant departments of operational risk in mis-selling, fraudulent claims, mis-handling in investment, erroneous financial information disclosure, money laundering, information security and system failures, with followup rectification. Second, monitored key indicators of operational risk in light of risk upper limits, management reports and remedial actions, with clear definition of their ownership by departments or branch offices. Third, conducted quarterly risk selfassessment in money laundering and insurance frauds. Fourth, in the event of major changes, carried out impact assessment.

1.4 Results of operational risk assessment

The review detected no serious flaws which may trigger operational risk. The monitoring of risk upper limits also indicated that the status of operational risk of the Company was in the comfort zone.

2.Strategic risk
2.1 Status of strategic risk

The strategic risk facing the Company mainly includes the following:

First is potential risks arising from high concentration of business in Shanghai. Second is the potential strategic risk arising from differentiated business geographies for agricultural insurance of CPIC P/C.

2.2 Methods of strategic risk assessment

Evaluation of market environment of industry strategic risk, the risk in formulation of strategic planning of the Company and the risk in its implementation, as per Solvency Regulatory Standards of Insurance Companies No.11 and related IRR indicators.

2.3 Process of strategic risk assessment

Collected and analysed information on a regular basis, enhanced review of the implementation status against budgets formulated at the year beginning, and communicated the gaps by business geographies/ business lines to company middle and senior management.

2.4 Results of strategic risk assessment

A risk review of the 2025 Report on Business Strategic Plan indicated that the report is in line with the risk appetite of the Company and complies with its risk tolerance.

The Company will continue to step up business development and product innovation, with a focus on urban agriculture. It will explore a standardised model for urban agricultural insurance business via policy & need analysis, duplication of product innovations, dynamic risk management and ecosystem collaboration, adopt a step-bystep approach and drive business growth that is profitable, sustainable and resilient.

3.Reputational risk

3.1 Status of reputational risk

In the reporting quarter, the Company organised a screening of reputational risk, which showed that public opinion of the Company was stable, and there was no risk of media crisis.

3.2 Methods of reputation risk assessment

During the quarter, first, we monitored online media through the Group's monitoring platform, with statistical analysis of sensitive words; second, organised efforts by the spokesperson and brand specialists to implement the Group's brand management policies and to share and handle media information in a timely manner; third, the Company issued the "Risk Early-warning" weekly reports with early-warning alerts to senior management and part-time reputational risk management staff to effectively prevent potential risks. We also conducted a company-wide screening of potential reputational risks, further enhanced reputational risk management capabilities, promoted the establishment of a full-process, closed-loop risk management system, so as to create a favourable environment for the Company's sustainable, healthy and stable development.

3.3 Process of reputational risk assessment

Filed sensitive words with the Group. Used Group platform for collection and statistical analysis of media reports containing such sensitive words, which would enable early responses or mitigation measures.

3.4 Results of reputational risk assessment

During the reporting period, adverse publicity of the Company stayed under control, and there was no occurrence of reputational risk or events which may trigger the risk.

4. Liquidity risk

4.1 Status of liquidity risk

The Company derives liquidity mainly from cash received as premiums, and from investment and financing activities. Demand for liquidity mainly stems from cash needed for claims payment, daily expenditures, investment and dividends distributed to shareholders.

As a specialised agricultural insurance firm, it mainly faces liquidity risk in the following areas:

First is the time lag in settlement of agricultural insurance premium receivables by governments. The subsidy for agricultural insurance would normally be accrued in advance and settled in the next year. Thus, the time lag has an impact the Company's cash flows. To address this, it vigorously conducted communications with government agencies in charge of agriculture and finance at various levels, seeking to optimise the process of fiscal subsidy transfers so that it could receive the fund at an early date and mitigate the risk arising from receivables.

Second is the catastrophe risk. The insurance business of the Company is mainly in the Yangtze River Delta, which is an area vulnerable to natural disasters like typhoons. As such, the Company formulates contingency plans for claims payment, assess its impact on cash flows, ensures coordination with cash flows from investment and financing activities so as to ensure the sufficiency and security of liquidity.

Moreover, the Company stays focused on ALM, closely follows liquidity indicators such as the share of securities sold under repurchase and the share of liquid assets to ensure an asset allocation and availability of financing instruments that can match needs for cash flows in the short- and medium-term term.

As at the end of Q2 2025, LCR under the base scenario (LCR1) for the next 12 months and LCR under the stress scenario (LCR2) for the next 12 months were both above 100%, indicating a sound status in liquidity risk.

4.2 Methods of liquidity risk assessment

Calculated liquidity coverage ratios, retrospective adverse deviation ratios of net cash flows from operating activities, with projection of net cash flows and stress testing of cash flows as per Solvency Regulatory Standards No. 13.

4.3 Process for liquidity risk assessment

On a quarterly basis, the Finance Department formulates comprehensive budgets

for operating and investment activities in light of the strategic and business plans of the Company, projects cash flows on a rolling basis to evaluate their impact on liquidity.

4.4 Results of liquidity risk assessment

Assessment based on regulatory indicators and cash flow stress testing indicated sufficient liquidity to meet needs of the Company.

VI. Management analysis and discussions

(I) Changes to solvency margin ratios and reasons

As of the end of the quarter, the comprehensive and core solvency margin ratios of the Company was 312.73% and 281.31% respectively, still in a strong position, though down by 25.5pt and 25.0pt respectively from the preceding quarter.

Actual capital was 3.099bn yuan, a decrease of 118mn yuan from the previous quarter, mainly due to declared profit distribution in the quarter.

Minimum capital stood at 991mn yuan, an increase of 40mn yuan from the preceding quarter. Of this, minimum capital for insurance risk rose by 28mn yuan, largely due to increase in outstanding claims reserves, which in turn led to higher minimum capital requirement for premium and reserve risk; minimum capital for market risk rose by 29mn yuan, mainly due to decline in interest rates and increased allocation in equity securities, which in turn led to higher capital requirement for interest rate risk and equity price risk; that for credit risk increased by 8mn yuan; risk diversification effect rose by 21mn yuan.

(II) Changes to liquidity risk indicators and reasons

As of the end of the reporting quarter, cash and cash equivalents stood at 114.49mn yuan, an increase of 45.70mn yuan from 68.79mn yuan in the previous quarter. The increase was mainly due to higher cash inflows received as premiums under primary insurance contracts during the quarter.

LCRs of the next 3 months and next 12 months under base scenarios (LCR1) were 105.4% and 110.8%, respectively.

LCR2s, or LCRs of the next 3 months and next 12 months under stress scenario (mandatory) were 148.4% and 123.3%, respectively.

LCR2s of next 3 months and next 12 months under stress scenarios (self-testing) were 177.4% and 136.0%, respectively.

LCR3s, or LCRs of the next 3 months and next 12 months under stress scenarios before asset disposal (mandatory) were 67.8% and 88.3%, respectively.

LCR3s of the next 3 months and next 12 months under stress scenarios before

asset disposal (self-testing) were 82.9% and 101.7%, respectively.

The retrospective adverse deviation ratios of net cash flow from operating activities of the reporting quarter and the previous quarter were 361.2% and 28.1% respectively.

Net cash flow YTD was 35.83mn yuan. That for the previous fiscal year was 4.05mn yuan, and that for the year earlier was 15.28mn yuan.

(III) Change to IRR and reasons

The Company was rated AA at the IRR (differentiated supervision) for both Q4 2024 and Q1 2025 by NFRA.

AI Terminal

China Pacific Insurance Grp Co. Ltd

10453_rns_2025-08-28_5c74b4bc-8bfc-4b7e-beca-98924b8c9f7f.pdf

Summary of Solvency Report (Excerpts)

Company overview and contact information

CONTENTS

I. Board and management statement

1.Voting results by directors

II. Basic Information

(I) Shareholding structure, shareholders and change

1.Shareholding structure (unit: share)

2.Top 10 shareholders (unit: share)

Notes:

III. Business Operation of Major Member Companies

(I) CPIC Life

(II) CPIC P/C

(III) CPIC Health

(IV) CPIC AMC

(V) Changjiang Pension

(VI) Other member companies

IV. Solvency Statements

Solvency Statements of Insurance Holding Groups

Name:China Pacific Insurance (Group) Co. Ltd.

V. Management Analysis and Discussions

(I) Analysis of solvency margin ratio movements during the reporting period

(II) Analysis of changes to IRR and Group risk status during the reporting period

VI. Risk Management Capabilities

(I) Group solvency risk governance

(II) Risk management strategies and implementation

1. Risk management strategies

2.Risk appetite systems and objectives

necessary.

3. Risk management tools

(III) Identification and assessment of Group-specific risks

1.Risk contagion

2. Risk of opaque organizational structure

3.Concentration risk

4. Non-insurance risk

(IV). Results of SARMRA assessment

VII. Integrated Risk Rating

(I) IRR results of the previous 2 quarters

(II) Remedial actions taken or to be taken

Summary of Quarterly Solvency Report (Excerpts)

Company overview and contact information

CONTENTS

I. Board and management statement

II. Basic information

(I) Ownership structure, shareholders and change during the reporting period

1.Ownership structure (unit: 10,000 shares)

2.De facto controller

(II) Directors, supervisors and senior management and the changes thereof

(1). Directors

(2). Supervisors

(3) Senior management at head-office level

(III) Subsidiaries, joint ventures or associates

(IV) Breaches

II. Key Indicators

(I) Key solvency metrics

(II) Liquidity risk indicators

1. Regulatory indicators for liquidity risk

2. Other indicators of liquidity risk

(III) Key business metrics

III. Risk management capabilities

(I) Classification of insurance companies

(II) Measures taken to improve risk management and status during the reporting period

(III) Results of the most recent solvency risk management valuation

(IV) Status of SARMRA self-assessment

IV. Information on IRR (differentiated supervision)

(I) Results of IRR in the previous 2 quarters

(II) Status of various risks of the Company

1.Operational risk

V. Management analysis and discussions

(I) Review of key operating results

2. Analysis of solvency margin ratio movement

Summary of Quarterly Solvency Report (Excerpts)

Company overview and contact person

CONTENTS

I. Board and management statement

(I). Board and senior management statement

(II). Information on review of the report by the board