TFMI — Annual Report 2025

Apr 28, 2026

Stock Code: 2832

Taiwan Fire & Marine Insurance Co., Ltd.

Financial Statements for The Years Ended 31 December 2025 and 2024 With Independent Auditors’ Report

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Address: 8-9F., No. 49, Guanqian Rd., Taipei 100, Taiwan (R.O.C) Tel: (02)2382-1666

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§ TABLE OF CONTENTS §

ITEM I. Cover II. Table of Contents III. ICPA’s Review Report IV. Balance Sheet V. Statements of Comprehensive Income VI. Statements of Changes in Equity VII. Statements of Cash Flows VIII. Notes to Financial Statement (I) Company profile (II) Date and procedure for authorization of financial statements (III) Applicability of newly promulgated and amended standard rules and interpretations (IV) Summary of significant accounting policies (V) Major sources of major accounting judgments, estimate and hypotheses (VI) Important accounting items (VII) Related party transactions (VIII) Pledged assets (IX) Major contingent liabilities and commitments made under unrecognized contracts (X) Loss of material disaster (XI) Subsequent events (XII) Others (XIII) Additional disclosures 1. Information about significant transactions 2. Information related to reinvested enterprises 3. Information about investment in mainland china (XIV) Information about segment IX. List of Significant Accounting Items X. ICPA’s Review Report XI. Other Disclosures (I) Description of business (II) Market price, dividend, and equity distribution (III) Material financial information (IV) Review and analysis for financial position and performance (V) Information about replacement of cpas	PAGE 1 2 3～7 8 9～11 12 13～14 15 15 15～20 20～41 41 41～84 84～90 - - - - 90～116 116, 118 116, 119~120 117 117 121～158 159～160 161～173 174～178 179～184 184～187 188	NOTE NO.
		- - - - - - - I II III IV V VI～XXV XXVI - - - - XXVII～XXXI XXXII XXXII XXXII XXXIII - - - - - - -

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ICPA’s Review Report

To Taiwan Fire & Marine Insurance Co., Ltd.:

Audit Opinions

We, as the CPAs, have completed the review of the balance sheets dated December 31 of 2025 and 2024 and the consolidated comprehensive income statement, consolidated statement of changes in equity, consolidated statement of cash flows, and consolidated financial statement from January 1 to December 31 of 2025 and 2024, including summaries of major accounting policies of Taiwan Fire & Marine Insurance Co., Ltd.

In our opinion, the aforementioned financial statements, in all material respects, have been prepared in accordance with the Regulations Governing the Preparation of Financial Reports by Insurance Enterprises and the International Financial Reporting Standards (IFRS), International Accounting Standards (IAS), IFRS Interpretations Committee (IFRS IC) Interpretations, and Standing Interpretations Committee (SIC) Interpretations, as approved and promulgated by the Financial Supervisory Commission. Accordingly, they fairly present the financial position of Taiwan Fire & Marine Insurance Co., Ltd. as of December 31, 2025, and 2024, as well as its

Bases for the Audit Opinions

We are entrusted to conduct the audits in accordance with the Regulations Governing Auditing and Attestation of Financial Statements by Certified Public Accountants and auditing standards. The responsibilities of the CPAs under the said standards will be explained further in the section about responsibilities in auditing the consolidated financial statement. Independently governed staff in the accounting firm that the CPAs belong to have followed moral regulations pursuant to professional CPA standards and have remained independent of Taiwan Fire & Marine Insurance Co., Ltd. and fulfilled other responsibilities under said regulations. We believe that sufficient and adequate evidence has been obtained for the audit to serve as the basis for expressing the audit opinions.

Key Matters Being Audited

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Key matters being audited refer to the most important matters based on the professional judgment of the CPAs to be included in the audit of the consolidated financial statement of 2025 of Taiwan Fire & Marine Insurance Co., Ltd. Such matters were addressed throughout the audit of the consolidated financial statement and during the formation of audit opinions. The CPAs do not express separate opinions regarding these matters.

Key matters being audited of the 2025 consolidated financial statement of Taiwan Fire & Marine Insurance Co., Ltd. are specified as follows: Claim reserves

Descriptions for the Key Matters Being Audited

By nature, the claim reserves can be divided as reported but not paid or reported. The former is calculated by claim personnel based on the actual relevant information by insurance categories for each case; the latter is estimated in the manners meeting the actuarial principles by the actuarial personnel based on past claim experience and expenses by insurance categories. The key assumption is the development trend of the actual losses from claims in each accident year, and such trend is established by referring the actual experience of Taiwan Fire & Marine Insurance Co., Ltd.

Considering that the management's calculation of the claim reserves involves estimates, judgment, actuarial method and important hypotheses, any update on related information, deviation from important estimation and judgment, adoption of actuarial method or changes of important hypotheses will be critical to the calculation result of claim reserves. Therefore, it was included into the key audit matters (KAMs).

For the related accounting policies, accounting estimation and estimation uncertainties about the claim reserves, and related disclosure information, please refer to Note 4(14), 5, 19, 27, 28 and 29(1) of the Financial Statements.

Responding Audit Procedures

1. To understand the related internal control established by the management for the estimated claim reserves, and test the status of the compliance with the internal control.

2. The actuarial experts of the firm have assisted in the assessment of the reasonableness of the applied actuarial methods and key assumptions. The major procedure is as follows:

3. (1) The actuarial experts of the firm obtained the information from each accident year developed until December 31, 2025 (e.g. the policies with claims and the amounts of claims each year), and regenerated the development trend of losses, estimated loss rate and key assumptions using actuarial methods, in order to assess whether the

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development trend of losses, estimated loss rate and key assumptions applied by Taiwan Fire & Marine Insurance Co., Ltd. are reasonable.

• (2) Based on the regenerated development trend of losses, estimated loss rate and key assumptions, the actuarial experts of the firm has estimated the final insurance claims as of December 31, 2025, while considering the paid claims byTaiwan Fire & Marine Insurance Co., Ltd. as of December 31, 2025, to assess the reasonableness of the claim reserves.

• Take the samples from reported unpaid claims as the information about claim estimate, and check whether the reported unpaid claim reserves estimated in the samples were estimated based on said information about claim estimate.

Responsibilities of Management and Governance Unit in Consolidated Financial Statement

Management is responsible for preparing an adequately expressed consolidated financial statement in accordance with the Regulations Governing the Preparation of Financial Reports by Insurance Enterprises and international financial reporting standards, international accounting standards, interpretations, and interpretation announcements approved and released to take effect by the Financial Supervisory Commission and maintaining the necessary internal controls relevant to the compilation of the consolidated financial statement in order to ensure that no significant untruthful expressions exist in the consolidated financial statement due fraud or error.

While preparing the consolidated financial statement, the management is responsible for evaluating the ability of Taiwan Fire & Marine Insurance Co., Ltd. to continue with the operation and disclosing related matters and adopting the accounting basis for continued operation, among others. Unless the management intends to liquidate Taiwan Fire & Marine Insurance Co., Ltd. or discontinue operation or there are no other actually feasible solutions than liquidation or discontinued operation.

The governance unit (including the Audit Committee) of Taiwan Fire & Marine Insurance Co., Ltd. is responsible for supervising the financial reporting process.

CPAs Responsibilities in Auditing Consolidated Financial Statements

We audit the consolidated financial statement in order to be reasonably convinced as to whether the consolidated financial statement as a whole contains major untruthful expressions due to frauds or errors and to issue the audit report. Reasonably convinced is highly convinced. There is no guarantee, however, that existence of significant untruthful expressions in the consolidated financial statement will be detected according to Standards on Auditing (TWSA). Untruthful expressions might have been caused by fraud or errors. If individual values or an

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overview of untruthful expressions can be reasonably expected to affect economic decisions made by users of the consolidated financial statement, they are considered significant.

As part of an audit in accordance with the auditing standards, we exercise professional judgment and maintain professional skepticism throughout the audit. The CPAs also perform the following tasks:

1. Identify and evaluate the risk of significant untruthful expressions in the consolidated financial statement due to frauds or errors, design and enforce appropriate responsive policies for determined risks; and collect sufficient and adequate evidence from the audit in order to render audit opinions. Because fraud may involve collusion, forging, intentional omission, untruthful statement, or non-compliance with internal control, the risk associated with undetected significant untruthful expressions caused by fraud is higher than that those caused by errors.

2. Obtain a necessary understanding of internal control concerning the audit in order to design appropriate audit procedures reflective of then-current situation. The purpose, however, is not to effectively express opinions on the internal control of Taiwan Fire & Marine Insurance Co., Ltd.

3. Evaluate the adequacy of accounting policies adopted by the management and the legitimacy of accounting estimates and related disclosures made.

4. Reach a conclusion with regard to the adequacy of the accounting basis adopted to continue with operations used by management and whether significant uncertainties of events or conditions that might result in significant concerns about the ability of Taiwan Fire & Marine Insurance Co., Ltd. to continue with existing operations or that are not in accordance with the evidence obtained from the audit. In the event that it is determined that significant uncertainties exist with such events or conditions, on the other hand, the CPAs must remind users of the consolidated financial statement in their audit report that they should pay attention to related disclosures included in the statement or modify their audit opinions if such disclosures are inappropriate. Conclusions made by the CPAs are based on the evidence from the audit obtained as of the date of the audit report. Future events or conditions, however, are likely to result in the Taiwan Fire & Marine Insurance Co., Ltd. no longer capable of continuing with operation.

5. Evaluate the overall presentation, structure and contents of the financial statements, including related notes, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation.

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Communications made by the CPAs with governance units include the planned scope and timing of the audit and significant audit findings (including significant deficiencies found with internal controls during the audit).

The CPAs have also provided the governance units with the declaration on independence that independently governed staff in the accounting firm that the CPAs belong to have followed moral regulations in honor of the profession of CPA and have communicated with the governance units all relationships and other matters considered to be likely to undermine the independence of CPAs (including related safeguard measures).

The CPAs, from the matters communicated with the governance unit, decided key matters to be included in the 2025 consolidated financial statement audit of Taiwan Fire & Marine Insurance Co., Ltd. The CPAs specifies such matters in the audit report unless it is disallowed by law to disclose to the public specific matters or under rare circumstances, the CPAs decide not to communicate specific matters in the audit report as it can be reasonably expected that negative impacts from such communication would be greater than the public interest that will be enhanced.

Deloitte & Touche

CPA: Cheng-Hsiu Yang

CPA: Wen-Ya Hsu

Financial Supervisory Commission Approval No. Jin-Guan-Zheng-Shen-Zi No. 0980032818

Securities and Futures Commission Approval No. Tai-Cai-Zheng-Liu-Zi No. 0920123784

March 12, 2026

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Taiwan Fire & Marine Insurance Co., Ltd. Balance Sheet December 31, 2025 and 2024

Unit: NT$ Thousand

Code 11000 12100 12210 12500 12000 14110 14145 14150 14180 14190 14200 14000 15100 15200 15300 15000 16000 16700 17100 17800 18300 18700 18000 1XXXX Code 21400 21500 21600 21000 21700 23800 24100 24200 24400 24500 24000 27000 28000 25300 25900 25000 2XXXX 31100 32100 32200 32600 32000 33100 33200 33300 33000 34000 3XXXX	ASSETS Cash and cash equivalents (Note 4, 6 & 26) Receivables (Note 4 & 7) Notes receivable Premiums receivable Other receivables Total receivables INVESTMENTS Financial assets at fair value through profit or loss (Note 4, 8 & 25) Financial assets carried at amortized cost (Note 4, 10, 11 & 25) Investment under equity method (Note 4 & 12) Other financial assets - net (Note 13) Financial assets at fair value through other comprehensive income (Note 4, 9, 11 & 25) Investment Properties (Noe 4 & 14) Total investments Reinsurance contract asset (Note 4, 19, 27 & 28) Claim recoverable from reinsurers - net Due from reinsurers and ceding companies Reinsurance reserve asset - net Total reinsurance contract asset Property and Equipment (Note 4 & 15) Right-of-use assets (Note 4, 16 & 26) INTANGIBLE ASSETS (Note 4) DEFERRED INCOME TAX ASSETS (Note 4 & 22) Other assets Refundable deposit (Note 17) Other assets - others Total other assets TOTAL ASSETS LIABILITIES AND EQUITY PAYABLES Commissions payable Due to reinsurers and ceding companies Other payable Total payables Income tax liabilities of the period (Note 4 & 22) Lease liabilities (Note 4, 16 & 26) Insurance liabilities (Note 4, 19, 27, 28 & 29) Unearned premium reserves Claim reserves Special reserves Premium deficiency reserves Total Insurance Liabilities Reserve for liabilities (Note 4 & 18) Deferred income tax liabilities (Note 4 & 22) Other liabilities Guarantee deposits received (Note 26) Other liabilities - others Total other liabilities TOTAL LIABILITIES Equity (Note 4 & 20) Common Stock Capital Capital surplus Issuance of common shares in excess of par Treasury stock transactions Capital surplus - others Total Capital Surplus Retained earnings Legal reserve Special reserve Unappropriated earnings Total Retained Earnings Other equity TOTAL EQUITY TOTAL LIABILITIES AND EQUITY		December31,2025	％ 13 - 2 1 3 8 13 1 11 17 8 58 - 1 13 14 9 - - - 3 - 3 100 - 2 3 5 1 - 17 20 9 - 46 - 1 - 1 1 54 10 - - - - 13 15 6 34 2 46 100		December31,2024
			Amount $ 3,270,250 84,652 453,179 165,878 703,709 1,996,276 3,298,800 302,583 2,757,400 4,214,256 2,158,263 14,727,578 63,489 216,984 3,428,327 3,708,800 2,389,880 46,885 5,755 15,187 692,010 59,631 751,641 $ 25,619,685 $ 162,759 532,983 696,238 1,391,980 191,403 49,060 4,312,455 5,189,001 2,159,726 8,839 11,670,021 40,798 271,860 32,076 131,569 163,645 13,778,767 2,535,403 1,915 97,047 2 98,964 3,281,132 3,963,813 1,486,015 8,730,960 475,591 11,840,918 $ 25,619,685			Amount $ 3,778,443 93,245 485,883 161,833 740,961 2,218,604 3,279,010 427,862 3,566,500 4,623,598 2,207,602 16,323,176 59,490 174,415 2,674,329 2,908,234 354,882 41,768 10,588 16,851 668,309 66,624 734,933 $ 24,909,836 $ 147,737 527,194 588,350 1,263,281 86,088 44,598 4,126,243 4,571,316 2,120,413 7,033 10,825,005 40,229 289,256 32,726 56,606 89,332 12,637,789 3,622,004 1,915 97,047 2 98,964 3,019,164 3,582,899 1,425,398 8,027,461 523,618 12,272,047 $ 24,909,836	％
							15 - 2 1 3 9 13 2 14 19 9 66 - 1 11 12 1 - - - 3 - 3 100 1 2 2 5 - - 17 18 9 - 44 - 1 - 1 1 51 15 - - - - 12 14 6 32 2 49 100

Subsequent notes are incorporated as part of this individual financial statement.

Chairman: Steve Lee Managers: Chao-Feng Chen

Chief of accountant: Pi-Chen Wan

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Taiwan Fire & Marine Insurance Co., Ltd. Statement of Comprehensive Income

From January 1 to December, 2025 and 2024

Unit: NT$ Thousand, but EPS is NT$

Code Operating Revenues Retained earned premium 41110 Premium revenues from policy writing (Note 4, 26 & 27) 41120 Reinsurance premium revenues (Note 4) 41100 Premium revenues 51100 Less: Reinsurance premium outward (Note 4) 51310 Less: Net change in unearned premium reserves (Note 4, 19 & 27) 41130 Total retained earned premium 41300 Reinsurance commission earned (Note 27) 41400 Handing fee earned (Note 27) Net gains on investments 41510 Interest income 41521 Gain (loss) on financial assets and liabilities at fair value through profit or loss (Note 21) 41526 Derecognition of net gain or loss on financial assets carried at amortized cost (Note 21) 41527 Realized gain and losses on financial assets at fair value through other comprehensive income (Note 21) 41540 Share of profit of associates and joint ventures accounted for using equity method (Note 12) 41550 Exchange gain (loss) - investment (Note 21)		2025	％ 130 7 137 48 - 89 5 1 4 ( 1 ) - 2 - ( 1 )		2024	％ 121 7 128 43 1 84 5 1 3 - - 3 1 1	Change Percentage %
		Amount $ 9,493,579 492,761 9,986,340 3,506,990 39,641 6,439,709 378,088 68,138 286,297 25,010 ) 7,653 ) 139,320 21,422 ) 85,181 )			Amount $ 8,873,819 503,273 9,377,092 3,134,736 92,983 6,149,373 335,133 65,166 266,188 7,915 - 211,076 65,241 99,340
	( ( ( (						7 ( 2 ) 6 12 ( 57 ) 5 13 5 8 ( 416 ) - ( 34 ) ( 133 ) ( 186 )

(To be continued)

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(Continued)

Code 41570 Gain (loss) on investment properties (Note 4, 21 & 26) 41585 Expected credit losses and reversals of impairment losses on investments (Note 4, 21) 41800 Other operating revenues 41000 Total operating revenues Operating Costs Retained claims 51200 Claims and payment (Note 4, 26 & 27) 41200 Less: Claims recovered from reinsurers 51260 Total retained claims Net changes in insurance liabilities (Note 4, 19 & 27) 51320 Net change in claims reserves 51340 Net change in special reserves 51350 Net change in premium deficiency reserves 51300 Total net change in insurance liability 51500 Commission expenditure (Note 26 & 27) 51800 Other operating cost 51000 Total operating costs Operating Expenses (Note 4, 18, 21 & 26) 58100 Service Expenses 58200 Administrative Expenses 58300 Employee training expenses 58400 Impairment loss and reversal gain on expected credit - non- investment 58000 Total operating expenses 61000 OPERATING INCOME		2025	％ 1 - - 100 51 12 39 - 1 - 1 16 - 56 16 7 - - 23 21		2024	％ 2 - - 100 52 11 41 4 1 - 5 14 1 61 14 6 - - 20 19	Change Percentage %
		Amount $ 99,143 322 2,835 7,274,586 3,694,593 847,416 2,847,177 10,266 39,313 1,806 51,385 1,143,593 48,321 4,090,476 1,120,813 532,653 5,346 10,851 ) 1,647,961 1,536,149			Amount $ 121,628 8 19,207 7,340,275 3,808,496 837,634 2,970,862 323,204 53,508 693 377,405 1,061,523 42,714 4,452,504 1,015,046 489,559 4,495 1,874 ) 1,507,226 1,380,545
	(			(			( 18 ) 3,925 ( 85 ) ( 1 ) ( 3 ) 1 ( 4 ) ( 97 ) ( 27 ) 161 ( 86 ) 8 13 ( 8 ) 10 9 19 479 9 11

(To be continued)

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(Continued)

Code 59000 NON-OPERATING INCOME AND EXPENSES 62000 PROFIT BEFORE INCOME TAX FROM CONTINUING OPERATION 63000 Tax expense (Note 4 & 22) 66000 Net Profit in the year Other comprehensive income Items that will not be reclassified subsequently to profit or loss 83110 Remeasurement of defined benefit plans 83180 Less: Income tax relating to items that will not be reclassified subsequently to profit or loss 83190 Equity instruments valuation profit or loss measured at fair value through other comprehensive income Items that may be reclassified subsequently to profit or loss 83290 Debt instrument profit or loss measured at fair value through other comprehensive income 83000 Total other comprehensive income, net of income tax 85000 TOTAL COMPREHENSIVE INCOME IN THE YEAR Earnings Per Share (EPS) (Note 23) 97500 Basic EPS 98500 Diluted EPS		2025	％ - 21 4 17 - - 2 - 2 19		2024	％ - 19 3 16 - - 5 - 5 21	Change Percentage (％)
		Amount $ 2,359 ) 1,533,790 291,213 1,242,577 3,993 ) 798 ) 121,328 19,163 137,296 $ 1,379,873 $ 3.91 $ 3.90			Amount $ 1,315 ) 1,379,230 216,901 1,162,329 10,845 2,169 366,033 23,257 397,966 $ 1,560,295 $ 3.21 $ 3.20
	( ( (			(			79 11 34 7 ( 137 ) ( 137 ) ( 67 ) ( 18 ) ( 66 ) ( 12 )

Subsequent notes are incorporated as part of this individual financial statement.

Chairman: Steve Lee

Managers: Chao-Feng Chen

Chief of accountant: Pi-Chen Wang

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Taiwan Fire & Marine Insurance Co., Ltd. Statements of Changes in Equity

From January 1 to December, 2025 and 2024

Code A1 Balance at January 1, 2024 Appropriation of 2023 earnings B1 Appropriation of Legal reserve B5 Cash dividends distributed by the Company B3 Appropriation of special reserves D1 Net profit for the year 2024 D3 Other comprehensive income after tax for the year 2024 D5 Total comprehensive income for the year 2024 Q1 Disposal of equity instruments measured at fair value through other comprehensive gains and losses/Disposal of equity instruments measured at fair value through other comprehensive gains and losses by associates C7 Changes in associates and joint ventures accounted for using equity method C17 Exercise of Recourse Right Z1 Balance at December 31, 2024 Appropriation of 2024 earnings B1 Appropriation of Legal reserve B5 Cash dividends distributed by the Company B3 Appropriation of special reserves D1 Net profit for 2025 D3 Other comprehensive loss for 2025 D5 TOTAL COMPREHENSIVE INCOME for 2025 Q1 Disposal of equity instruments measured at fair value through other comprehensive gains and losses/Disposal of equity instruments measured at fair value through other comprehensive gains and losses by associates E3 Cash capital reduction Z1 Balance at December 31, 2025		Capital Capitalsurplus $ 3,622,004 $ 98,962 - - - - - - - - - - - - - - - - - 2 3,622,004 98,964 - - - - - - - - - - - - - - 1,086,601) - $ 2,535,403 $ 98,964 Subsequent notes are incorporated as part of th				Retained earnings	Unappropriated earnings $ 1,025,420 ( 214,812 ) ( 470,861 ) ( 224,190 ) 1,162,329 8,676 1,171,005 145,981 ( 7,145 ) - 1,425,398 ( 261,968 ) ( 724,401 ) ( 380,914 ) 1,242,577 ( 3,195 ) 1,239,382 188,518 - $ 1,486,015	O there q uit y ( N o t e20 ) Unrealized Gain and Losses on Financial Assets at Fair Value Through Other Comprehensive Income $ 280,309 - - - - 389,290 389,290 ( 145,981) - - 523,618 - - - - 140,491 140,491 ( 188,518) - $ 475,591	To	Unit: NT$ Thousand talStockholders’ Equity $ 11,189,756 - 470,861 ) - 1,162,329 397,966 1,560,295 - 7,145) 2 12,272,047 - 724,401 ) - 1,242,577 137,296 1,379,873 - 1,086,601) $ 11,840,918
				Legal reserve $ 2,804,352 214,812 - - - - - - - - 3,019,164 261,968 - - - - - - - $ 3,281,132 is individual financial statemen		Special reserve $ 3,358,709 - - 224,190 - - - - - - 3,582,899 - - 380,914 - - - - - $ 3,963,813
	(				t.		( ( ( ( ( ( ( (	( (	( ( ( (

Chairman: Steve Lee

Managers: Chao-Feng Chen

Chief of accountant: Pi-Chen Wang

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Taiwan Fire & Marine Insurance Co., Ltd.

Statements of Cash Flows

From January 1 to December, 2025 and 2024

Unit: NT$ Thousand

Code CASH FLOWS FROM OPERATING ACTIVITIES A00010 Net Income before income tax from continuing operation A20010 Adjustments to reconcile profit (loss) A20100 Depreciation expense A20200 Amortization expenses A21000 Derecognition of net loss on financial assets carried at amortized cost A21300 Dividends income A20400 Net loss (gain) on financial assets and liabilities at fair value through profit or loss A20450 Net loss on financial assets and liabilities at fair value through other comprehensive income A20900 Interest expense A21200 Interest income A21400 Net changes in insurance liabilities A21830 Reversals of expected credit losses on investments A21850 Reversal of impairment loss on expected credit losses of non-investments A22300 Share of loss (gain) on associates and joint ventures recognized using equity method A22500 Gain from disposal and scrapping of property and equipment A22700 Gain from disposal of investment in investment properties A23800 Impairment reversed benefits of reinsurance financial assets A24100 Unrealized loss (gain) on foreign currency exchange A29900 Lease Modification Gains A50000 Changes in Operating Assets and Liabilities A51110 Notes receivable decrease A51120 Premiums receivable decrease ( increase) A51130 Other accounts receivable (increase) decrease A51140 Decrease in financial assets at fair value through profit or loss A51141 Decrease in financial assets at fair value through other comprehensive income A51145 Increase in financial assets carried at amortized cost A51160 Decrease (increase) in other financial assets A51170 Decrease (increase) in reinsurance contract asset A51990 Decrease in other assets	2025 $ 1,533,790 68,528 6,961 7,653 ( 147,572 ) 30,470 2,792 1,399 ( 286,297 ) 91,026 ( 322 ) ( 10,851 ) 21,422 - - ( 8 ) 40,845 ( 66 ) 8,736 42,748 ( 3,267 ) 180,944 528,648 ( 41,998 ) 809,100 ( 44,685 ) 6,993	2024
		$ 1,379,230 60,461 7,604 - ( 252,841 ) ( 1,638 ) 35,488 1,528 ( 266,188 ) 470,388 ( 8 ) ( 1,874 ) ( 65,241 ) ( 132 ) ( 23,796 ) - ( 75,453 ) ( 1 ) 20,161 ( 9,837 ) 1,390 415,460 1,254,314 ( 1,080,798 ) ( 1,046,379 ) 1,226 3,220

(To be continued)

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(Continued)

Code A52120 Decrease in claims payable A52140 Increase (Decrease) in commissions payable A52150 Increase in due to reinsurers and ceding companies A52160 Increase in other payables A52200 Decrease in employees’ benefit reserve for liabilities A52990 Increase (Decrease) in Other Liabilities A33000 Cash inflow from operations A33100 Interest received A33200 Dividends received A33500 Income tax paid AAAA Net cash inflow from operating activities CASH FLOWS FROM INVESTING ACTIVITIES B02400 Proceeds from capital reduction of investments accounted for using equity method B02700 Payments for property and equipment B02800 Proceeds from disposal of property and equipment B03700 Increase in refundable deposits B04500 Payments for intangible assets B05400 Payments for investment properties B05500 Disposal of investment properties BBBB Net cash inflows (outflows) generated from investing activities CASH FLOWS FROM FINANCING ACTIVITIES C03100 Decrease in guarantee deposits received C04020 Repayment of the principal of the lease liabilities C04500 Distribute cash dividends C04700 Cash capital reduction C09900 Exercise of Recourse Right CCCC Net cash outflow used in financing activities EEEE Increase (decrease) in cash and cash equivalents for the year E00100 Balance of cash and cash equivalents at the beginning of the period E00200 Balance of cash and cash equivalents at the end of the period		2025 $ - 14,925 5,789 107,888 3,424 ) 74,963 3,047,130 287,100 210,868 200,832 ) 3,344,266 39,501 2,027,465 ) - 22,005 ) 2,128 ) 1,703 ) - 2,013,800 ) 650 ) 27,007 ) 724,401 ) 1,086,601 ) - 1,838,659 ) 508,193 ) 3,778,443 $ 3,270,250		2024
	( ( ( ( ( ( ( ( ( ( ( ( (		( ( ( ( ( ( ( ( ( ( ( ( (	$ 90 ) 24,282 ) 98,695 46,242 7,160 ) 4,200 ) 935,489 236,151 272,896 304,923 ) 1,139,613 - 8,093 ) 1,413 1,192 ) 5,713 ) 4,553 ) 23,796 5,658 4,222 ) 33,071 ) 470,861 ) - 2 508,152 ) 637,119 3,141,324 $ 3,778,443

Subsequent notes are incorporated as part of this individual financial statement.

Chairman: Steve Lee

Managers: Chao-Feng Chen

Chief of accountant: Pi-Chen Wang

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Taiwan Fire & Marine Insurance Co., Ltd.

Notes to Financial Statement

From January 1 to December, 2025 and 2024

(Expressed in Thousand New Taiwan Dollars unless specified otherwise)

I. Company profile

Taiwan Fire & Marine Insurance Co., Ltd. (“Company”) was established in March 1948 as a non-life insurer. The products offered by the Company include aviation insurance, fire insurance, marine insurance, casualty insurance, automobile insurance, as well as the reinsurances for the abovementioned insurances. The headquarters is located in Taipei, with 9 branches and dozens of service centers throughout Taiwan. At the establishment, the paid-up capital was 10 million Old Taiwan dollars. Through several capital increases and decreases, as of December 31, 2025, the paid-up capital is NT$2,535,403 thousand.

The shares of the Company were approved for the public listing by Securities and Futures Commission, Ministry of Finance on June 11, 1997, and on September 30 of the year started the trading.

The financial statements are presented in NT$, the functional currency of the Company.

II.

Date and Procedure for Authorization of Financial Statements

The financial statements were approved by the Board of Directors on March 6, 2026.

III. Applicability of Newly Promulgated and Amended Standard Rules and Interpretations (I) The amended Regulations Governing the Preparation of Financial Reports by Insurance Enterprises, as well as International Financial Reporting Standards (“IFRS”), International Accounting Standards (“IAS”), International Financial Reporting Interpretations Committee (“IFRIC”) and Standing Interpretations Committee (“SIC”) Interpretations (collectively “IFRS accounting standards”) approved and issued to be effective by the Financial Supervisory Commission, MOF are first time applied.

The applications of the amended Regulations Governing the Preparation of Financial Reports by Insurance Enterprises and IFRS accounting standards approved and issued to be effective by FSC will not cause any material changes to the accounting policies of the Company.

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(II) IFRS accounting standards approved by FSC applied as of 2026

Newly Issued/ Amended/ Revised Standards and Interpretations Amendments to IFRS 9 and IFRS 7 "Amendments to the Classification and Measurement of Financial Instruments" Amendment to IFRS 9 and IFRS 7 “Contract Referencing Nature-Dependent Electricity” "IFRS Annual Improvements - Volume 11" IFRS 17 “Insurance Contracts” (including amendments for 2020 and 2021)	The effective date promulgated by IASB
	January 1, 2026 January 1, 2026 January 1, 2026 January 1, 2023

IFRS 17 “Insurance Contracts” (including amendments for 2020 and 2021)

IFRS 17 regulates the accounting treatments for insurance contracts, and will replace IFRS 4 “Insurance Contracts.” IFRS 17 applies to insurance contracts (including reinsurance contracts) issued by the Company, reinsurance contracts held, and investment contracts with discretionary participation features issued by the Company, provided that the Company also issues insurance contracts. IFRS 17 formulates a consistent measurement approach for insurance liabilities, including the general measurement model, the variable fee approach, and the premium allocation approach. The variable fee approach applies to insurance contracts with direct participation features. Additionally, a group of insurance contracts may elect to apply the premium allocation approach to measure the group if certain conditions are met.

Based on the current hypothesis, the general measurement model estimates the amount, timing, and uncertainty of future cash flows for a group of insurance contracts, and adjusts non-financial risks to reflect the compensation required for assuming the uncertainty. This model also takes into consideration the market interest rate and the impact of options and guarantees contained in insurance contracts on cash flows at the same time. Further, the general measurement model includes the contractual service margin, which represents the unearned profit that an enterprise should recognize for the future provision of services and should be recognized in profit or loss periodically during the insurance period.

IFRS 17 specifies that companies shall use a systematic and reasonable method to allocate insurance acquisition cash flows to each group of insurance contracts. The enterprise shall recognize the insurance acquisition cash flows already paid before recognizing the related group of insurance contracts as assets, and shall derecognize the insurance acquisition cash flows when those cash flows are included in the

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measurement of the related group of insurance contracts. At the end of each reporting period, the enterprise shall conduct an impairment assessment on the insurance acquisition cash flows.

Further, IFRS 17 also specifies how amounts arising from insurance contracts are presented and disclosed in the balance sheet and statements of comprehensive income.

Under IFRS 4, the reserve for insurance contracts and financial instruments, whether or not they have discretionary participation features, is handled in accordance with the “Regulations Governing the Deposits of Various Types of Reserves by Insurance Enterprises” and certified by an appointed actuary approved by the Financial Supervisory Commission. Please refer to Note 4 for the summaries of major accounting policies.

The Company followed the transitional regulations under the IFRS 17 for its accounting treatment. In principle, the Company adopts the full retrospective approach for the retrospective application of IFRS 17. However, when this is not feasible in practice, the Company chooses to adopt either the modified retrospective approach or the fair value approach.

When the full retrospective approach is adopted, the Company shall identify, recognize, and measure each group of insurance contracts on January 1, 2025, as if IFRS 17 had been applied in the past. When the modified retrospective approach is used, the Company uses reasonable and supportable information to achieve results as close as possible to those of the full retrospective approach. When using the fair value approach, the Company also uses reasonable and supportable information and shall determine the contractual service margin or loss component of the liability for remaining coverage on January 1, 2025, based on the difference between the fair value of the group of insurance contracts and the fulfillment cash flows measured on that date.

Upon the retrospective application of IFRS 17 and restatement of comparative information, the retained earnings is expected to increase by NT$674,650 thousand as of January 1, 2025.

Re-designation of financial assets

On the initial application date of IFRS 17, an enterprise that has already applied IFRS 9 may re-designate financial assets that meet the requirements of Paragraph C29 of IFRS 17. Meanwhile, an enterprise that applies IFRS 9 before the initial application of IFRS 17 may choose to apply the overlay approach to the financial assets derecognized during the comparative period for the initial application of IFRS 17, based

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on individual financial assets, as if the financial assets were reclassified according to the re-designation requirements referred to in Paragraph C29 of IFRS 17 during the comparative period.

Except for the said effects, as of the issuing date of the Financial Statement, the Company has evaluated that the amendments to other standards and interpretations are not likely to have a material impact on its financial position and performance.

(III) IFRS accounting standards issued by IASB but not yet approved and issued to be effective by FSC

The effective date Newly Issued/ Amended/ Revised Standards and promulgated by IASB Interpretations (Note 1) “Sale or Contribution of Assets between an Investor and To be determined its Associate or Joint Venture”, amendments to IFRS 10 and IAS 28.

IFRS 18 "Presentation and Disclosure in Financial January 1, 2027 (Note 2) Statements"

IFRS 19 "Subsidiaries without Public Accountability: January 1, 2027 Disclosures” (including the 2025 amendments) Amendments to IAS 21 “Translation to a January 1, 2027 Hyperinflationary Presentation Currency”

Note 1: Unless otherwise expressly remarked, the aforementioned newly promulgated/Amendment/Amended Rules or Interpretation come into effect in the reporting year starting from the specified effective dates.

• Note 2: On September 25, 2025, the FSC announced that Taiwan-based enterprises shall apply IFRS 18 from January 1, 2028, or may choose to adopt the IFRS 18 earlier after the FSC approves it.

IFRS 18 “Presentation and Disclosure in Financial Statements” and related

consequential amendments

IFRS 18 will replace IAS 1 "Presentation of Financial Statements.” The main changes in the standard include:

•  The Company shall assess whether it has invested in specific types of assets and provided financing to customers for specific primary operating activities, and based on that assessment, classify the income and expense items in the income statement into operating, investing, financing, income tax, and discontinued operations categories.

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• The income statement should present operating income, profit and loss before financing and tax, and subtotal and total of profit and loss.

• Provide guidance to strengthen aggregation and segmentation requirements: The Company must identify assets, liabilities, equity, income, expenses, losses and cash flows of individual transactions or generated by other events, and classify and summarize them on the basis of common characteristics, so that each line item presented in the main financial report has at least one similar characteristic. Items with any characteristics other than similar ones should be broken down in the main financial statements and notes thereto. The Company marks these items as “Other” only when a more informative mark cannot be found.

• Enhance the disclosure of performance measures defined by management: When the Company is engaged in public communications outside of financial statements and communicates the management's views on a certain aspect of the Company's overall financial performance with users of financial statements, it should disclose the information about the performance measurement defined by the management in the notes to the financial statements, including the descriptions about the measurement, calculation method, its reconciliation with the subtotal or total expressly stated in the IFRSs, and the impact of income tax and non-controlling interests on related reconciliation items.

Further, the following consequential amendments were made to IAS 7 “Statement of Cash Flows”:

•  When the Company prepares cash flows from operating activities using the indirect method, the starting point for adjustment shall be the operating profit or loss.

•  Interest and dividend income received by the Company shall be classified as investing activities, and interest and dividend paid should be classified as financing activities. If the Company is assessed to have specific major operating activities, it must consider the types of dividend income, interest income, and interest expenses presented in the income statement to determine the classification of dividends received, interest received and interest paid in the statement of cash flows. However, said cash flows can only be classified within a single activity in the statement of cash flows.

• Except the above-mentioned effects, as of the issuing date of the Financial

• Statement, the Company has been evaluating any other effects to the financial

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positions and performance from the amendments to various standards and interpretations, and these related effects are to be disclosed when such evaluations are completed.

IV. Summary of significant accounting policies

(I) Declaration in compliance

The financial statements are prepared according to the Regulations Governing the Preparation of Financial Reports by Insurance Enterprises, and the IFRSs endorsed and issued into effect by FSC.

(II)

Principles for preparation

The financial statements have been prepared on the historical cost basis except for financial instruments at fair value and net defined benefit liabilities at the present value of defined obligation less fair value of the plan assets.

Fair value measurement may be divided into three levels based on the observability and importance of related inputs:

1. Level 1 inputs: Quoted prices (unadjusted) in active markets for identical assets or liabilities that the entity can access at the measurement date.

2. Level 2 inputs: Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly (from price) or indirectly (induced from price).

3. Level 3 inputs: Unobservable inputs for the asset or liability.

4. (III) Classification of Current and Non-current Assets and Liabilities

In the financial reports, the assets and liabilities are classified by their natures, and sorted by the order of the relative liquidity, but not divided as current and non-current items.

(IV) Foreign Currency

The transactions made in the currencies other than the functional currency of the Company (foreign currency) when the financial statements are prepared, have been translated to the functional currency with the exchange rate on the transaction dates.

The items in foreign currencies were converted at the exchange rates closed on each and every balance sheet date. The difference in foreign exchanges incurred by the items of settlement currency items or conversion currency items was recognized as the profit and/or loss for the current of occurrence.

The foreign currencies, non-current items measured at fair values were converted at the exchange rates quoted on the date on which the fair values were determined. The

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difference in foreign exchange so incurred was entered as the profit and/or loss of the current term. In the event where the change in the fair value was recognized into other comprehensive profit and/or loss, the difference of the foreign exchange so incurred was entered as other comprehensive profit and/or loss.

(V)

The non-current items measured at historical costs were converted based on the exchange rate quoted on the date of transaction and were not converted anew. Investments in associates

An associate is an entity over which the Company has significant influence and that is neither a subsidiary nor a joint venture.

The Company applies the Equity Method to the investments in associates.

Under the equity method, on initial recognition the investment in an associate or a joint venture is recognized at cost. The carrying amount is then increased or decreased to recognize the Company’s share of the subsequent profit or loss of the associates and to include that share of the associates’ other comprehensive incomes. Furthermore, the recognition of the changes of equity in the associates is made based on the percentage of shareholding.

When evaluating impairments, the entire carrying amount of the investment (including goodwill) is tested for impairment as a single asset by comparing its recoverable amount with its carrying amount. The recognized impairment losses are not to be allocated to any assets, including goodwill, as the components of carrying amount of the investments. Any restoration of the loss in impairment was recognized within the scope of subsequent increase of the recoverable amount.

For the profit and/or loss incurred by the Company with the associates in upstream, downstream and side-stream, the Company only recognized those within the scope irrelevant to the associates into the financial reports.

(VI) Property and Equipment

The property and equipment were recognized at costs. Subsequently thereafter, it measured at the amount of the costs deducted with depreciation and the loss in the accumulated impairment.

Property and equipment are accounted depreciation for each material part individually based on the straight-line method during the durable life span. The estimated useful lives, residual values, and depreciation method are reviewed by the Company at least at the end of each reporting period, with the effect of any changes in estimate accounted for on a prospective basis.

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When derecognizing property and equipment, the difference between the net consideration of the disposal and the carrying amount of the asset is recognized in profit and loss.

(VII) Investment Properties

Investment property is property held for earning rents or capital appreciation, or both (including the right-of-use assets which satisfy the definition of investment property). Investment properties also include real estate whose future use are not yet determined currently.

The self-owned investment-property was measured at the initial costs (including transaction costs). Subsequently thereafter, it will be measured at the amount of the costs deducted with the accumulated depreciation and the loss of the accumulated impairment.

The investment property acquired from lease are originally measured at the costs (including the original measured amount of lease liability, the lease payment paid before the lease starts, the original direct cost, and estimate cost for recovery of underlying assets minus the received lease incentives); subsequently, they are measured at the costs deducting the accumulated depreciation and the loss of impairment, and the re-measurement of the lease liability is adjusted.

All investment properties are accounted for depreciation based on the straight-line method.

The investment property is re-stated as property and equipment based on the face value on the date when it is provided for private use.

The property and equipment and right-of-use assets are re-stated as investment property based on the face value on the date when the private use thereof is ended.

When derecognizing investment-properties, the difference between the net consideration of the disposal and the carrying amount of the asset is recognized in profit and loss.

(VIII) INTANGIBLE ASSETS

1. Individually acquired

The intangible assets with limited useful life individually acquired were measured at costs. Subsequently, they were measured at cost deducted with the amount of accumulated amortization and the loss of the accumulated impairment. Intangible assets are accounted for amortization based on the straight-line method during the durable life span. The estimated useful lives, residual values, and

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amortization method are reviewed by the Company at least at the end of each reporting period, with the effect of any changes in estimate accounted for on a prospective basis. The intangible assets with uncertain durable life span is carried as the cost minus accumulated impairment losses.

2. Derecognition

When derecognizing intangible assets, the difference between the net consideration of the disposal and the carrying amount of the asset is recognized in profit and loss of the current.

(IX) Impairment on property and equipment, right-of-use assets, investment properties and intangible assets (excluding goodwill).

The Company assessed on each and every balance sheet date whether or not there had been any signs indicating potential impairment on property and equipment, right-of-use assets, investment properties and intangible assets (excluding goodwill). Where any sign of impairment was found existent, the Company estimated the recoverable amount of such assets. In the event that the recoverable amount of individual assets could not be estimated, the Company estimated the recoverable amount of the units that yielded cash. If a shared asset may be allocated to cash generating unit on the reasonable and consistent basis, that shall be allocated to individual cash generating unit; if not, it shall be allocated to the smallest group of cash generating unit on the reasonable and consistent basis.

Recoverable amount is the higher of fair value less costs to sell and value in use. If the recoverable amount of an asset or cash-generating unit is estimated to be less than its carrying amount, the carrying amount of the asset or cash-generating unit is reduced to its recoverable amount.

(X)

Where the loss of impairment was recovered afterward, the carrying amount of the units that yielded cash was adjusted upward to the post-amendment recoverable amount. The carrying amount after increase, nevertheless, should not exceed such assets or the carrying amount resolved by the units that yielded cash had it not recognized the loss of impairment in the preceding fiscal year (deducting the amortization or depreciation). The recovery of the loss in impairment was recognized in profit and/or loss. Financial Instruments

The financial assets and financial liabilities were recognized onto the Balance Sheet when the Company became a party of the contract of the financial instruments.

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Upon initial recognition of financial assets and financial liabilities, if the financial assets or financial liabilities were measured for fair values not through profit and/or loss, the Merging Company measured based on the fair value added with the transaction costs, which could be directly attributed to the acquisition or issuance of the financial assets or financial liabilities. The transaction costs which could be directly attributed to the acquisition or issuance of the financial assets or financial liabilities, which were measured at the fair value, were imaginably recognized as the profit and/or loss.

1. Financial assets

The transaction customs of the financial assets were recognized or excluded on the transaction day accounting basis.

• (1) Categories of measuring

The financial assets held by the Company include financial assets at fair value through profit or loss, financial assets measured at amortized cost, bond instruments measured at fair value through other comprehensive income, and equity instrument investment at fair value through other comprehensive income.

• A. Financial assets at fair value through profit or loss

Financial assets at fair value through profit or loss are the financial assets measured compulsorily at fair value through profit or loss. The financial assets measured compulsorily at fair value through profit or loss include the equity instruments not assigned by the Company to be measured at fair value through other comprehensive income, and the bond instruments not eligible to be categorized at amortized cost, or at fair value through other comprehensive income.

The financial asset at fair value through profit or loss is measured at fair value, and the dividends thereof and profit or loss arising from re-measurement is recognized in the income from financial assets and liabilities at fair through profit or loss. The interest derived therefrom is recognized in the interest income. For the determination of fair value, please refer to Note 25.

• B. Financial assets carried at amortized cost

Financial assets invested by the Company that meet the following two conditions at the same time are categorized into the financial assets measured at amortized cost:

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• a. The financial asset is held within a business model whose objective is to hold financial assets in order to collect contractual cash flow; and

• b. The contractual terms of the financial asset give rise, on specified dates, to cash flows that are solely payments of principal and interest on the principal amount outstanding.

Subsequent to initial recognition, financial assets at amortized cost (including cash and cash equivalents and trade receivables at amortized cost) are measured at amortized cost, which equals to the gross carrying amount determined using the effective interest method less any impairment loss. Exchange differences are recognized in profit or loss.

Except for the following two situations, interest income is calculated based on the effective interest rate multiplying by the total carrying amount of a financial asset:

• a. For purchased or originated credit-impaired financial assets, interest income is calculated based on the credit-adjusted effective interest rate multiplying by the amortized cost of the financial asset.

• b. For financial assets that are not acquired or originated credit-impaired but subsequently become credit impaired, interest income shall be calculated based on the effective interest rate multiplying by the amortized cost of the financial asset from the reporting period following the credit impairment.

Credit losses on financial assets refer to some significant financial difficulty of the issuer or borrower, a breach of contract, the borrower's bankruptcy or financial reorganization, or the disappearance of an active market for the financial asset because of financial difficulties.

Cash equivalents are the time deposits and commercial papers may be converted to fixed amount of cash anytime within three month upon reception, with high liquidity; its purpose is to satisfy the short-term cash commitment.

• C. Bond instruments measured at fair value through other comprehensive income

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Shall the bond instruments investments meet the following two conditions on the same time, they are classified as financial assets at fair value through other comprehensive income:

• a. Being held within a business model whose objective is to hold financial assets in order to collect contractual cash flows and sell financial assets; and

• b. The contractual terms of the financial asset give rise, on specified dates, to cash flows that are solely payments of principal and interest on the principal amount outstanding.

Bond instruments investment measured at fair value through other comprehensive income is measured at fair value. In the movement of carrying amount, the interest income calculated using the effective interest rate method, foreign currency gains or losses and impairment gains or losses are recognized directly in profit or loss. The difference between cumulative fair value gains or losses and the cumulative amounts recognized in profit or loss is recognized in OCI until derecognition, when the amounts in OCI are reclassified to profit or loss.

D. Equity instruments at fair value through other comprehensive income

The Company may opt to designate an equity instrument at FVTOCI is available at initial recognition and is irrevocable, for the equity instrument investments not held for trading nor recognized by merge and acquisition, neither with considerations.

Equity instruments at fair value through other comprehensive income are measured at fair value, and the subsequent movements of the fair value are carried in other comprehensive income, and accumulated in other equity. When disposing investments, the accumulated profit/loss is transferred to the retained earnings directly without reclassified as profit/loss.

The dividends from the equity instruments at fair value through other comprehensive income are recognized in profit/loss when the right of receiving of the Company is confirmed, unless such dividends obviously represents the recovery of part of the investment.

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(2) Impairment of financial assets

At each date of balance sheet, the Company evaluate the financial assets at amortized cost (receivables included), and the impairment loss of bond instruments measured at fair value through other comprehensive income based on the expected credit loss.

The receivables are recognized allowance loss as the higher expected credit losses between from the “Regulations Governing the Procedures for Insurance Enterprises to Evaluate Assets and Deal with Non-performing/Non-accrual Loans”, or of the lifetime. For other financial assets, the credit risk is evaluated if there is any significant increase after the initial recognition. If not, the allowance loss is recognized based on the expected credit losses of 12 months; if there any significant increases, the allowance loss is recognized based on the expected credit losses of life time.

Expected credit losses as the weighted average of credit losses with the weightings being the respective risks of a default occurring. 12-month expected credit losses are expected credit losses that result from those default events on the financial instrument that are possible within 12 months after the reporting date. Lifetime expected credit losses are the expected credit losses that result from all possible default events over the life of the financial instruments.

The impairment loss for all financial assets reduce the carrying amount through the allowance account; however, the allowance loss of bond instruments measured at fair value through other comprehensive income is recognized in other comprehensive income without reducing the carrying amount.

(3) Derecognition of financial assets

The Company would exclude financial assets only in the event where the interests on a contract for financial assets based cash flow ceased to be effective or where it had transferred financial assets and almost all risks and returns of all ownership over the financial assets had been transferred to another enterprise.

On derecognition of a financial asset at amortized cost in its entirety, the difference between the carrying amount and the consideration received is recognized in profit or loss. On the full derecognition of the investment of

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debt instrument at fair value through other comprehensive income, the difference between the investment’s carrying amount and the sum of the consideration received and receivable and the cumulative gain or loss that had been recognized in other comprehensive income is stated as income. On the full derecognition of the investment of equity instruments at fair value through other comprehensive income, the accumulated income is transferred to the retained earnings directly, but not reclassified as income.

2. Equity instrument

The equity instruments issued by the Company are categorized as equity based on the nature of the contract agreement and the definition of the equity instrument.

The equity instruments issued by the Company is recognized based on the acquisition price less direct issuing cost.

3. Financial liabilities

• (1) Subsequent Measuring

All financial liabilities are at the amortized cost based on the effective interest method.

• (2) Derecognition of financial liabilities

When a financial liability is derecognized, the price difference between its carrying amount and total consideration paid (including any transferred non-cash assets or obligation) shall be stated as income.

(XI) Lending Negotiable Securities

The Company lends negotiable securities through TWSE. The formula of income from lending securities of auction transactions, is to multiply the daily closed price of the underlying negotiable securities one by one and day by the quantity of lending, and then multiply by the fare of completed transaction. The income from security lending is recognized every month, and shall be received by the brokers when the securities are returned.

(XII) Reinsurance contract asset

To limit the amount of loss that may be resulted from some exposures, the reinsurance is conducted according to the business needs and the related insurance laws and regulations. For the ceding reinsurance, the Company is not to reject the obligations to the insured by the excuse that the reinsurer fails to fulfill its obligations.

For the ceding reinsurance business, the reinsurance premium outward is recognized based on the ceding reinsurance contracts. The consideration for the end

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time of the financial statement shall be consistent with the premium income. When settling, the reinsurance premium outward shall be estimated in a reasonable and systematic manner. The related income (e.g. the commission incomes of reinsurance) are recognized in the same period, and the related reinsurance profit/loss is not deferred.

The reinsurance reserve assets include: ceding unearned premium reserves, ceding claims reserves, ceding liability reserves, ceding premium deficiency reserves, and ceding liability adequacy reserves, and are based on the “Regulations Governing Various Reserves of Insurance Enterprises”, the reinsurance contract, and the right to the reinsurers of the ceding company.

The rights of the Company to the reinsurers are reinsurance contract assets (including reinsurance contract assets, claim recoverable from reinsurers, and net due from reinsurers and ceding companies); these rights shall be evaluated periodically whether impairment occurs or to be unrecoverable. Where objective evidences showing that events of such rights occurring after the initial recognition, may cause the Company unable to recover all the receivable amount under the contract terms, and such events has reliably measured effects to the amount to be recovered from the reinsurers, the Company recognizes impairment loss for the shortage of recoverable amount to the book value of the said rights.

(XIII) The residuals taken over and the rights of subrogation

The residuals taken over by laws due to claim procedure in the direct insurance are recognized based on the evaluation to their fair values. For the right of subrogation to the insured subject obtained by laws, it is recognized when the pursuit of recovery is cleared (the inflow of future economic benefits is very probable), and the amount can be reliably measured.

(XIV) Insurance liabilities

Various reserves are provided based on the “Regulations on Provision of Various Reserves for Insurance Enterprises,” “Regulations for the Management of the Various Reserves for Compulsory Automobile Liability Insurance,” “Regulations Governing Various Reserves for Nuclear Energy Insurance Operated by Non-Life Insurance Enterprises,” “Enforcement Rules for the Risk Spreading Mechanism of Residential Earthquake Insurance,” “Notes to Enhancing the Reserves of Members of Residential Earthquake Insurance Co-Insurance Organization” and “Regulations Governing Various Reserves for Commercial Earthquake Insurance and Typhoon and Flood Insurance Operated by Non-Life Insurance Enterprises,” as well as “Directions for Strengthening

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Catastrophe Insurance Reserve by Non-Life Insurance Enterprises,” and such reserves shall be certified by the appointed actuaries approved by FSC. The basic description of the provision basis for each liability reserves are as follows:

1. Unearned premium reserves

To the unearned valid contracts or the insurance risks not yet eliminated, the unearned premium reserves shall be calculated based un the unearned risks and provided for each insurance.

1. Claim reserves

Based on the past experience and fees by insurance categories, the claim reserves shall be calculated in the manners consistent with the actuarial principles, and the portions that are reported but not paid and unreported shall be provided. The claims reported but not yet paid shall be estimated based on actual information case by case and provided by insurance categories

1. Special reserves

Based on Article 8, the “Regulations on Provision of Various Reserves for Insurance Enterprises”, the provided reserves for the self-retain businesses shall include the following:

• (1) Special reserves for material accidents.

• (2) Special reserves for hazard changes.

• (3) Special reserves for other special needs.

Except otherwise regulated, the special reserves that had been provided before January 1, 2011 are still recognized as liability reserves. From January 1, 2011, the new provisions of each year shall be accounted to the special reserves under the shareholders’ equity after deducting income taxes based on IAS 12. The time of accounting is the end of the year. From January 1, 2011, the off-set or recovered amount by laws may be off-set or recovered from the special reserves under the liability reserves. Where the balance of such liability reserves are insufficient to be off-set or recovered, the shortage may be offset or recovered from the special reserves under the shareholders’ equity as the remaining balance after income tax specified in IAS 12.

According to the “Directions for Strengthening Catastrophe Insurance Reserve by Non-Life Insurance Enterprises” issued via the letter under Jin-Guan-Bao-Cai-Zi No. 11204940091 on November 13, 2023, the Company has not yet complemented the reserves for material accidents for commercial earthquake insurance and

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typhoon and flood insurance and the special reserves for hazard changes to the full water level with the special reserves accounted under the liabilities, and thus the reserves are not to be transferred to the special reserves. The application of these notes does not materially effects the profit and loss, liability, and equity of shareholders of the Company.

• (1) Special reserves for material accidents

Provided by the ratio of special reserves for material accidents determined by the competent authorities for each insurance category. For the material disasters issued by the Government, when one single accident occurs, the sum of the accumulated retained claims for each insurance category is NT$30 million or more, and the total claim payable of each insurance category of the non-life insurance industry as a whole is NT$2 billion or more, the special reserves for material accidents may be used for offset.

The special reserves for commercial earthquake insurance and typhoon and flood insurance provided for more than 30 years may be recovered. The special reserves for other accidents at each insurance category provided for more than 15 years, a recovery mechanism may be assessed and prepared by the certified actuaries, and submitted to the competent authorities for reference and then further implemented.

• (2) Special reserves for hazard changes

When the amount of the actual claims of each insurance minus the remaining balance of the offset special reserves for material accidents is lower than the expected claims, for commercial earthquake insurance and typhoon and flood insurance, 75% of the difference shall be provided for the special reserves for hazard changes, for other insurance, 15% of the difference shall be provided for the special reserves for hazard changes.

When the amount of the actual claims of each insurance minus the remaining balance of the offset special reserves for material accidents is higher than the expected claims, the excess may be offset against the provided special reserves for hazard changes. Shall the special reserves for hazard changes be insufficient for offsetting, it may be offset with the special reserves for hazard changes of other insurance categories; the category of insurance and the amount for offset shall follow the notes established by the

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competent authorities, and submitted to the competent authorities for reference.

When the special reserves for hazard changes of commercial earthquake insurance accumulates to more than 18 times of the retained earned premium of the year, the special reserves for hazard changes of typhoon and flood insurance accumulates to more than 8 times of the retained earned premium of the year, the special reserves for hazard changes of personal accident insurance and health insurance accumulates to more than 30% of the retained earned premium of the year, and the special reserves for hazard changes of other insurance accumulates to more than 60% of the retained earned premium of the year, the excess shall be recovered.

• (3) Special reserves for other special needs

The special reserves for compulsory automobile liability insurance for private and commercial vehicles, compulsory motorcycle liability insurance, and compulsory micro electric two-wheeler liability insurance are provided in accordance with the Regulations for the Management of the Various Reserves for Compulsory Automobile Liability Insurance.

The special reserves for nuclear energy insurance are based on the “Regulations Governing Various Reserves for Nuclear Energy Insurance Operated by Non-Life Insurance Enterprises”.

The special reserves for residential earthquake insurance are based on the “Enforcement Rules for the Risk Spreading Mechanism of Residential Earthquake Insurance” and the “Principles of Accounting Treatment for Residential Earthquake Insurance Provided by Insurance Enterprises.”

According to the “Directions for Strengthening Catastrophe Insurance Reserve by Non-Life Insurance Enterprises,” from January 1, 2013, the special reserves for material accidents and the special reserves for hazard changes of the insurance categories other than the compulsory automobile liability insurance, nuclear energy insurance, Residential Earthquake Insurance, commercial earthquake insurance, and typhoon and flood insurance, and accounted under liability before December 31, 2012, shall be firstly complement the special reserves for material accidents and the special reserves for hazard changes of the commercial earthquake insurance and typhoon and flood insurance to the full water level, and the reserves are

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accounted under liability. For the special reserves for material accidents and the special reserves for hazard changes of other insurance categories, the excessive balance over the full water level shall be accounted to the special reserves under the shareholders’ equity after deducting income taxes based on IAS 12.

4. Premium deficiency reserves

Where the possible future claims and expenses of the unearned valid contracts or the insurance risks has exceed the provided the unearned premium reserves and the expected future premium incomes, the difference shall be provided for the premium deficiency reserves.

1. Liability adequacy reserves

Based on the outcomes of liability adequacy test specified in IFRS 4 “Insurance Contract”, if there is any deficiency in the outcomes, the amount of such deficiency shall be provided as the liabilities adequacy reserves.

1. Unqualified reinsurance reserves

The unqualified reinsurance under the “Regulations Governing Insurance Enterprises Engaging in Operating Reinsurance and Other Risk Spreading Mechanisms” on the reinsurance ceded date or the balance sheet date, shall be provided the unqualified reinsurance reserves, and disclosed in notes of the financial statements.

(XV) Reserve for liabilities

The amount recognized as reserve for liabilities is the best estimate for the repayment obligations on the balance sheet date by considering the risks and uncertainties of such obligations. The reserves for liabilities are measured at the discounted cash flow estimate of the repayment obligations.

When a part or all of the expenditure required for repaying the reserve of liabilities are expected to be reimbursed from the other party, and the reimbursement is almost secured while the amount can be reliably measured, the reimbursement is recognized as asset.

(XVI) Lease

The Company evaluates if a contract is, or includes a lease on the date when the contract is established.

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1. If the Company is the lessor

In an event all risks and remuneration of the ownership of the assets based on the lease terms and conditions were transferred to the lessees in full, such assets were classified as financing leasehold. All other categories of lease were classified as operational lease.

When the Company subleases the right-of-use assets, it judges the classification of sublease based on the right-of-use assets (not the underlying assets).

The lease payment minus lease incentives in the operating leases is recognized as profit within the duration of the relevant lease on the straight-line basis. This is because the initial direct cost arising from operational leases is increased to the carrying amount of the underlying assets, and recognized as expense on the straight-line basis over the lease period. According to the lease negotiation with the lessee, the new lease shall apply as of the effective date of the variation of lease.

The variable rents not depending on any index or fares in a lease agreement are recognized as income of the current when it occurs.

When a lease includes both land and buildings elements, the Company assess the classification of each element as a finance lease or an operating lease separately based on if it transfers substantially all the risks and rewards incidental to ownership of an underlying asset to the lessee. The lease payments shall be allocated between the land and the buildings elements in proportion to the relative fair values of the leasehold rights in the land element and buildings element of the lease on the date when the contract is established. If the lease payments can be allocated reliably between these two elements, each element is treated based on the applicable classes of lease. If the lease payments cannot be allocated reliably between these two elements, the entire lease is classified as a finance lease, unless it is clear that both elements are operating leases, in which case, the entire lease is classified as an operating lease.

2. If the Company is the lessee

The lease payments applicable to the recognized waived low-valued underlying asset lease and the short-term lease are recognized as expenses on the straight-line basis over the lease period. For all other leases, the right-of-use assets and lease liabilities are recognized from the starting date of leases.

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The right-of-use assets are originally measured at the costs (including the original measured amount of lease liability, the lease payment paid before the lease starts, and minus the received lease incentives); subsequently, they are measured at the costs deducting the accumulated depreciation and the loss of impairment, and the re-measurement of the lease liability is adjusted. Unless being qualified for the defined investment oriented property, the right-of-use assets are individually expressed in the balance sheets. Notwithstanding, for recognition and measurement of the right-of-use assets defined as investment property, please refer to (7) investment property accounting policies.

The right-of-use assets on the straight-line basis provide depreciation from the starting date of lease, up to the durable life expires or the lease period expires, the earlier prevails.

The lease liabilities were measured based on the present value of the lease payment (including fixed payment and indexes or fares determining the lease payments). If the implied interest rate of a lease is easy to be confirmed, the rate is applied to discount the lease payment. If the rate is not easy to be confirmed, the lessee incremental borrowing rate of interest will be applied.

Subsequently, the lease liabilities are measured at the amortized cost under the effective interest method, and the interest expense are allocated during the lease periods. If there is any change in the lease period or the indexes or fares determining the lease payments, the expected amount of payment under the remaining value guarantee, the evaluation of the call option of the underlying assets, or the indexes or fares determining the lease payments will result in changes of future lease payment, the Company remeasures the lease liabilities, and relatively adjusts the right-of-use assets; provided the carrying amount of the right-of-use asset has decreased to zero, the remaining remeasured amount is recognized in the income/loss. For the variation of leases which is not treated individually, the remeasurement of lease liabilities resulting from decrease in the scope of lease indicates reduction in the right-of-use assets, and recognizes the income/loss from termination of the lease, in whole or in part. The remeasurement of lease liabilities resulting from other variations indicates adjustment of the right-of-use assets. The lease liabilities are individually expressed in the balance sheets.

The variable rents not depending on any index or fees in a lease agreement are recognized as expenses of the current when it occurs.

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(XVII) Employee Benefits

Post-employment benefits

For defined contribution retirement benefit plans, payments to the benefit plan are recognized as an expense when the employees have rendered service entitling them to the contribution.

Defined benefit costs (including service cost, net interest and remeasurement) under the defined benefit retirement benefit plans are determined using the Projected Unit Credit Method. Service cost (including current service cost), and net interest on the net defined benefit liability (asset) are recognized as employee benefits expense in the period they occur. Remeasurement, comprising actuarial gains and losses and the return on plan assets (excluding interest), is recognized in other comprehensive income in the period in which they occur, accounted to the retained earnings, and will not be reclassified to profit or loss.

Net defined benefit liability (asset) represents the actual deficit (excess) in the Company’s defined benefit plan. Net defined benefit asset shall not exceed the present value of the provision returned from the plan or the reducible future provision.

(XVIII) Income tax

The term “income tax expenses” as set forth herein denotes total of the income tax payable in the current term and the deferred income tax.

1. Income tax for the current

The income tax levied on the undistributed surplus earnings based the Income Tax Act, is recognized in the year when resolved by the shareholders’ meeting.

The adjustment of the payable income tax of the previous year is included in the current income tax.

1. Deferred income tax

Deferred income tax is calculated based on the temporary difference between the carrying amounts of the assets and liabilities on the accounts, and the tax basis for calculating the taxes.

The deferred income tax liabilities would be generally recognized for all taxable provisional difference. The deferred income tax assets were recognized at the moment upon occurrence of income tax credit of the potential taxable income deducted with provisional difference.

The taxable temporary difference related to the investments in associates is to recognize the deferred income tax liabilities; however, if the Company may control

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the timing of reversing the temporary difference, and such temporary difference may likely not be reversed in the foreseeable future, such temporary difference is excluded. The deductible temporary difference related to such investment is recognized as deferred income tax assets to the extent that it is probable that taxable profits will be available against which temporary differences in the deductibles can be utilized.

The book amount of the deferred income tax assets was reviewed anew on each and every balance sheet date. Aiming at such event where there would be very likely not adequate taxable income to recover the assets either in whole or in part, the Company adjusted downward the book amount. Where those were not initially recognized as deferred income tax assets, the Merging Company, as well, reviewed anew on each and every balance sheet date. It, in turn, would adjust upward the book amount in the future while there would be likely to yield taxable income to recover assets either in whole or in part.

The deferred income tax assets and liabilities were measured at the tax rates of that current. The said tax rate would be on the grounds of the tax rates and taxation laws, which had been enacted or had been substantially enacted as of the balance sheet date. The deferred income tax liabilities and assets were measured to reflect the Company for the taxation consequences of taxation for the book amounts of the assets and liabilities anticipated to be recovered or reimbursed as of the balance sheet date.

3. Current and Deferred income tax

The current and deferred income tax was recognized in the profit and/or loss. The current and deferred income tax relevant to the items, which were recognized in other comprehensive income or directly counted into the items of equity, was recognition into other comprehensive income or directly counted into equity respectively.

(XIX) Revenue Recognition

Except the “revenue from insurance operations”, the revenue is recognized under IFRS 15 "Revenue from Contracts with Customers". Revenue is measured at the fair value of the received or receivable considerations.

Dividend revenues and Interest incomes

The dividend revenue yielded in investment was recognized at the moment where the rights for shareholders to receive the dividends, but in the very premise that the

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transaction related economic gains would be very likely to be flown into the Company and the amount of revenues could be measured in a trustworthy manner.

The Interest income of financial assets was recognized at the moment while the economic gains would be very likely to be flown into the Company and the amount of revenues could be measured in a trustworthy manner. Interest income shall be recognized on an accrual basis subject to the outstanding principal and applicable interest rate.

(XX) Insurance Business Income and Acquisition Cost

The premium income from the direct insurance is recognized based on all of the current policy-written insurance and policies with confirmed modification. The income of reinsurance inward premium of the reinsurance inward is accounted at the date of statement arrival in daily course, and the unaccounted reinsurance premium incomes are estimated with a reasonable and systematic method. The related acquisition cost (e.g. commission expenditure, agency expenses, fee expenditure and the reinsurance commission expenditure) are recognized at the same period without being deferred.

The unearned premium reserves calculates the unearned premiums based on the unearned risks and provided for each insurance for the unearned valid contracts or the insurance risks not yet eliminated.

The unearned premium reserves for the compulsory automobile insurance are provided based on the “Regulations for the Management of the Various Reserves for Compulsory Automobile Liability Insurance.”

The unearned premium reserves for the residential earthquake insurance are provided based on the “Enforcement Rules for the Risk Spreading Mechanism of Residential Earthquake Insurance.”

The unearned premium reserves for nuclear energy insurance are provided based on the “Regulations Governing Various Reserves for Nuclear Energy Insurance Operated by Non-Life Insurance Enterprises”.

The approach to provide the unearned reserves, unless required by laws otherwise, shall be determined by the appointed actuaries (not to be changed without the approval from the competent authorities). The amount of unearned premium reserves shall be audit and certified by the appointed actuaries.

The taxes related to the insurance business revenues are recognized accrual basis of accounting according to the Value-Added Tax and Non-Value-Added Tax Act and the Stamp Tax Act.

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(XXI) Claim Costs of Insurance Business

The insurance claims of the direct insurance are recognized at the paid claims (claim expenses included) of the current occurred and with report accepted. Where the claim department has confirm the amount of claims but the accounting and finance department has not proceed to pay the claims, and the amount of claim is not yet confirmed, are estimated with the actual information case by case based on the insurance type, and recognized as the net change to the claim reserves reported but not paid.

The reinsurance claims of the reinsurance inward are accounted at the date of statement arrival in daily course, and the unaccounted reinsurance claims are estimated with a reasonable and systematic method to be recognized as the net change in claims reserves.

The unreported claims for the direct insurance and reinsurance inward are calculated based on the past experience and fees by insurance categories, the claim reserves shall be calculated in the manners consistent with the actuarial principles, to be recognized the net change in claims reserves.

For the claims of the reinsurance case that shall be refundable form the reinsurers, the paid claims (claim expenses included) are recognized as the refundable claim payable; the reported but not paid claims (claim expenses included) are recognized as net change in claims reserves.

The provision of claim reserves does not apply discount.

The claim reserves for the compulsory automobile insurance are provided based on the “Regulations for the Management of the Various Reserves for Compulsory Automobile Liability Insurance.”

The claim reserves for the residential earthquake insurance are provided based on the “Enforcement Rules for the Risk Spreading Mechanism of Residential Earthquake Insurance.”

The claim reserves for nuclear energy insurance are provided based on the “Regulations Governing Various Reserves for Nuclear Energy Insurance Operated by Non-Life Insurance Enterprises.”

(XXII) Adequacy Test of Liabilities

By applying IFRS 4 “Insurance Contract”, the contract required for adequacy test shall test the adequacy for its recognized insurance liabilities with the current information at each balance sheet date based on the actuarial practice principles issued

• 39 -

by the Actuarial Institute of the Republic of China. Shall there be any deficiency in the outcome, the deficit amount shall be provided for the liability adequacy reserves.

(XXIII) Co-Insurance Organization, Co-Insurance, and the Agreement of Guarantee Fund

1. Contract of co-insurance for the compulsory automobile liability insurance

The Company has entered the “Contract of co-insurance for the compulsory automobile liability insurance” with all member companies approved by the competent authorities to operate compulsory automobile liability insurance business, to agree the compulsory automobile liability insurance covered shall be included in the co-insurance, the violation is subjected to fines, and the co-insurance panel may sent auditors to audit. The undertaking of the co-insurance is calculated on the basis of pure premiums and allocated based on the agreed co-insurance percentage. Shall there be several (2 or more) co-insurers involve the claims for the same car accident, the co-insurers shall proceed based on the regulations, and then share the liabilities based on the responsibilities of each party by case. Unless being liquidated or ceasing the operation, any member company joining the co-insurance must not withdraw on its own will. At the time ceasing the automobile liability insurance, it is deemed a withdrawal from the co-insurance, the unearned liability expires naturally.

1. Coinsurance Contract for Subcontracting Residential Earthquake Insurance

The Company has entered the “Coinsurance Contract for Subcontracting Residential Earthquake Insurance” with all member companies approved by the competent authorities to operate residential fire insurance business, after the application to join Taiwan Residential Earthquake Insurance Fund (“Residential Earthquake Insurance Fund”) to agree the residential earthquake insurance covered shall be included in the co-insurance, and the co-insurance panel may sent auditors to audit. The undertaking of the co-insurance is calculated on the basis of pure premiums, and the individual member companies assumes the co-insurance liabilities based on its share, without joint liabilities. The member company may notify the Residential Earthquake Insurance Fund three months prior to the next year that it will withdraw from the coinsurance from the next year. Its accepted share is accepted till the end of the year, and the unfinished liabilities from such accepted share is transferred to that member at the time. Shall any member company become a ceased company due to suspension for reconstruction, dissolution, or merge, it shall immediately notify the Residential Earthquake

• 40 -

Insurance Fund to withdraw from the coinsurance. The remaining accepted share for that year, shall be transferred to be accepted by other members of the coinsurance from the date of suspension for reconstruction and dissolution announced by the competent authorities. The transfer method is determined by the meeting of members. For the withdrawal due to merge, the remaining accepted share for that year shall be succeeded by the surviving company.

V. Major Sources of Major Accounting Judgments, Estimate and Hypotheses

Where the Company adopted accounting policies, where the relevant information was found hardly available from other sources, the management must come to relevant judgments, estimates and hypotheses based on historical experiences and other relevant factors. The estimation might be different from the actual result.

The management would continually review the estimates and fundamental hypotheses. In the event that the estimated amendment would only affect the current term, it would be recognized in the term of amendment. In the event that the amendment of the accounting estimates would simultaneously affect both the current and future terms, it would be recognized in the term of the amendment and the future term. Claim liabilities arising from insurance contracts

For the estimation of the final claim liability to insurance contract, the claim reserves are calculated based on the past claim experience and fee by insurance type in the manner consistent to the actuarial principles. On the balance sheet date, the pending claim reserves can afford to cover all of the claim losses and expenses for the incidents incurred on the same day, provided that the reserves are provided based estimates. Therefore, the final liabilities might be more or less than the estimates.

VI. Cash and cash equivalents

Cash and cash equivalents
Cash on hand and working capital Bank’s notes and current deposit Cash equivalents Commercial paper Time deposits in banks due within 3 months in the date of initial maturity Less: Deductible of refundable deposits (Note 17)	December 31, 2025 $ 29,303 2,939,800 249,494 160,811 ( 109,158) $ 3,270,250	December 31, 2024
	(	(	$ 32,165 3,082,750 598,470 152,211 87,153) $ 3,778,443

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The interest rate ranges for bank time deposits and commercial papers as of the balance sheet date are as follows:

balance sheet date are as follows:
Time deposits in banks due within 3 months in the date of initial maturity Commercial paper Receivables Notes receivable Notes receivable - Non-accrual loan Less: allowance loss Premiums receivable Premiums receivable - Non-accrual loan Less: allowance loss Interest receivable Stock dividends receivable Other receivable Other receivable - Non-accrual loan Less: allowance loss Other receivables	December 31, 2025 1.23%～1.29% 1.36%～1.37% December 31, 2025 $ 85,507 - ( 855) $ 84,652 $ 412,403 77,954 ( 37,178) $ 453,179 $ 150,457 1,060 14,345 188 ( 172) $ 165,878	December 31, 2024
		1.23%～1.29% 1.36%～1.37% December 31, 2024
	( ( (	( ( (	$ 94,187 56 998) $ 93,245 $ 452,440 78,662 45,219) $ 485,883 $ 151,260 - 10,940 326 693) $ 161,833

VII. Receivables

(I) Receivables

To reduce the credit risks, the management of the Company has assigned the premium section to track the overdue payment, to ensure the proper actions have been taken for the recovery of overdue receivables. Besides, on the balance sheet dates, the Company review the recoverable amount of the receivables again one by one, to ensure the unrecoverable receivables are provided for the proper allowance loss. Therefore, the management of the Company believes the credit risks of the Company is significantly reduced.

The Company recognizes the allowance loss for receivables as the higher expected credit losses between from of the “Regulations Governing the Procedures for Insurance Enterprises to Evaluate Assets and Deal with Non-performing/Non-accrual Loans” and simplified method of IFRS 9, or of the lifetime. The lifetime expected credit losses are

• 42 -

calculated using the reserve matrix, by considering the past default records and the current financial position of clients, industrial economic situations, as well as the GDP forecast and industrial outlooks. As the credit loss history of the Company shows that there is no significant difference among the loss patterns of different client groups, the reserve matrix does not further divide the client groups, but only establish the expected credit losses based on the aging of receivables.

Where any evidence shows that the counterparties of transactions have severe financial difficulties, and the Company cannot reasonably expect the recoverable amount, e.g. the counterparty is being liquidated, the Company writes off the related receivables upon the resolution passed by the Board of Directors. However the pursuit of recovery will be continued, and the amount recovered from such pursuit will be recognized in profit/loss.

The Company recognizes the allowance loss for receivables as the higher expected credit losses between from of the “Regulations Governing the Procedures for Insurance Enterprises to Evaluate Assets and Deal with Non-performing/Non-accrual Loans”, or from the reserve matrix. The movement for the allowance loss for the receivables are as follows:

December 31, 2025

December 31, 2025
Balance - beginning Add: Provision (reversal) of the period Balance - ending		12-month expected credit loss I	Lifetime expected credit loss II		Lifetime expected credit loss III		Impairment provided based in IFRS 9		Impairment based on the “Regulations Governing the Procedures for Insurance Enterprises to Evaluate Assets and Deal with Non-performi ng/Non-accrua l Loans”			Total
		$ 1,415 1,446 $ 2,861		$ 6,861 177 $ 7,038	(	$ 21,509 1,681 ) $ 19,828	(	$ 29,785 58 ) $ 29,727	(	$ 17,125 8,647 ) $ 8,478	(	$ 46,910 8,705 ) $ 38,205

• 43 -

December 31, 2024

December 31, 2024
Balance - beginning Add: Provision (reversal) in the period Balance - ending		12-month expected credit loss I	Lifetime expected credit loss II		Lifetime expected credit loss III		Impairment provided based in IFRS 9		Impairment based on the “Regulations Governing the Procedures for Insurance Enterprises to Evaluate Assets and Deal with Non-performi ng/Non-accrua l Loans”			Total
	(	$ 3,076 1,661 ) $ 1,415	(	$ 8,229 1,368 ) $ 6,861		$ 20,069 1,440 $ 21,509	(	$ 31,374 1,589 ) $ 29,785		$ 4,845 12,280 $ 17,125		$ 36,219 10,691 $ 46,910

(II)

The allowance for losses decreased by NT$8,705 thousand as of December 31, 2025, and increased by NT$10,691 thousand as of December 31, 2024, primarily due to a decrease of NT$9,446 thousand in the allowance for losses on receivables under collection as of December 31, 2025, and an increase of NT$10,524 thousand in the allowance for losses on receivables under collection as of December 31, 2024. Non-accrual loan and allowance for loss

For the notes receivable, premium receivable, and other receivables, allowances for doubtful accounts have been provided as NT$0 thousand, NT$31,719 thousand, and NT$49 thousand, respectively, as of December 31, 2025.

For the notes receivable, premium receivable, and non-accrual loans in other receivables, the allowances have been provided as NT$56 thousand, NT$40,861 thousand, and NT$297 thousand, respectively, as of December 31, 2024.

(III) The ageing analysis for the receivables

The ageing analysis for the receivables
0–30 days 31–90 days 91–180 days 181–365 days More than 365 days Total	December 31, 2025 $ 490,769 172,489 43,614 15,215 19,827 $ 741,914	December 31, 2024
			$ 601,233 107,623 25,840 31,665 21,510 $ 787,871

The aging analysis is conducted based on the accounted dates.

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VIII. Financial instruments measured at fair values through profit and/or loss

VIII.	Financial instruments measured at fair values through profit and/or	Financial instruments measured at fair values through profit and/or	loss	loss
IX. (I)	December 31, 2025 Compulsory measurement at fair value through profit and loss －TWSE/GTSM listed shares $ 64,544 －Unlisted domestic shares 167,139 －Funds and Beneficiary certificates 164,484 －Domestic financial bonds 907,476 －Domestic corporate bonds 500,100 －Overseas financial bonds 192,533 $ 1,996,276 Financial assets at fair value through other comprehensive income December 31, 2025 Equity instruments at fair value through other comprehensive income $ 3,586,205 Bond instruments measured at fair value through other comprehensive income 1,195,903 Deductible of refundable deposits ( 567,852) $ 4,214,256 Investments in equity instruments December 31, 2025 Domestic investment TSEC/GTSM listed shares (Note) $ 3,382,925 Unlisted Shares 203280 $ 3,586,205		December 31, 2024
			$ 41,986 157,912 358,132 959,816 497,714 203,044 $ 2,218,604 December 31, 2024
	Equity instruments at fair value through other comprehensive income Bond instruments measured at fair value through other comprehensive income Deductible of refundable deposits Investments in equity instruments Domestic investment TSEC/GTSM listed shares (Note) Unlisted Shares
			$ 3,831,359 1,358,395 ( 566,156) $ 4,623,598 December 31, 2024
				$ 3,566,659 264700 $ 3,831,359

Note: Including common stock and special stock.

The Company invests for the mid- and long-term strategies, and expects to gain through the long-term investments. The management of the Company believes that it is inconsistent to include the short-term fair value fluctuations of such investments in profit/loss for the said purpose of long-term investments; therefore, it opts to designate such investments as measured at FVTOCI.

In 2025 and 2024, the Company adjusted its investment portfolio to diversify risks, selling part of its common shares at fair value for NT$580,566 thousand and NT$717,883 thousand. Related other equity—unrealized gain or loss from financial

• 45 -

assets measured at fair value through other comprehensive income of NT$188,518 thousand and NT$145,981 thousand was transferred to retained earnings.

The Company recognized dividend revenues of NT$142,112 thousand and NT$246,564 thousand, respectively, in 2025 and 2024, including amounts related to investments derecognized at the end of the period, NT$3,161 thousand and NT$10,906 thousand. The amounts related to the holders were NT$138,951 thousand and NT$235,658 thousand on December 31, 2025 and 2024, respectively.

Investments in liability instruments

(II)

Investments in liability instruments	Investments in liability instruments
December 31, 2025 December 31, 2024 Domestic investment Government Bonds $ 567,852 $ 566,156 Financial bonds 59,810 59,136 Corporate Bonds 100,389 100,160 Deductible of refundable deposits (Note 17) ( 567,852) ( 566,156) Subtotal 160,199 159,296 Foreign investment Financial bonds 156,943 163,736 Corporate bonds 310,909 469,207 Subtotal 467,852 632,943 Total $ 628,051 $ 792,239 For the information for credit risks management and the impairment evaluation related to bond instruments measured at fair value through other comprehensive income, please refer to Note 11. Financial assets carried at amortized cost December 31, 2025 December 31, 2024 Domestic investment Financial bonds $ 650,000 $ 650,000 Corporate bonds 2,300,146 2,297,994 Foreign investment Corporate bonds 348,927 331,553 3,299,073 3,279,547 Less: allowance loss ( 273) ( 537) $ 3,298,800 $ 3,279,010		December 31, 2024
Domestic investment Financial bonds Corporate bonds Foreign investment Corporate bonds Less: allowance loss
	(	(	$ 650,000 2,297,994 331,553 3,279,547 537) $ 3,279,010

For the information for credit risks management and the impairment evaluation related to bond instruments measured at fair value through other comprehensive income, please refer to Note 11.

X. Financial assets carried at amortized cost

For the information about credit risks management and the impairment evaluation related to investment in bond instruments carried at amortized cost, please refer to Note 11.

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XI. Credit risks management for Investments in liability instruments

The bond instruments invested in by the Company are stated as the assets at fair value through other comprehensive income and financial assets carried at amortized cost:

December 31, 2025

December 31, 2025
Total of Carrying Amount Allowance loss Amortized cost Adjustment to fair value Deductible of refundable deposits December 31, 2024 Total of Carrying Amount Allowance loss Amortized cost Adjustment to fair value Deductible of refundable deposits	At fair value through other comprehensive income $ 1,187,509 ( 57) 1,187,452 8,451 1,195,903 ( 567,852) $ 628,051 At fair value through other comprehensive income $ 1,369,222 ( 115) 1,369,107 ( 10,712) 1,358,395 ( 566,156) $ 792,239	At amortized cost $ 3,299,073 ( 273) $ 3,298,800 At amortized cost $ 3,279,547 ( 537) $ 3,279,010		Total
			( (	$ 4,486,582 330) 4,486,252 8,451 4,494,703 567,852) $ 3,926,851 Total
	( ( (	(	( ( (	$ 4,648,769 652) 4,648,117 10,712) 4,637,405 566,156) $ 4,071,249

The policies applied by the Company is to only invest the bond instruments with rating of investment grade and above (including) and low credit risk for impairment evaluation. The credit ratings are provided by independent rating agencies. The Company continuously track the external ratings to monitor the movement of the credit risk for the invested bond instruments, while reviewing other information such as the yield curves of bonds and material information of the debtors, for the purpose of evaluating if the credit risks of bond instruments increase significantly since the initial recognition.

By considering the default loss rate provided by the external rating agencies, current financial position of the debtors, and the outlook forecasts of the industries

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where they operates, to measure the 12-month ECLs or lifetime ECLs. The Company’s current credit risk rating mechanism is as follows:

Credit Rating Normal Abnormal Default Write Off	Definition The credit risk of the debtor is low, or not increased significantly, with sufficient solvency for the contractual cash flow The credit risk has been significantly increased since initial recognition Evidence of credit loss exists or the credit impairment loss is recognized The available proof showed that the debtor was suffering serious financial difficulties and it was impossible for the Company to expect recoverability	Basis for Recognizing ECLs
		12-month expected credit loss Lifetime expected credit loss (credit not impaired) Lifetime expected credit loss (credit impaired) Direct Write Off

The total carrying amounts of debt instrument investments by credit rating and their applicable expected credit loss rates are as follows:

December 31, 2025

December 31, 2025
Credit Rating Normal Abnormal Default Write Off December 31, 2024	Expected Credit Loss (ECL) 0.0012%～0.0771% (Note) (Note) (Note)	Total carrying amount as of December 31, 2025
		$ 4,486,582 - - -

December 31, 2024
Credit Rating Normal Abnormal Default Write Off	Expected Credit Loss (ECL) 0.0025%～0.0705% (Note) (Note) (Note)	Total carrying amount as of December 31, 2024
		$ 4,648,769 - - -

(Note): The credit level of the bond investments as of December 31, 2025 and 2024 were all normal and thus not applicable.

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(I) Information about changes in allowance loss on the investment in bond instruments measured at fair value through other comprehensive income

Balance at January 1, 2025 New purchase Derecognition Exchange rate and other movement Balance at December 31, 2025 Balance at January 1, 2024 Derecognition Exchange rate and other movement Balance at December 31, 2024		Credit Rating
	Normal (12-month expected credit loss) $ 115 1 ( 6) ( 53) $ 57 $ 227 ( 107) ( 5) $ 115	Abnormal (Lifetime expected credit loss whose credit not impaired) $ - - - - $ - $ - - - $ -	Default (Lifetime expected credit loss exists and the credit is impaired)
				$ - - - - $ - $ - - - $ -

• (II) Information about changes in allowance loss on the investment in bond instruments carried at amortized cost

carried at amortized cost
Balance at January 1, 2025 Purchase of New Liability Instruments Derecognition Exchange rate and other movement Balance at December 31, 2025 Balance at January 1, 2024 Purchase of New Liability Instruments Exchange rate and other movement Balance at December 31, 2024		Credit Rating
	Normal (12-month expected credit loss) $ 537 8 ( 9) ( 263) $ 273 $ 433 50 54 $ 537	Abnormal (Lifetime expected credit loss whose credit not impaired) $ - - - - $ - $ - - - $ -	Default (Lifetime expected credit loss exists and the credit is impaired)
				$ - - - - $ - $ - - - $ -

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XII. Investment under equity method

Investment under equity method
Investments in associates	December 31, 2025 $ 302,583	December 31, 2024
			$ 427,862

Summarization About Associates With Immateriality Information

Company Name Top Taiwan X Venture Capital Co., Ltd. AcSun Energy Inc. Shares Vested in the Company Net profit (loss) for the period from continuing operations Other comprehensive income Total comprehensive income	Percentage of the shareholding and voting rights	Percentage of the shareholding and voting rights	Percentage of the shareholding and voting rights
	December 31, 2025 24.75% 20.00% 2025 ($ 21,422) - ($ 21,422)	December 31, 2024
			24.75% 20.00% 2024
			$ 65,241 - $ 65,241

Top Taiwan X Venture Capital Co., Ltd. resolved at the shareholders’ meeting on May 8, 2025 to refund the stock payment by NT$39,501 thousand.

AcSun Energy Inc. acquired the equity of its investee company in March 2024, causing the change in its ownership interest to offset its retained earnings. The Company offset the retained earnings by NT$7,145 thousand as a result of the changes in the ownership interest.

For the business natures, major business locations, and the countries where the entities register, please refer to the Table 1: “Information, Location of the Invested Company”

The investment under equity method and shares of income and other comprehensive income remaining vested in the Company in it were recognized based on the affiliates' financial statements audited by the CPA for the same fiscal period.

XIII. Other financial assets - net

Other financial assets-net
Time deposit with initial maturity date more than three months away Less: Deductible of refundable deposits (Note 17)	December 31, 2025 $ 2,772,400 ( 15,000) $ 2,757,400	December 31, 2024
	(	(	$ 3,581,500 15,000) $ 3,566,500

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The interest rate ranges of time deposit and NCD on the balance sheet date are as follows:

	follows:	follows:	follows:
XIV.	Time deposits Investment Properties Investment Properties Completed Right-of-use assets Land Cost Balance at January 1, 2024 $2,054,273 Increase - Decrease in the period - Balance at December 31, 2024 $2,054,273 Accumulated Depreciation Balance at January 1, 2024 $ - Depreciation expense - Decrease in the period - Balance at December 31, 2024 $ - Net at December 31, 2024 $2,054,273 Cost Balance at January 1, 2025 $2,054,273 Increase - Transferred to Property and Equipment ( 37,683) Balance at December 31, 2025 $2,016,590 Accumulated Depreciation Balance at January 1, 2025 $ - Depreciation expense - Transferred to Property and Equipment - Balance at December 31, 2025 $ -				December 31, 2025 December 31, 2024 0.40%～1.78% 0.40%～1.76% December 31, 2025 December 31, 2024 $ 2,156,855 $ 2,205,518 1,408 2,084 $ 2,158,263 $ 2,207,602 House and building Right-of-use assets Total $ 451,672 $ 33,518 $2,539,463 4,553 - 4,553 ( 47,667) ( 30,139) ( 77,806) $ 408,558 $ 3,379 $2,466,210 $ 291,007 $ 27,213 $ 318,220 13,973 4,221 18,194 ( 47,667) ( 30,139) ( 77,806) $ 257,313 $ 1,295 $ 258,608 $ 151,245 $ 2,084 $2,207,602 $ 408,558 $ 3,379 $2,466,210 1,703 - 1,703 ( 14,328) - ( 52,011) $ 395,933 $ 3,379 $2,415,902 $ 257,313 $ 1,295 $ 258,608 9,089 676 9,765 ( 10,734) - ( 10,734) $ 255,668 $ 1,971 $ 257,639			December 31, 2024
								0.40%～1.76% December 31, 2024
									$ 2,205,518 2,084 $ 2,207,602 Total $2,539,463 4,553 ( 77,806) $2,466,210 $ 318,220 18,194 ( 77,806) $ 258,608 $2,207,602 $2,466,210 1,703 ( 52,011) $2,415,902 $ 258,608 9,765 ( 10,734) $ 257,639
		(	$2,054,273 - - $2,054,273 $ - - - $ - $2,054,273 $2,054,273 - 37,683) $2,016,590 $ - - - $ -		( ( ( (	( (	$ 33,518 - 30,139) $ 3,379 $ 27,213 4,221 30,139) $ 1,295 $ 2,084 $ 3,379 - - $ 3,379 $ 1,295 676 - $ 1,971			( ( ( (	$2,539,463 4,553 77,806) $2,466,210 $ 318,220 18,194 77,806) $ 258,608 $2,207,602 $2,466,210 1,703 52,011) $2,415,902 $ 258,608 9,765 10,734) $ 257,639

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==> picture [423 x 37] intentionally omitted <==

The Company amortized depreciation on the straight-line basis for its investment properties of the following useful life:

House and building 55-60 years Right-of-use assets 5 years

The fair value of investment property as of December 31, 2025 and December 31, 2024 was appraised by independent appraisal companies, Dahua Real Estate Appraisers Joint Office and Cathay Real Estate Appraisers Joint Office, using level 3 inputs on the balance sheet date. The appraisal was evaluated based on the “Regulations on Real Estate Appraisal”, by applying appraisal approaches including market comparison, income, differential rent recovery, analysis of land development, or cost. The applied key unobservable input is the discount rate. The fair values from the appraisals are as follows:

==> picture [425 x 37] intentionally omitted <==

On September 14, 2024, the Company disposed of the investment property at Nos. 617, 619 and 621 & 2F, No. 621, Zhongzheng Rd., Xinzhaung Dist., New Taipei City, generated the proceeds totaling NT$23,796 thousand (after tax). The gain from the disposal, NT$23,796 thousand, was stated as the operating revenue-gain (loss) on investment properties.

All investment properties owned by the Company was in its own interests. The right-of-use assets included in the investment properties refers to the land rented by the Company and subleased to others in the form of operating lease.

The total amounts of the expected future lease payments from the investment properties leased as operating leases are as the following:

1st year 2st year 3st year 4st year 5st year More than 5 years	December 31, 2025 $ 124,074 115,476 94,335 90,911 82,851 205,095 $ 712,742	December 31, 2024	December 31, 2024
			$ 126,329 118,603 108,784 89,811 86,347 268,558 $ 798,432

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XV. Property and Equipment

Cost Balance at January 1, 2024 Increase Disposition Balance at December 31, 2024 Accumulated Depreciation Balance at January 1, 2024 Depreciation expense Disposition Balance at December 31, 2024 Net at December 31, 2024 Cost Balance at January 1, 2025 Increase Disposition Transferred from Investment Properties Balance at December 31, 2025 Accumulated Depreciation Balance at January 1, 2025 Depreciation expense Disposition Transferred from Investment Properties Balance at December 31, 2025 Net at December 31, 2025		Own land	Buildings and ancillary equipment	Buildings and ancillary equipment		Computer equipment		Traffic and transport equipment		Other equipment	Leasehold improvements	Leasehold improvements		Total
		$ 261,774 - - $ 261,774 $ - - - $ - $ 261,774 Own land	$ 170,077 194 - $ 170,271 $ 107,866 3,649 - $ 111,515 $ 58,756 Buildings and ancillary equipment		( (	$ 51,445 6,999 3,969) $ 54,475 $ 20,151 10,171 3,969) $ 26,353 $ 28,122 Computer equipment	( (	$ 5,623 - 4,811) $ 812 $ 3,665 374 3,530) $ 509 $ 303 Traffic and transport equipment	( (	$ 8,535 850 487) $ 8,898 $ 3,897 1,193 487 ) $ 4,603 $ 4,295 Other equipment	$ 9,168 50 - $ 9,218 $ 6,684 902 - $ 7,586 $ 1,632 Leasehold improvements		( (	$ 506,622 8,093 9,267) $ 505,448 $ 142,263 16,289 7,986) $ 150,566 $ 354,882 Total
		$ 261,774 1,915,583 - 37,683 $2,215,040 $ - - - - $ - $2,215,040		$ 170,271 97,808 - 14,328 $ 282,407 $ 111,515 20,221 - 10,734 $ 142,470 $ 139,937	$ 54,475 12,272 ( 5,879 ) - $ 60,868 $ 26,353 11,417 ( 5,879 ) - $ 31,891 $ 28,977		$ 812 128 ( 67 ) - $ 873 $ 509 100 ( 67 ) - $ 542 $ 331		$ 8,898 771 ( 549 ) - $ 9,120 $ 4,603 1,259 ( 549 ) - $ 5,313 $ 3,807			$ 9,218 903 - - $ 10,121 $ 7,586 747 - - $ 8,333 $ 1,788	$ 505,448 2,027,465 ( 6,495 ) 52,011 $2,578,429 $ 150,566 33,744 ( 6,495 ) 10,734 $ 188,549 $2,389,880

On August 27, 2025, the Board of Directors of the Company resolved to purchase the entire building located at No. 210, Section 3, Chengde Road, Datong District, Taipei City at the price of NT$ 2,000,000 thousand for its own use. On September 3, 2025, the Company entered into a real estate purchase agreement with Senluo Investment Co., Ltd., and completed the handover and transfer of the property on September 24, 2025.

The depreciation expenses are provided on the straight-line basis during the durable life span:

span:
Building	55 years
Auxiliary equipment
Power transmission equipment	15 years
Telecommunication equipment	3-10 years
Fire-fighting equipment	5 years
Computer equipment	3-10 years

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Traffic and transport equipment	5 years
Other equipment	3-10 years
Leasehold improvements	7 years

XVI. Lease Agreement

(I) Right-of-use assets

Right-of-use assets
Cost Balance at January 1, 2024 Increase Decrease in the period Balance at December 31, 2024 Accumulated Depreciation Balance at January 1, 2024 Depreciation expense Decrease in the period Balance at December 31, 2024 Net at December 31, 2024 Cost Balance at January 1, 2025 Increase Decrease in the period Balance at December 31, 2025 Accumulated Depreciation Balance at January 1, 2025 Depreciation expense Decrease in the period Balance at December 31, 2025 Net at December 31, 2025		Building $ 84,053 7,176 8,964) $ 82,265 $ 33,968 22,641 8,964) $ 47,645 $ 34,620 $ 82,265 31,862 28,821) $ 85,306 $ 47,645 21,756 26,710) $ 42,691 $ 42,615		Transport equipment $ 9,772 5,546 3,176) $ 12,142 $ 4,567 3,337 2,910) $ 4,994 $ 7,148 $ 12,142 385 1,830) $ 10,697 $ 4,994 3,263 1,830) $ 6,427 $ 4,270		Total
	( ( ( (		( ( ( (		( ( ( (	$ 93,825 12,722 12,140) $ 94,407 $ 38,535 25,978 11,874) $ 52,639 $ 41,768 $ 94,407 32,247 30,651) $ 96,003 $ 52,639 25,019 28,540) $ 49,118 $ 46,885

The land rented by the Company was subleased in the form of operating lease. The relevant right-of-use assets were stated as the investment properties. Please refer to Note 14. Said right-of-use assets excluded those defined as investment properties.

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(II) Lease liabilities

ease liabilities
Carrying amount of lease liabilities Interest expense of lease liabilities	December 31, 2025 $ 49,060 $ 1,399	December 31, 2024
			$ 44,598 $ 1,528

The discount rates for the lease liabilities are as follows:

Land Building Transport equipment	December 31, 2025 2.992% 2.366%~3.244% 2.867%~3.244%	December 31, 2024
		2.992% 2.366%~3.244% 2.616%~3.244%

• (III) Major lessee activities and terms and conditions

When the Company is a lessee of lands and buildings, the period is 1 to 8 years. When the lease period expires, the Company has no favorable right to purchase the leased lands.

• (IV) Other information of Leases

ther information of Leases
Short-term lease expenses Low-valued asset lease expenses Total amount of cash (outflow) of lease	December 31, 2025 $ 481 $ 5 ($ 27,493)	December 31, 2024
	(	(	$ 47 $ 5 $ 33,123)

XVII. Refundable Deposit

Refundable Deposit
Refundable deposit Bond of Insurance Enterprises Bond of Litigation Others	December 31, 2025 $ 567,852 2,960 121,198 $ 692,010	December 31, 2024
			$ 566,156 2,960 99,193 $ 668,309

• (I) Based on Article 141 and 142 of the Insurance Act, an insurance enterprise shall post bond at the national treasury in an amount equal to 15% of the total amount of its paid-in capital or paid-in fund. The bond posted is not to be returned except suspending business and having liquidation completed. The Company offset it with the government bonds.

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(II) The Company has paid the following assets as bonds for legal actions and others on December 31, 2025 and 2024.

	December 31, 2025 and 2024.
XVIII.	Other financial assets －Time deposits Cash and cash equivalents Reserve for liabilities Net defined benefit liability	December 31, 2025 $ 15,000 109,158 $ 124,158 December 31, 2025 $ 40,798	December 31, 2024
			$ 15,000 87,153 $ 102,153 December 31, 2024
				$ 40,229

(I) Defined contribution plan

The “Labor Pension Act” is applicable to the Company, which is a defined contribution plan managed by the Government. Monthly contributions equal to 6% of each employee’s monthly salary are made to employees’ pension accounts.

(II)

Ascertained fringe benefit plans

The pension system implemented by the Company based on the “Labor Standards Act” is a defined benefit plan managed by the Government. The pension benefits a participant receives are determined based on an employee’s number of years of service and average compensation for the 6-month period prior to retirement. The Company contributes an amount equal to 2% of salaries paid each month to the Labor Pension Fund Supervisory Committee (the Committee) and deposited in the Committee’s name in the Bank of Taiwan. Before the end of each year, if the amount of the balance in the Funds is inadequate to pay retirement benefits for employees who conform to retirement requirements in the next year, the Company is required to fund the difference in one appropriation that should be made before the end of March of the next year. The Funds are operated and managed by the government’s designated authorities; as such, the Company does not have any right to intervene in the investments of the Funds.

Amounts recognized in the balance sheet in respect of these defined benefit plans were as follows:

were as follows:
Present value of defined benefit obligation Fair value of plan asset Net defined benefit liability	December 31, 2025 $ 115,700 ( 74,902) $ 40,798	December 31, 2024
	(	(	$ 113,050 72,821) $ 40,229

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Movement of the net defined benefit liability are as following:

January 1, 2024 Service cost Current service cost Interest expense (revenue) Recognized into profit and/or loss Remeasurements Plan asset return (the amount included in the net interests is excluded) Actuarial gains and losses - movement of financial assumption Actuarial gains and losses - experience adjustments Recognized under other comprehensive income Contributions from employer Benefits paid December 31, 2024 January 1, 2025 Service cost Current service cost Interest expense (revenue) Recognized into profit and/or loss Remeasurements Plan asset return (the amount included in the net interests is excluded) Actuarial gains and losses - movement of financial assumption Actuarial gains and losses - experience adjustments Recognized under other comprehensive income Contributions from employer Benefits paid December 31, 2025	Present value of defined benefit obligation $ 121,889 1,155 1,348 2,503 - ( 3,415) ( 1,725) ( 5,140) - ( 6,202) $ 113,050 Present value of defined benefit obligation $ 113,050 1,052 1,640 2,692 - 4,359 4,876 9,235 - ( 9,277) $ 115,700	Fair value of plan asset ($ 63,655) - ( 744) ( 744) ( 5,705) - - ( 5,705) ( 8,919) 6,202 ($ 72,821) Fair value of plan asset ($ 72,821) - ( 1,075) ( 1,075) ( 5,242) - - ( 5,242) ( 5,041) 9,277 ($ 74,902)	Net defined benefit liability (asset)
			$ 58,234 1,155 604 1,759 ( 5,705) ( 3,415) ( 1,725) ( 10,845) ( 8,919) - $ 40,229 Net defined benefit liability (asset)
	(		$ 40,229 1,052 565 1,617 ( 5,242) 4,359 4,876 3,993 ( 5,041) - $ 40,798

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Through the defined benefit plans under the “Labor Standards Act”, the Company is exposed to the following risks:

1. Investment risk: The pension funds are invested in domestic and overseas equity and debt securities, bank deposits, etc. The investment is conducted at the discretion of the Bureau of Labor Funds, MOL or under the mandated management. However, the distributable amount of the plan assets of the Company, is the income calculated based on the rate no lower than the average interest rate on a two-year time deposit published by the local banks.

2. Interest risk: A decrease in the government bond/corporate bond interest rate will increase the present value of the defined benefit obligation; however, this will be partially offset by an increase in the return on the debt investments of the plan assets.

3. Salary risk: The present value of the defined benefit obligation is calculated by reference to the future salaries of plan participants. As such, an increase in the salary of the plan participants will increase the present value of the defined benefit obligation.

The present value of the defined benefit obligation is calculated by qualified actuaries, and the material assumptions on the measurement date are as follows:

Discount rate Average long term wage-adjustment rate	December 31, 2025 1.25% 2.25%	December 31, 2024
		1.50% 2.00%

Shall the material actuarial assumptions occur reasonable and possible changes, respectively, where all other assumptions remaining the same, the present value of defined benefit obligation will be caused to increase(decrease) as the following

Discount rate Increase 0.25% Decrease 0.25% Average long term wage-adjustment rate Increase 0.25% Decrease 0.25%	December 31, 2025 ($ 2,236) $ 2,307 $ 2,243 ($ 2,185)	December 31, 2024	December 31, 2024
	( (	( (	$ 2,187) $ 2,259 $ 2,205 $ 2,146)

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As the actuarial assumptions may be interrelated, it is not very likely that only one assumption changes, and thus the abovementioned analysis of sensitivity may not reflect the changes of present value of defined benefit obligations.

Amount expected to be provided within 1 year Average maturity for the defined benefit obligation	December 31, 2025 $ 2,449 7.8 years	December 31, 2024	December 31, 2024
			$ 5,140 7.8 years

XIX. Reinsurance contract asset and Insurance liabilities

Less benefits & claims recovered from reinsurers Less: allowance loss Due from reinsurers and ceding companies Due from reinsurers and ceding companies - Non-accrual loan Less: allowance loss Reinsurance reserve asset - net Ceding unearned premium reserves Ceding claims reserves Less: Accumulated impairment Insurance liabilities Unearned premium reserves Claim reserves Special reserves Premium deficiency reserves	December 31, 2025 $ 63,808 ( 319) $ 63,489 $ 219,386 1,014 ( 3,416) $ 216,984 $ 1,143,830 2,284,514 ( 17) $ 3,428,327 $ 4,312,455 5,189,001 2,159,726 8,839 $ 11,670,021	December 31, 2024	December 31, 2024
	( ( (	( ( (	$ 59,789 299) $ 59,490 $ 176,585 3,412 5,582) $ 174,415 $ 997,259 1,677,095 25) $ 2,674,329 $ 4,126,243 4,571,316 2,120,413 7,033 $ 10,825,005

(I) Less benefits & claims recovered from reinsurers

Upon determination of the recoverability of claim recoverable from reinsurers, the Company took into account and all changes in the quality of credit of the claim recoverable from reinsurers during the period starting from the initial granting of the loan until the balance sheet date. The Company provides the allowance for loss based on the “Regulations Governing the Procedures for Insurance Enterprises to Evaluate Assets and Deal with Non-performing/Non-accrual Loans,” and all the claims that are

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overdue for nine months and recoverable from reinsurers are transferred to the non-accrued loans.

This is the current payment resulted from ceding reinsurance business among insurer’s peer, and thus the concentration of the credit risk is limited.

(II)

Due from reinsurers and ceding companies

Upon determination of the recoverability of due from reinsurers and ceding companies, the Company took into account and all changes in the quality of credit of the due from reinsurers during the period starting from the initial granting of the loan until the balance sheet date. The Company provides the allowance for loss based on the “Regulations Governing the Procedures for Insurance Enterprises to Evaluate Assets and Deal with Non-performing/Non-accrual Loans,” and all the due from reinsurers overdue for nine months are transferred to the non-accrued loans.

This is the current payment resulted from ceding and inward reinsurance business among insurer’s peer, and thus the concentration of the credit risk is limited.

(III) Movement of allowance for loss for Claim recoverable from reinsurers and due from reinsurers and ceding companies are as follows:

reinsurers and ceding companies are	as follows:
Balance at January 1, 2024 Add: Reversal in the current year Balance at December 31, 2024 Balance at January 1, 2025 Add: Reversal in the current year Balance at December 31, 2025	Impairment loss by individual assessment $ 12,288 ( 10,206) $ 2,082 $ 2,082 ( 1,093) $ 989	Impairment loss by group assessment $ 6,158 ( 2,359) $ 3,799 $ 3,799 ( 1,053) $ 2,746		Total
	( (	( (	( (	$ 18,446 12,565) $ 5,881 $ 5,881 2,146) $ 3,735

The Company does not hold any collateral for the outstanding balances of such receivables.

(IV) Allowance for loss of the non-accrual loan

As of December 31, 2025, the impairment or unrecoverable amount has been evaluated for the due from reinsurers and ceding companies, and the allowance for loss has been provided as NT$989 thousand.

As of December 31, 2024, the impairment or unrecoverable amount has been evaluated for the due from reinsurers and ceding companies, and the allowance for loss has been provided as NT$2,082 thousand.

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(V) Reinsurance reserve asset and Insurance liabilities

Movement of increase/decrease for reinsurance reserve assets and insurance liabilities during 2025:

liabilities during 2025:
Reinsurance reserve asset-net Ceding unearned premium reserves Total amount Recognized impairment loss Ceding claims reserves Reported but not yet paid Not yet reported Recognized impairment loss Total of Reinsurance reserve asset Insurance liabilities Unearned premium reserves Claim reserves Reported but not yet paid Not yet reported Special reserves Special reserves for material accidents Special reserves for hazard changes Other special reserves Premium deficiency reserves Total Insurance Liabilities		January 1, 2025 $ 997,259 - 997,259 1,263,576 413,519 25) 1,677,070 $ 2,674,329 $ 4,126,243 3,392,743 1,178,573 4,571,316 134,727 588,650 1,397,036 2,120,413 7,033 $10,825,005		Provision for the period $ 1,086,979 - 1,086,979 1,835,824 448,690 - 2,284,514 $ 3,371,493 $ 4,160,617 3,941,238 1,247,763 5,189,001 - - 61,131 61,131 8,839 $ 9,419,588		Recovery of the Period $ 940,408 - 940,408 1,263,576 413,519 - 1,677,095 $ 2,617,503 $ 3,974,405 3,392,743 1,178,573 4,571,316 20,812 - 1,006 21,818 7,033 $ 8,574,572		Others $ - - - - - 8 8 $ 8 $ - - - - - - - - - $ -	December 31, 2025
	(								(	$ 1,143,830 - 1,143,830 1,835,824 448,690 17) 2,284,497 $ 3,428,327 $ 4,312,455 3,941,238 1,247,763 5,189,001 113,915 588,650 1,457,161 2,159,726 8,839 $11,670,021

Movement of increase/decrease for reinsurance reserve assets and insurance liabilities during 2024:

liabilities during 2024:
Reinsurance reserve asset-net Ceding unearned premium reserves Total amount Recognized impairment loss Ceding claims reserves Reported but not yet paid Not yet reported Recognized impairment loss Total of Reinsurance reserve asset Insurance liabilities Unearned premium reserves Claim reserves		January 1, 2024 $ 963,980 - 963,980 767,884 380,961 25) 1,148,820 $ 2,112,800 $ 3,999,981		Provision for the period $ 952,859 - 952,859 1,263,576 413,519 - 1,677,095 $ 2,629,954 $ 4,004,807		Recovery of the Period $ 919,580 - 919,580 767,884 380,961 - 1,148,845 $ 2,068,425 $ 3,878,545		Others $ - - - - - - - $ - $ -		December 31, 2024
	(								(	$ 997,259 - 997,259 1,263,576 413,519 25) 1,677,070 $ 2,674,329 $ 4,126,243

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Reported but not yet paid Not yet reported Special reserves Special reserves for material accidents Special reserves for hazard changes Other special reserves Premium deficiency reserves Total Insurance Liabilities		January 1, 2024 2,642,977 1,076,885 3,719,862 153,734 599,144 1,314,027 2,066,905 6,340 $ 9,793,088		Provision for the period 3,392,743 1,178,573 4,571,316 - - 89,118 89,118 7,033 $ 8,672,274		Recovery of thePeriod 2,642,977 1,076,885 3,719,862 19,007 10,494 6,109 35,610 6,340 $ 7,640,357		Others - - - - - - - - $ -		December 31, 2024
										3,392,743 1,178,573 4,571,316 134,727 588,650 1,397,036 2,120,413 7,033 $10,825,005

According to the “Directions for Strengthening Catastrophe Insurance Reserve by Non-Life Insurance Enterprises,” when the self-retained claim reserves resulting from any catastrophe exceed the expected claims less the special reserve offset against material accidents, or when the reserves accumulate to the full water level, the Company will offset the special reserves for material accidents pursuant to the “Regulations Governing Various Reserves for Commercial Earthquake Insurance and Typhoon and Flood Insurance Operated by Non-Life Insurance Enterprises.” As a result, the Company will offset the special reserves for material accidents by NT$20,812 thousand and NT$19,007 thousand for 2025 and 2024, respectively.

In 2025 and 2024, the summary of effects produced by the Company’s application or failure in application of the “Directions for Strengthening Catastrophe Insurance Reserve by Non-Life Insurance Enterprises,” “Notes to Enhancing the Reserves of Members of Residential Earthquake Insurance Co-Insurance Organization” and “Regulations Governing Various Reserves for Nuclear Energy Insurance Operated by Non-Life Insurance Enterprises” are listed as follows:

2025

2025
Amount applied Amount not applied Effects		Net Profit for the Period $ 1,242,577 1,225,927 $ 16,650		Earnings Per Share (EPS) $ 3.91 3.86 $ 0.05	Total Liabilities $ 13,778,767 12,845,897 $ 932,870		Equity
						(	$ 11,840,918 12,624,344 $ 783,426)

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2024

2024
Amount applied Amount not applied Effects		Net Profit for the Period $ 1,162,329 1,138,728 $ 23,601		Earnings Per Share (EPS) $ 3.21 3.14 $ 0.07	Total Liabilities $ 12,637,789 11,684,107 $ 953,682		Equity
						(	$ 12,272,047 13,072,123 $ 800,076)

XX. Equity (I) Capital

Common Stock

Common Stock
Authorized shares (thousand shares) Authorized capital The number of issued and outstanding shares with paid-in capital (thousand shares) Issued and outstanding share capital	December 31, 2025 600,000 $ 6,000,000 253,540 $ 2,535,403	December 31, 2024
			600,000 $ 6,000,000 362,200 $ 3,622,004

The Company resolved at the shareholders’ meeting on May 29, 2025 to refund the stock payment upon the cash capital reduction. As a result, 108,660 thousand shares were canceled, and the capital reduction ratio was 30%. The aforementioned cash capital reduction took effect on August 1, 2025, after being declared effective with the Taiwan Stock Exchange. The capital reduction record date is August 5, 2025, and the change registration has been completed.

(II) Capital surplus

Capital surplus
May be used for making up losses, or be distributed cash or provided as the share capital Premium in stock issuance Treasury stock transaction Others	December 31, 2024 $ 1,915 97,047 2 $ 98,964	December 31, 2023
			$ 1,915 97,047 2 $ 98,964

Such capital surplus may be used to offset a deficit; when the Company has no deficit, such capital surplus may be distributed as cash dividends or stock dividends up to a certain percentage of the Company’s paid-in capital.

(III) Retained earnings and dividend policy

Based on the earnings distribution policy in the Company's Articles of Incorporation, should there be earnings after the annual settlement, the earnings shall

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offset the accumulated deficit from the previous years, and pay all the taxes, and 20% of the remaining shall be provided as the legal reserve. However, if the legal reserve reaches the total paid-in capital of the Company, the said requirement is not applicable. When the special reserve is provided or reversed based on laws, the remaining amount may be combined with the balance of the undistributed earnings at the beginning of the period and the adjusted amount of the undistributed earnings of the year, for the purpose of proposing the earnings distribution plan prepared by the Board of Directors for the shareholders’ meeting to determine. For the policy for distributing compensation of employees and directors specified in the Company Charter, please refer to Note 21(8), “Compensations of Employees and Directors.”

The Company is an insurance enterprise. As the competition has been intensifying since the opening of the insurance market, by taking into account of the ability of covering of the Company, enhancement of solvency, future needs of funds, and the long-term financial plans, as well as to properly meet the shareholders’ demand for cash inflows, the Board of Directors takes stable and balanced dividend policy for the profit distribution proposal of the year, and adjust the percentage of the equity dividend and cash dividends upon its discretions. The cash dividends are no less than 10% of the total dividends; however, if the cash dividend per share is lower than NT$0.1, it may be distributed in equity dividend.

Based on the “Regulations Governing Various Reserves of Insurance Enterprises” amended by the Letter Jin-Guan-Bao-Cai-Zi No. 09802513192, December 28, 2009, from January 1, 2011, the new provisions of the special reserves for material accidents and the special reserves for hazard changes each year shall be accounted to special reserves at the end of each year. Therefore, the earning of this portion shall not be distributed or used of other purpose. As of December 31, 2025 and 2024, the net provision was NT$364,039 thousand and NT$214,632 thousand, respectively.

The legal reserve shall be provided until the balance achieve the amount of the total paid-up capital of the Company; the legal reserve can be used to offset the deficits. Where the Company did not operate at a loss, the part of the legal reserve in excess of 25% of the paid-in capital could be taken as capital and may be allocated in cash as well. Furthermore, based on Jin-Guan-Bao-Cai-Zi No. 10202501991, “the insurance enterprises that intend to distribute the legal reserve and capital surplus in cash pro rata to the original holdings of shareholders based on Article 241 of the Company Act shall meet certain criteria”, to enhance the solvency and strengthen the operation of the

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companies, not only to meet the abovementioned criteria are to be met, the following requirements are also to be met, and such distribution shall be approved by FSC before the shareholders’ meeting, the legal reserve and capital surplus may be distributed in cash based on Article 241 of the Company Act.

The criteria specified in Jin-Guan-Bao-Cai-Zi No. 10202501991 are as follows:

1. The legal reserve provided based on Paragraph 1, Article 145-1 of the Insurance Act has achieved the total amount of paid in capital or funds.

2. The ratio of the latest period of self-owned capital to the risk capital has achieved 250% after deducting the distribution of earnings in cash, cash distributed from capital reserve, and cash distributed from legal reserve.

3. The latest financial report for the year and six months (if the application date exceeding more than six month over the year) are certified by CPA without reserved opinion.

4. The improvements have been made according to the advices for internal control provided by CPA when conducting auditing and certification within the latest year and six months (if the application date exceeding more than six month over the year) .

5. No fine over NT$1 million has been enforced by the competent authorities within the past year. However, shall the tangible improvement against these violations have been made and approved by the competent authorities, the previous requirement does not apply.

6. Healthy financial business with solvency.

7. There is no deficit or accumulated deficit, and no other fact showing any material internal control defect or possible hurdle to healthy operations.

The Company’s appropriations of earnings for 2024 and 2023 are as follows:

Legal reserve Special reserve Cash dividend	Disposition of net earnings 2024 2023 $ 261,968 $ 214,812 224,190 303,130 724,401 470,861	Dividends Per Share ($)	Dividends Per Share ($)
	2024 $ 261,968 224,190 724,401	2024 $ 2.0	2023
			$ 1.3

The Company has held the annual general meetings on May 29, 2025 and May 31, 2024, respectively, and resolved to pass the distribution of the earnings for 2024 and 2023, respectively, as follows:

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(IV) Special reserve

The movement of special reserve of 2025 and 2024 are as follows:

2024 Balance - beginning of year Accounted of the year Recovery of the year Balance - end of year 2023 Balance - beginning of year Accounted of the year Recovery of the year Balance - end of year		Special reserves	Provisions by initial application of IFRS accounting standards	Provisions by initial application of IFRS accounting standards	Special reserve form fin-tech employee transformation	Special reserve form fin-tech employee transformation	Special reserve for personal travel insurance	Special reserve for personal travel insurance		Total
	( (	$ 2,693,460 237,815 23,183) $ 2,908,092 $ 2,908,092 400,407 36,368) $ 3,272,131		$ 652,606 - - $ 652,606 $ 652,606 - - $ 652,606	(	$ 306 - 306) $ - $ - - - $ -		$ 12,337 9,864 - $ 22,201 $ 22,201 16,875 - $ 39,076	( (	$ 3,358,709 247,679 23,489) $ 3,582,899 $ 3,582,899 417,282 36,368) $ 3,963,813

When the Company initially IFRS accounting standards, the unrealized value added amount from the re-evaluation is NT$698,510 thousand, and the special reserve has been provided for the same amount. As of the reporting date, for the disposal of property and equipment, NT$45,904 thousand of special reserve provided for the unrealized value added amount from the re-evaluation for real estate, will be reversed.

The special reserve provided for the investment properties other than lands when initially applying IFRS accounting standards, may be reversed period by period during the usage period. The special reserve provided for lands, may be reversed when being disposed or reclassified. When distributing earnings, the special reserve shall be provided for the difference between the net deduction under other equity to shareholders and the special reserve provided for the initial application of IFRS accounting standards. Afterwards, if there is any reversal for the deduction under other equity to shareholders, the reversed portion may be distributed of earnings.

Based on Jin-Guan-Bao-Cai-Zi No. 10502066461 Letter on July 13, 2016, to respond to the development trend of fin-tech, assist the employees of insurance enterprises, and protect their interests, an insurance enterprises shall, when distributing

• 66 -

the earnings of FY 2016 to 2018, a special reserve shall be made based on the range of 0.5% to 1% of after-tax earning against the distributable earnings. According to the decree under Jin-Guan-Bao-Cai-Zi No. 10804932431 dated July 30, 2019, since the fiscal year of 2019, when disbursing related expenses, the insurance industry may reverse the same amount within the balance of the special reserve provided by the earnings of the fiscal years of 2016–2018.

According to the decree under Jin-Guan-Bao-Cai-Zi No. 10904939031 dated October 29, 2020, in order to build the insurance industry’s robust financial structure, the insurance industry shall, at the end of each fiscal year, set aside the special reserve equivalent to 10% of the balance after the total insurance premium calculated based on the insured value and days for the personal travel accidental death and permanent disability benefits policies sold in that year less 20% nominal tax rate, in accordance with the “Personal Travel Insurance Accidental Death and Permanent Disability Benefits Standard Rate Table.”

(V)

Other equity

Unrealized valuation gain and losses on financial assets at fair value through other

comprehensive income

comprehensive income
Balance - beginning of year Those yielded in the current term Unrealized profit/loss Liability instruments Equity instrument Adjustment to the allowance loss of bond instrument Other comprehensive profit (loss) for the period The accumulated profit/loss by disposing equity instrument transferred to the retained earnings Balance - end of year		2025 $ 523,618 19,221 121,328 58) 140,491 188,518) $ 475,591		2024
	( (		( (	$ 280,309 23,369 366,033 112) 389,290 145,981) $ 523,618

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XXI. Net Income from Continuing Operation

(I) Financial assets at fair value through profit (or loss)

(I) Financial assets at fair value through profit (or loss)
2025 Gain or loss on disposals ($ 12,010) Dividend 5,460 Gain (loss) on valuation Equity instrument ( 27,078) Liability instruments 8,618 ( ($ 25,010) (II) Derecognition of net gain or loss on financial assets carried at amortized 2025 Gain or loss on disposals ($ 7,653)		2024
		$ 24,850 6,277 10,114 33,326) $ 7,915 cost 2024
		$ -

(III)	Realized gain and losses on financial assets at	Realized gain and losses on financial assets at	fair value through other comprehensive	fair value through other comprehensive	fair value through other comprehensive
	income
			2025		2024
	Dividend	$	142,112	$	246,564
	Gain or loss on disposals	(	2,792)	(	35,488)
		$	139,320	$	211,076
(IV)	Gain (loss) on investment properties
			2025		2024
	Rental revenue from investment
	properties	$	122,793	$	131,627
	Gain (loss) on disposal of investment
	properties		-		23,796
	Direct operational expenses of
	investment properties	(	23,650)	(	33,795)
		$	99,143	$	121,628
(V)	Expected credit losses and reversals of impairment losses on investments
			2025		2024
	Bond instruments measured at fair
	value through other
	comprehensive income	$	58	$	112
	Financial assets carried at amortized
	cost		264	(	104)
		$	322	$	8

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(VI) Gain (loss) of Foreign Currency Exchange

Gain (loss) of investment exchange Other gain (loss) of exchange	2025 ($ 85,181) ( 1,596) ($ 86,777)		2024
			$ 99,340 17,250 $ 116,590

• (VII) Summary of nature of employee benefits, depreciation and amortization for the period

		2025			2024
	Classified as operating cost	Classified as operating expense	Total	Classified as operating cost	Classified as operating expense	Total
Employee fringe benefit expenses	$ 247,968	$1,013,373	$1,261,341	$ 252,144	$ 923,045	$1,175,189
Salaries expense	247,968	818,340	1,066,308	252,144	740,246	992,390
Expenses for labor and health insurance	-	75,018	75,018	-	71,703	71,703
Pension expense	-	33,513	33,513	-	32,751	32,751
Remuneration to directors	-	65,231	65,231	-	59,088	59,088
Other employee fringe benefit expenses	-	21,271	21,271	-	19,257	19,257
Depreciation expense - Property and equipment	-	33,744	33,744	-	16,289	16,289
Depreciation expense - Investment properties	9,765	-	9,765	18,194	-	18,194
Depreciation expense - Right-of-use assets	-	25,019	25,019	-	25,978	25,978
Amortization expenses	-	6,961	6,961	-	7,604	7,604

• Note 1: The number of employees for this year and the previous year is 920 and 933, respectively; among them, 11 directors did not serve as employees concurrently in both years.

• Note 2: The average employee benefit expenses for the year and the previous year were NT$1,316 thousand and NT$1,211 thousand.

• Note 3: The average employee salary expenses for the year and the previous year were NT$1,173,000 and NT$1,076,000.

• Note 4: The average employee salary expense adjusted by (9.01%).

• Note 5: The remuneration to the Company’s directors (including independent directors) and managers shall be determined with reference to the Company’s overall operating results, future business risks, and industry development trends, as well as their individual performance achievement rates and contributions to the Company. The related performance assessments and the reasonableness of salaries and remuneration have been reviewed and approved by the Remuneration Committee and the Board of Directors. Meanwhile, the

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remuneration system will be reviewed from time to time, subject to the business overview and related laws, in order to balance the Company’s sustainability and risk control. The remuneration to employees shall be defined based on the salary market’s conditions, the Company’s overview of operation and organizational structure, and in reference to the employees’ academic background/work experience, professional knowledge and expertise, seniority and personal performance. Meanwhile, bonus will be distributed subject to the Company’s operating performance and employees’ personal performance.

(VIII) Compensation to Employees and Remuneration to Directors

Based on the Articles of Incorporation, the Company allocated the remuneration to employees and directors at 1~5% and no more than 5% of the pre-tax profit before reduction of the remuneration to employees and directors in the year. No independent directors were allowed to participate in the allocation of remuneration to directors. According to the amendment to the Securities and Exchange Act in August 2024, the Company has passed a resolution at the 2025 shareholders' meeting to amend the Articles of Incorporation, stipulating that no less than 20% of the employee remuneration for the year will be distributed to entry-level employees. The estimated employees’ compensation and directors’ remuneration for 2025 and 2024 are respectively resolved by the Board of Directors on March 6, 2026 and March 7, 2025, as the following:

Percentage of estimation

Percentage of estimation
Employee Compensation Directors’ Remuneration	2025 2.4984% 2.4984%	2024
		2.4976% 2.4976%

Amount Employee Compensation Directors’ Remuneration		2025 $ 40,335 $ 40,335		2024
				$ 36,259 $ 36,259

Should there be any change to the annual financial report after the reporting date, the differences are recorded as a change in the accounting estimate and adjusted in next year.

The employees’ compensation and directors’ remuneration for 2024 and 2023 were resolved by the Board of Directors on March 7, 2025 and March 13, 2024, respectively, as follows:

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Employee Compensation Directors’ Remuneration		2025 Cash $ 36,259 $ 36,259		2024
				Cash
				$ 31,008 $ 31,008

The actual resolved amounts for the employees’ compensation and directors’ remuneration for 2024 and 2023 are not different from the amounts recognized in the financial statement of 2024 and 2023.

For the information about remuneration o employees and directors resolved by the Board of Directors, please check the “Market Observation Post System” at TWSE.

XXII. Income Tax of the Units in Continued Business Operation

(I) Income tax recognized in profit and/or loss

The primary components of income tax expense are as follows:

The primary components of income tax expense are as follows:	:
2025 2024 Income tax for the current Incurred in the year $ 301,707 $ 196,828 Additional business profit tax levied on unappropriated retained earnings 4,964 4,263 Adjustment of previous year(s) ( 524) ( 121) 306,147 200,970 Deferred income tax Incurred in the year ( 14,934) 15,931 The income tax expenses recognized in profit and/or loss $ 291,213 $ 216,901 The reconciliations of accounting incomes and income tax expense are as follows: 2025 2024 Net Income before income tax from continuing operation $ 1,533,790 $ 1,379,230 The income tax expense for the pre-tax net profit is calculated based on the mandatory tax rates $ 306,758 $ 275,846 Loss in expense which could not be reduced from tax 5 337 Exempted from income tax ( 18,518) ( 63,261) Additional business profit tax levied on unappropriated retained earnings 4,964 4,263 Temporary difference not recognized. ( 1,571) ( 163) No tax credit is available for withholding tax on foreign income. 99 -		2024
		$ 196,828 4,263 121) 200,970 15,931 $ 216,901 are as follows: 2024
	$ 1,379,230 $ 275,846 337 ( 63,261) 4,263 ( 163) -

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(II) (III)	Adjustment from utilizing the current income tax expense of the previous year to the year. ( 524) The income tax expenses recognized in profit and/or loss $ 291,213 Income tax recognized under other comprehensive income 2025 Deferred income tax Incurred in the year －Remeasurement of defined benefit plans ($ 798) Income tax liabilities of the period December 31, 2025 Income tax liabilities of the period Income tax payable $ 191,403	(	121) $ 216,901 2024	121) $ 216,901 2024
		$ 2,169 December 31, 2024
				$ 86,088

(IV) Deferred income tax assets and liabilities

The deferred income tax assets and liabilities show the following changes:

2025

2025
DEFERRED INCOME TAX ASSETS Temporary difference Excesses of allowance for losses Pension exclusions Loss in actuarial calculation of ascertained fringe benefits DEFERRED INCOME TAX LIABILITIES Temporary difference Land revaluation increment Unrealized foreign exchange gains Pension contribution	Balance - beginning of year $ 8,805 297 7,749 $ 16,851 $ 264,150 25,106 - $ 289,256	Recognized into profit and/or loss ( $ 2,165 ) ( 297 ) - ($ 2,462) $ - ( 17,785 ) 389 ($ 17,396)	Recognized under other comprehensiv eincome $ - - 798 $ 798 $ - - - $ -	Balance - end ofyear
					$ 6,640 - 8,547 $ 15,187 $ 264,150 7,321 389 $ 271,860

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2024

2024
DEFERRED INCOME TAX ASSETS Temporary difference Excesses of allowance for losses Pension exclusions Loss in actuarial calculation of ascertained fringe benefits DEFERRED INCOME TAX LIABILITIES Temporary difference Land revaluation increment Unrealized foreign exchange gains	Balance - beginning of year		Recognized into profit and/or loss ( $ 353 ) ( 1,432 ) - ($ 1,785) $ - 14,146 $ 14,146	Recognized under other comprehensiv eincome $ - - ( 2,169) ($ 2,169) $ - - $ -	Balance - end ofyear
		$ 9,158 1,729 9,918 $ 20,805 $ 264,150 10,960 $ 275,110		( (		$ 8,805 297 7,749 $ 16,851 $ 264,150 25,106 $ 289,256

(V) Verification of income tax

The Company’s profit-seeking enterprise income tax returns through 2023 have been examined and approved by the tax authority.

XXIII. Earnings Per Share (EPS)

Earnings Per Share (EPS)
Basic EPS Diluted EPS		2025 $ 3.91 $ 3.90		2024
				$ 3.21 $ 3.20

The average amounts of shares for calculating the net profit of EPS and the average weighted of common shares are as follows:

Net Profit for the Period

Net Profit for the Period
Net profit attributed to the shareholders of the Company/ Net profit used to calculate EPS Net profit attributed to the shareholders of the Company/ Net profit used to calculate diluted EPS		2025 $ 1,242,577 $ 1,242,577		2024
				$ 1,162,329 $ 1,162,329

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Share(s) The weighted average number of common shares to be used to calculate basic earnings per share (EPS) Potential impact of common stock with dilution: Employee compensation The weighted average number of common shares to be used to calculate diluted earnings per share (EPS)		Unit: 2025 317,843 1,009 318,852	Unit: 2025 317,843 1,009 318,852	thousand shares 2024
				362,200 1,480 363,680

Unit: thousand shares

If the Company may opt to release the employees’ compensation in shares or cash, the calculation of diluted EPS assumes the employees’ compensation is released in shares, and included the weighted average outstanding shares when such common shares have diluting effect, to calculate the diluted EPS. When calculating the diluted EPS before resolving the amount of shares to be released as the employees’ compensation in the next year, the diluting effects of such potential common shares are taken into account still.

XXIV. Capital risk management

The ratio of self-owned capital to the risk capital, defined by the “Regulations Governing Capital Adequacy of Insurance Companies.” The Company applies the ratio of capital adequacy as the managerial benchmark of capital adequacy.

The basic goal of the self-owned capital management of the Company is that the self-owned capital of the Company shall be sufficient to meet the regulatory capital requirement, as well as the minimum mandatory ratio of capital adequacy. Regarding the provision calculation of the qualified self-owned capital, the regulations of the competent authorities shall be followed. To cause the Company owns sufficient capitals to assume various risks, the needed capitals shall be evaluated based on the risk portfolios faced by the Company and their risk characteristics, and the optimization of the resource allocation shall be achieved by executing risk management via resource allocation.

• 74 -

XXV. Financial Instruments

(I) Information on fair value – financial instruments other than those at fair value December 31, 2025

December 31, 2025
Financial assets Financial assets carried at amortized cost －Domestic financial bonds －Domestic corporate bonds －Overseas corporate bonds December 31, 2024 Financial assets Financial assets carried at amortized cost －Domestic financial bonds －Domestic corporate bonds －Overseas corporate bonds	Carrying amount		Fair Value
		Level 1	Level 2	Level 3	Total
	$ 649,907 2,299,975 348,918 Carrying amount	$ - - -			$ 660,186 2,328,699 359,436
		Level 1	Level 2	Level 3	Total
	$ 649,814 2,297,653 331,543	$ - - -	$ 458,635 190,392 314,424	$ 197,963 2,088,457 -	$ 656,598 2,278,849 314,424

December 31, 2024

Said Level 2 and Level 3 fair value measurements are based on the cash flow discount method, and the formula price of TPEx or Bloomberg formula price. Among other things, the material unobservable input adopted by the Level 3 fair value measurement refers to the discount factor (yield), which is obtained by considering the premium reward of risks and the reference interest rate of corporate bonds.

(II) Information on fair value – financial instruments at fair value

1. Level of fair value

December 31, 2025

December 31, 2025
Financial assets at fair value through profit or loss TWSE/GTSM listed shares Unlisted domestic shares Funds and Beneficiary certificates Domestic financial bonds Overseas financial bonds Domestic corporate bonds Total Financial assets at fair value through other comprehensive income Investments in equity instruments －TWSE/GTSM listed shares (Note) －Unlisted domestic shares		Level 1 $ 64,544 - 60,442 - - - $ 124,986 $ 3,382,925 -		Level 2 $ - - - - 192,533 - $ 192,533 $ - -		Level 3 $ - 167,139 104,042 907,476 - 500,100 $ 1,678,757 $ - 203,280		Total
								$ 64,544 167,139 164,484 907,476 192,533 500,100 $ 1,996,276 $ 3,382,925 203,280

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Investments in liability instruments －Domestic government bonds －Domestic financial bonds －Domestic corporate bonds －Overseas corporate bonds －Overseas financial bonds Total December 31, 2024 Financial assets at fair value through profit or loss TWSE/GTSM listed shares Unlisted domestic shares Funds and Beneficiary certificates Domestic financial bonds Overseas financial bonds Domestic corporate bonds Total Financial assets at fair value through other comprehensive income Investments in equity instruments －TWSE/GTSM listed shares (Note) －Unlisted domestic shares Investments in liability instruments －Domestic government bonds －Domestic financial bonds －Domestic corporate bonds －Overseas corporate bonds －Overseas financial bonds Total		- - - - - $ 3,382,925 Level 1 $ 41,986 - 303,974 - - - $ 345,960 $ 3,566,659 - - - - - - $ 3,566,659		567,852 59,810 100,389 310,909 - $ 1,038,960 Level 2 $ - - - - 203,044 - $ 203,044 $ - - 566,156 59,136 100,160 469,207 - $ 1,194,659		- - - - 156,943 $ 360,223 Level 3 $ - 157,912 54,158 959,816 - 497,714 $ 1,669,600 $ - 264,700 - - - - 163,736 $ 428,436		567,852 59,810 100,389 310,909 156,943 $ 4,782,108 Total
								$ 41,986 157,912 358,132 959,816 203,044 497,714 $ 2,218,604 $ 3,566,659 264,700 566,156 59,136 100,160 469,207 163,736 $ 5,189,754

Note: Including common stock and special stock.

There was no transfer between fair value measurement level 1 and level 2 in 2025 and 2024.

• 76 -

• Reconciliation for the financial instruments measured at fair value level 3

2025

2025
Financialassets		Financialassets	at	fairvalue throughprofit or loss			Financial assets at fair value through other comprehensive income			Total
		Liability instruments		Equity instrument	Beneficiary certificates		Liability instruments		Equity instrument
Balance - beginning Recognized in profit/loss ( profit/loss on financial assets and liabilities at fair value through profit or loss) Recognized into income－ exchange profit and/or loss Recognized in other comprehensive profit/loss (unrealized profit/loss at fair value through other comprehensive income) Purchase Others (Note) Balance - ending Other unrealized gain/loss of the current period recognized into the profit and/or loss 2024 Financialassets	(	$ 1,457,530 5,046 - - - 55,000) $ 1,407,576 $ 5,046 Financialassets	at							$ 2,098,036 3,786 ( 6,800 ) ( 49,373 ) 70,000 ( 76,669) $ 2,038,980 ($ 3,014) Total
		Liability instruments		Equity instrument		Beneficiary certificates		Liability instruments	Equity instrument
Balance - beginning Recognized in profit/loss (profit/loss on financial assets and liabilities at fair value through profit or loss) Recognized into income－ exchange profit and/or loss Recognized in other comprehensive profit/loss (unrealized profit/loss at fair value through other comprehensive income) Purchase Disposition Others (Note) Balance - ending Other unrealized gain/loss of the current period recognized into the profit and/or loss	$ 1,745,195 ( 7,665 ) - - - - ( 280,000) $ 1,457,530 ($ 7,665)		$ 161,358 ( 3,446 ) - - - - - $ 157,912 ($ 3,446)		$ 51,391 ( 962 ) - - 12,000 - ( 8,271) $ 54,158 ($ 962)		$ 153,396 - 10,350 ( 10 ) - - - $ 163,736 $ 10,350		$ 360,661 - - ( 86,692 ) - ( 670 ) ( 8,599) $ 264,700 $ -	$ 2,472,001 ( 12,073 ) 10,350 ( 86,702 ) 12,000 ( 670 ) ( 296,870) $ 2,098,036 ($ 1,723)

Note: Primarily as result of the repayment of stock payment upon capital reduction and repayment of the principal of the bond instruments when due.

1. The evaluation skills and inputs for Level 2 fair value measurement

Categories of financial instruments

Domestic and foreign bond investments

Evaluation skills and inputs

Cash Flow Discount Method: Discounting Based on the Market Interest Rate Reflecting the Similar Products of the Issuers at the End of Period and the Credit Rating.

The quotation from the sources, such as TPEx, Bloomberg or other markets, is adopted.

• 77 -

• The evaluation skills and inputs for Level 3 fair value measurement

Categories of financial instruments Evaluation skills and inputs Domestic and foreign bond Based on cash flow discount approach, the investments present value of incomes to be obtained by holding the investment. The material unobservable input is the discount factor (yield), is obtained by considering the premium reward of risks and the reference interest rate of corporate bonds. Investments in unlisted Based on the asset-based approach, reflect the domestic shares and entire value of the enterprise or business in beneficiary certificates terms of the total market values for the

• Based on the asset-based approach, reflect the entire value of the enterprise or business in terms of the total market values for the individual assets and liabilities applicable to the evaluated subject. The material unobservable input is the liquidity discount, minority interest discount, and financial information of the investees.

The Company’s measurement of the fair value of financial instruments is reasonable; however, if different evaluation models or parameters are applied, the outcome of evaluations may be different. For the financial instrument classified as Level 3, the effects to market value when evaluation parameters change are as follows:

follows:
Item	Inputs value	Ranges	Upward or downward changes	Effect ofchangesin fairvalue
				Positive change	Negative change
December 31, 2025 ASSETS Bond investment Stock investment Beneficiary certificates December 31, 2024 ASSETS Bond investment Stock investment Beneficiary certificates	Discount rate Financial Information of the Investees Liquidity Discount Minority Interest Discount Financial Information of the Investees Liquidity Discount Minority Interest Discount Discount rate Financial Information of the Investees Liquidity Discount Minority Interest Discount Financial Information of the Investees Liquidity Discount Minority Interest Discount	2.24%~4.91% $ 8,813 10% 10% $ 64,516 10% 10% 2.30%~4.96% $ 8,982 10% 10% $ 54,158 10% 10%	100 BP change upward 5% change downward 10% change upward 10% change upward 5% change downward 10% change upward 10% change upward 100 BP change upward 5% change downward 10% change upward 10% change upward 5% change downward 10% change upward 10% change upward	$ - - - - - - - - - - - - - -	( $ 314,170 ) ( 275 ) ( 41,158 ) ( 41,158 ) ( 1,766 ) ( 10,454 ) ( 10,454 ) ( 328,297 ) ( 351 ) ( 47,186 ) ( 47,186 ) ( 1,695 ) ( 6,018 ) ( 6,018 )

• 78 -

The positive and negative changes of the Company refer to the fluctuation of the fair value; the fair value is obtained by calculating with the evaluation skills of the unobservable input parameters at different degrees.

Shall the financial instrument is affected by one or more inputs, the table above only reflect the effect incurred from one single input change, without considering the relativeness and variability among inputs.

(III) Categories of financial instruments

Categories of financial instruments
Financial assets At fair value through profit and loss Financial assets carried at amortized cost (Note 1) At fair value through other comprehensive income Investments in equity instruments Investments in liability instruments Financial liabilities At amortized cost (Note 2)	December 31, 2025 $ 1,996,276 11,002,642 3,586,205 628,051 1,424,056	December 31, 2024
		$ 2,218,604 12,267,128 3,831,359 792,239 1,296,007

• Note 1: The balance includes the financial assets at amortized costs, such as cash and cash equivalents, investment in bond investments, note receivables, premium receivables, other receivables, claim recoverable from reinsurers, due from reinsurers and ceding companies, other financial assets – net, and refundable deposits.

• Note 2: The balance includes financial liabilities at amortized costs, such as the claims payable, commissions payable, due to reinsurers and ceding companies, other payable, and refundable deposit.

• (IV) The objectives and policies of financial risk management

The major financial instruments of the Company include the equity and bond instrument investment, receivables, and payables. The financial management department of the Company supervises, and manages the financial risks related to the Company’s operation based on internal risk report analyzing the degrees and breadth of exposures. Such risks include market risks (including foreign exchange risks, interest rate risks, and other price risks), credit risks and liquidity risks. The Risk Management Committee, subordinated to the Board of Directors, established by the Company is the

• 79 -

independent organization established solely for supervising risks and policy implementation to reduce exposures.

1. Market risk

The operating activities of the Company cause the Company to assuming the major financial risks as the risk of foreign exchange change (refer to following (1)) and the risk of interest rate change (refer to following (2)).

The Company’s exposure to market risks of financial instruments, and approaches toward managing and measuring such exposures have not changed. (1) Foreign exchange rate risk

For the currency assets and currency liabilities denominated in non-functional currency on the balance sheet date, please refer to Note 31.

Analysis of sensitivity

The Company is mainly affected by the fluctuation of USD.

The following table explains in detail the analysis of sensitivity when the exchange rates of NT$ (the functional currency) against other related foreign currencies increase or decrease 1%. 1% is the sensitivity percentage used when internally reporting the exchange rate risks to the major management, as well as represents the evaluation for the reasonably possible extent of changes of foreign exchange by the management. The analysis of sensitivity only includes the outstanding foreign currency items, and the translation at the end of period is adjusted at 1% of exchange rate change. The positive figures in the following table are the amount increased for the pre-tax net profit or equity when NTD against the related currencies depreciate by 1%; when NTD against the related currencies appreciate by 1%, the effects to the pre-tax net profit or equity will be negative at the same amount.

Profit and loss (i)	Effects from USD 2025 2024 $ 11,358 $ 12,455	Effects from RMB	Effects from RMB
	2025 $ 11,358	2025 $ 794	2024
			$ 773

• (i) Mainly originated from the outstanding USD and RMB denominated financial instruments without being hedged against the cash flows.

(2) Interest rate risks

At the balance sheet date, the carrying amount of financial assets exposed to interest rates are as follows:

• 80 -

Interest rate risk with fair value －Financial assets	December 31, 2025 $ 6,094,812	December 31, 2024
		$ 6,297,979

Analysis of sensitivity

The following analyses of sensitivity are determined based on the interest rate exposure of the non-derivative instruments at the balance sheet dates. When internally reporting the interest rates to the major management, the variable interest rates applied is the interest rates increase or decrease 100 base points, and also represent the evaluation for the reasonably possible extent of changes of interest rate by the management.

If the interest rate increases by 100 base points, while other variables are kept the same, the pre-tax net profit will decrease by NT$312,272thousand and NT$326,824 thousand in 2025 and 2024, primarily as a result of the changes in the fair value of the Company’s fixed-interest rate bond instruments at fair value through profit or loss, and other comprehensive income before tax in 2025 and 2024 decrease by NT$52,822 thousand and NT$66,166 thousand, respectively, primarily as a result of the changes in the fair value of the Company’s fixed-interest rate bond instruments carried at fair value through other comprehensive income.

(3) Other Price Risks

The Company suffered the equity price risk arising from the investment in equity securities and beneficiary certificates.

Analysis of sensitivity

The following analyses of sensitivity are determined based on the price risk over equity securities and beneficiary certificates at the balance sheet dates.

If the equity price increased/dropped by 1%, the income before tax would have increased/decreased by NT$3,962 thousand and NT$5,580 thousand due to the increase/decrease in the fair value of financial assets at fair value through profit or loss from 2025 and 2024. The other comprehensive income would have increased/decreased by NT$35,862 thousand and NT38,314 thousand due to the increase/decrease in the fair value of other financial assets at fair value through comprehensive income from 2025 and 2024.

• 81 -

2. Credit risk

Credit risk represents the potential loss that would be incurred by the Company if the counter-parties or third parties breached the contracts. The Company’s financial instruments are affected by its credit risk concentration, component, contract amounts and other receivables. As the counterparties of the Company are the creditworthy financial institutions with low possibility of default, it is expect the material credit risk is unlikely.

- Credit risk exposure by territory

December 31, 2025

December 31, 2025
Financialassets	Taiwan	Asia	America	Others	Total
Cash and cash equivalents	$ 3,350,105	$ -	$ -	$ -	$ 3,350,105
Financial assets at fair value through profit or loss	1,600,109	-	-	-	1,600,109
Financial assets at fair value through other comprehensive income	1,127,944	-	-	67,959	1,195,903
Financial assets carried at amortized cost	3,061,130	-	237,670	-	3,298,800
Total	$ 9,139,288	$ -	$ 237,670	$ 67,959	$ 9,444,917
% by territory	96.76%	-	2.52%	0.72%	100%

December 31, 2024

December 31, 2024
Financial assets	Taiwan	Asia	America	Others	Total
Cashand cashequivalents	$ 3,833,431	$ -	$ -	$ -	$ 3,833,431
Financial assets at fair value throughprofit or loss	1,660,574	-	-	-	1,660,574
Financial assets at fair value through other comprehensive income	1,131,234	-	94,613	132,548	1,358,395
Financial assets carried at amortized cost	3,005,060	-	273,950	-	3,279,010
Total	$ 9,630,299	$ -	$ 368,563	$ 132,548	$10,131,410
% by territory	95.05%	-	3.64%	1.31%	100%

3. Liquidity risk

The Company maintained sufficient fund to meet our operating capital requirements. Therefore, no liquidity risks associated with failure to source required funding are anticipated.

Liquidity of non-derivative financial liabilities and statement of interest rate risk

The following Table shows the analysis on the remaining contractual maturity for the non-derivative financial liabilities for which the Company has agreed on the repayment term. It was prepared based on the earliest date the Company might be asked to make the repayment, as well as the undiscounted cash flow from the financial liabilities.

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December 31, 2025

December 31, 2025
Liabilities without interest Lease liabilities December 31, 2024 Liabilities without interest Lease liabilities	On demand or shorter than 3 months $1,098,143 4,898 $1,103,041 On demand or shorter than 3 months $1,022,624 4,719 $1,027,343	3 months – 1 year $ 10,329 18,830 $ 29,159 3 months – 1 year $ 11,867 18,630 $ 30,497		1–5 years $ 15,838 32,213 $ 48,051 1–5 years $ 13,313 26,941 $ 40,254		More than 5 years
						$ 19,466 - $ 19,466 More than 5 years
						$ 15,136 - $ 15,136

(V) Based on Article 7 of the “Regulations Governing Insurance Enterprises Engaging in Operating Reinsurance and Other Risk Spreading Mechanisms”, the unqualified counterparties for the ceding reinsurance of the Company by December 31, 2025 are as follows:

follows:
Counterparties of Reinsurance	Insurance type
Tugu Insurance Company Limited	Temporary ceding reinsurance for commercial fire insurance and marine hull insurance.
Asia Capital Reinsurance Group Pte Ltd	Temporary ceding reinsurance for commercial fire insurance and cargo reinsurance

The unqualified premium expense is NT$ 0 thousand, the reserves for unqualified reinsurance is NT244 thousand, all belongs to the ceding claims reported but not claimed reserves.

Based on Article 7 of the “Regulations Governing Insurance Enterprises Engaging in Operating Reinsurance and Other Risk Spreading Mechanisms”, the unqualified counterparties for the ceding reinsurance of the Company by December 31, 2024 are as follows:

• 83 -

Counterparties of Reinsurance	Insurance type
Tugu Insurance Company Limited	Temporary ceding reinsurance for commercial fire insurance, marine cargo insurance, and marine hull insurance.
Asia Capital Reinsurance Group Pte Ltd	Temporary ceding reinsurance for commercial fire insurance and aviation insurance, and cargo reinsurance.

The unqualified premium expense is NT$ 0 thousand, the reserves for unqualified reinsurance is NT$301 thousand, all belongs to the ceding claims reported but not claimed reserves.

• XXVI. Transactions with Related Parties

• (I) Information about the Company’s related parties were as follows

Name of the Related Parties Relationship with the Company Bank of Taiwan Co., Ltd. Major Management Yong-Shin Development Co., Ltd. Major Management Tong-Sheng Development Co., Ltd. Investor with significant effects Navigator Real Estate Co., Ltd. Investor with significant effects Navigator Investment Co., Ltd. Investor with significant effects Taiwan Navigator Asset Investment Co., Ltd. Related party in substance Taiwan Business Bank, Ltd. Related party in substance Bank Taiwan Insurance Brokers Co., Ltd. Related party in substance (extinguished after the merger with the Bank of Taiwan on August 1, 2025) Taiming Assurance Broker Co., Ltd. Related party in substance Link-Aim Life Insurance Broker Co., Ltd. Related party in substance Sirtec International Co., Ltd. Related party in substance Hua Nan Commercial Bank, Ltd. Related party in substance Forland Auto Trade Holding Co., Ltd. Taipei Related party in substance Branch (Cayman) Taiwan Fire and Marine Foundation Related party in substance IBF Financial Holdings Co., Ltd. Related party in substance IBF Securities Co., Ltd. Related party in substance Wistron Corporation Related party in substance (non-related party on May 30, 2024) AcBel Polytech Inc. Related party in substance Wellpool Co., Ltd. Related party in substance Other related parties Directors, supervisors, chairman, president, managers, their spouses, and the relatives within 2nd degree of kinship

• 84 -

(II) Significant related-party transactions were as follows

1. Deposit

Checking deposits and Demand deposits:

Major Management Bank of Taiwan Co., Ltd. Related party in substance Taiwan Business Bank Hua Nan Commercial Bank	December 31, 2025 $ 1,405,167 74,783 1,176 $ 1,481,126	December 31, 2024	December 31, 2024
			$ 1,108,873 77,932 3,756 $ 1,190,561

Time deposits (including cash and cash equivalents, and other financial assets listed in accounts):

sted in accounts):
Major Management Bank of Taiwan Co., Ltd. Related party in substance Taiwan Business Bank	December 31, 2025 $ 220,900 102,200 $ 323,100	December 31, 2024
			$ 220,900 105,200 $ 326,100

The above time deposits placed with related parties bore interest rates ranging from 0.40% to 1.70% as of December 31, 2025, and December 31, 2024, and the transaction terms were the same as those offered to non-related parties.

1. Premium income (direct policy writing)

Major Management Bank of Taiwan Co., Ltd. Related party in substance AcBel Polytech Inc. IBF Financial Holdings Co., Ltd. Taiwan Business Bank Sirtec International Co., Ltd. Wistron Corporation Other related parties		2025 $ 3,485 6,727 6,436 3,427 1,795 - 12,993 $ 34,863		2024
				$ 3,679 4,840 6,256 2,947 1,464 57,317 8,839 $ 85,342

The insurances to the abovementioned related parties provide the same insurance conditions to unrelated parties.

• 85 -

3. Claims (direct policy writing)

Claims (direct policy writing)
Major Management Bank of Taiwan Co., Ltd. Related party in substance IBF Securities Co., Ltd WELLPOOL Other related parties		2025 $ 739 321 66 105 $ 1,231		2024
				$ 44,281 - - 866 $ 45,147

The insurances to the abovementioned related parties provide the same claim conditions to unrelated parties.

1. Commission expenditure

Commission expenditure
Major Management Bank of Taiwan Co., Ltd. Related party in substance Bank Taiwan Insurance Brokers Co., Ltd. Taiming Assurance Broker Co., Ltd. (TABC) Link-Aim Life Insurance Broker Co., Ltd. Other related parties		2025 $ 17,655 20,154 13,579 1,406 19,031 $ 71,825		2024
				$ 2,057 33,794 14,399 1,266 18,068 $ 69,584

The insurances to the abovementioned related parties provide the same commission conditions to unrelated parties.

5. Lessor Agreement

Operating lease

The operating leases of the Company for the investment properties have the lease period of 1 to 10 years. When the lessees exercise the right of continual lease, the rents are agreed to be adjusted based on the market price. Upon the end of the leasehold duration, the lessees are not entitled to preferential lease right over the investment properties.

• 86 -

The future lease payments to be received are summarized as follows:

Type/Name of the Related

Type/Name of the Related
Parties Major Management Yong-Shin Development Co., Ltd. Investor with significant effects Navigator Real Estate Co., Ltd. Tong-Sheng Development Co., Ltd. Navigator Investment Co., Ltd. Related party in substance Taiwan Navigator Assets Forland Auto Trade Holding Co., Ltd. Taipei Branch (Cayman) Sirtec International Co., Ltd. Taiming Assurance Broker Co., Ltd. (TABC)	December 31, 2025 $ 264 643 401 264 1,572 936 12,566 16,057 $ 32,703	December 31, 2024
			$ 396 965 601 396 2,358 1,404 18,850 26,342 $ 51,312

(1) The details of the rents received by leasing the investment properties to the related parties are as follows:

related parties are as follows:
Major Management Yong-Shin Development Co., Ltd. Investor with significant effects Navigator Real Estate Co., Ltd. Tong-Sheng Development Co., Ltd. Navigator Investment Co., Ltd. Related party in substance Taiwan Navigator Assets Forland Auto Trade Holding Co., Ltd. Taipei Branch (Cayman) Sirtec International Co., Ltd. Taiming Assurance Broker Co., Ltd. (TABC)		2025 $ 126 307 191 126 751 447 6,001 9,809 $ 17,758		2024
				$ 126 307 191 126 750 447 6,761 9,642 $ 18,350

• 87 -

• (2) The deposits the Company received for leasing properties to the related parties

as of December 31, 2025 and 2024 are as follows:

Major Management Yong-Shin Development Co., Ltd. Investor with significant effects Navigator Real Estate Co., Ltd. Tong-Sheng Development Co., Ltd. Navigator Investment Co., Ltd. Related party in substance Forland Auto Trade Holding Co., Ltd. Taipei Branch (Cayman) Taiwan Navigator Assets Sirtec International Co., Ltd. Taiming Assurance Broker Co., Ltd. (TABC)	December 31, 2025 $ 20 48 30 20 70 118 1,047 1,646 $ 2,999	December 31, 2024	December 31, 2024
			$ 20 48 30 20 70 118 1,768 1,615 $ 3,689

The abovementioned property leasing to the related parties provided the transaction conditions similar to ordinary transactions.

1. Lessee Agreement

Lessee Agreement
Type/Name of the Related Parties Right-of-use assets Investor with significant effects Navigator Real Estate Co., Ltd. Lease liabilities Investor with significant effects Navigator Real Estate Co., Ltd.	December 31, 2025 $ 3,158 $ 3,321	December 31, 2024
			$ 5,503 $ 5,725

• 88 -

Type/Name of the Related Parties Interest expense Investor with significant effects Navigator Real Estate Co., Ltd. Total amount of cash (outflow) of lease Investor with significant effects Navigator Real Estate Co., Ltd.		2025 $ 113 $ 2,517		2024
				$ 175 $ 2,517

Leasing properties from Navigator Real Estate Co., Ltd. that has significant effects provided the transaction conditions similar to ordinary transactions.

The Company has leased properties from Navigator Real Estate Co., Ltd. which has significant effects, the outstanding balance of paid deposit at December 31, 2025 and 2024 were both NT$509 thousand.

1. Operating Expenses

2. (1) Other expenses

Other expenses
Related party in substance Taiming Assurance Broker Co., Ltd. (TABC) IBF Securities Co., Ltd Donation expense Related party in substance Taiwan Fire and Marine Foundation		2025 $ 117 1,126 $ 1,243 2025 $ 8,000		2024
				$ 102 - $ 102 2024
				$ 8,000

• (2) Donation expense

To fulfill the CSR, enhance the quality of culture, cultivate talents, care for minorities, for the purpose of contributing to the country and the society, the Company has established the “Taiwan Fire and Marine Foundation” via donation upon the resolution of the Board of Directors, for promoting the related business.

• 89 -

(III) Incentive remuneration to key management level

The total remuneration of directors and other key management personnel for 2025

and 2024 is as follows:

and 2024 is as follows:
Short-term employee benefits Post-employment benefits		2025 $ 97,923 7,782 $ 105,705		2024
				$ 94,266 2,416 $ 96,682

The salaries and remunerations to directors and other key management were determined by the Salary Committee in accordance with the personal performances and trends in the markets.

XXVII. Others

(I) Gross retained earned premium

1. As of December 31, 2025, the balance of the gross retained earned premium for the

compulsory and non-compulsory insurance, and the calculation are as follows:

					Reinsurance	Reinsurance			Reinsurance
		Premium revenues			premium revenues		premium outward			Premium retained
Insurance type				(1)		(2)			(3)	(4)＝(1)＋(2)－(3)
Compulsory insurance		$		730,935	$	253,914		$	343,647	$		641,202
Non-Compulsory insurance				8,762,644		238,847			3,163,343			5,838,148
		$		9,493,579	$	492,761		$	3,506,990	$		6,479,350
	Unearned		premium reserves for direct			Unearned	premium reserves for				Net change in
				insurance		reinsurance inwards						unearned
												premium
												reserves
		Reserve		Recovery		Reserve			Recovery		(9)=(5)－(6)+(7)
Item		(5)		(6)		(7)			(8)			－(8)
Compulsory insurance	$	324,687 $ 328,889				$ 148,115			$ 155,792		( $	11,879 )
Non-Compulsory
insurance		3,558,145 3,368,631				129,670			121,093			198,091
	$	3,882,832 $ 3,697,520				$ 277,785			$ 276,885		$	186,212
		Unearned premium reserves for ceding					Ceding net change in
				reinsurance	inward		unearned premium			Gross retained
			Reserve		Recovery				reserves	earned premium
Item				(10)		(11)	(12)=(10)－(11)			(13)=(4)－(9)+(12)
Compulsory insurance		$		194,840	$	197,340	( $		2,500 )	$		650,581
Non-Compulsory insurance				892,139		743,068			149,071			5,789,128
		$		1,086,979	$	940,408	$		146,571	$		6,439,709

Note: As of December 31, 2025, the provision for stable funds of the Company is NT$17,352 thousand.

• 90 -

• As of December 31, 2024, the balance of the gross retained earned premium for the compulsory and non-compulsory insurance, and the calculation are as follows:

compulsory and non-compulsory insurance, and the calculation are as follows:	compulsory and non-compulsory insurance, and the calculation are as follows:	compulsory and non-compulsory insurance, and the calculation are as follows:	s follows:	s follows:
Insurance type Premium revenues (1) Reinsurance premium revenues (2) Reinsurance premium outward (3) Premium retained (4)＝(1)＋(2)－(3) Compulsory insurance $ 737,111 $ 268,670 $ 345,717 $ 660,064 Non-Compulsory insurance 8,136,708 234,603 2,789,019 5,582,292 $ 8,873,819 $ 503,273 $ 3,134,736 $ 6,242,356 Unearned premium reserves for direct insurance Unearned premium reserves for reinsurance inwards Net change in unearned premium reserves (9)=(5)－(6)+(7) －(8) Item Reserve (5) Recovery (6) Reserve (7) Recovery (8) Compulsory insurance $ 328,889 $ 350,476 $ 155,792 $ 155,362 ( $ 21,157 ) Non-Compulsory insurance 3,394,571 3,258,012 125,555 114,695 147,419 $ 3,723,460 $ 3,608,488 $ 281,347 $ 270,057 $ 126,262 Unearned premium reserves for ceding reinsurance inward Ceding net change in unearned premium reserves (12)=(10)－(11) Gross retained earned premium (13)=(4)－(9)+(12) Item Reserve (10) Recovery (11) Compulsory insurance $ 197,340 $ 210,294 ( $ 12,954 ) $ 668,267 Non-Compulsory insurance 755,519 709,286 46,233 5,481,106 $ 952,859 $ 919,580 $ 33,279 $ 6,149,373			Premium retained (4)＝(1)＋(2)－(3)
		Recovery (8)
				$ 668,267 5,481,106 $ 6,149,373

Note: As of December 31, 2024, the provision for stable funds of the Company is NT$16,239 thousand.

(II) Retained claims

1. As of December 31, 2025, the balance of the gross retained claims for the compulsory and non-compulsory insurance, and the calculation are as follows:

Insurance type Compulsory insurance Non-Compulsory insurance	Claims (including the claim expenses) (1) $ 533,239 2,848,077 $ 3,381,316		Claims for reinsurance (2) $ 244,444 68,833 $ 313,277		Refundable Claims for Reinsurance (3) $ 316,785 530,631 $ 847,416	Retained claims (4)＝(1)＋(2)－ (3)	Retained claims (4)＝(1)＋(2)－ (3)
							$ 460,898 2,386,279 $ 2,847,177

1. As of December 31, 2024, the balance of the gross retained claims for the compulsory and non-compulsory insurance, and the calculation are as follows:

Insurance type Compulsory insurance Non-Compulsory insurance	Claims (including the claim expenses) (1) $ 519,146 2,944,200 $ 3,463,346		Claims for reinsurance (2) $ 251,493 93,657 $ 345,150		Refundable Claims for Reinsurance (3) $ 310,625 527,009 $ 837,634	Retained claims (4)＝(1)＋(2)－ (3)	Retained claims (4)＝(1)＋(2)－ (3)
							$ 460,014 2,510,848 $ 2,970,862

• 91 -

(III) Unearned premium reserves

1. The balances of the retained unearned premium reserves for each insurance type as of December 31, 2025 are summarized as the followings:

Item General Personal Automobile Liability Insurance General Personal Automobile Physical Damage Insurance Engineering Insurance Personal Accident Insurance One-year Residential Fire Insurance General Commercial Automobile Liability Insurance Other Insurance (Note) Less: Accumulated impairment	Unearned premium reserves Direct business Reinsurance inward business $ 1,013,947 $ - 591,156 - 367,812 56,999 263,753 1,871 219,017 - 165,842 - 1,398,173 233,885 4,019,700 292,755 - - $ 4,019,700 $ 292,755	Unearned premium reserves Direct business Reinsurance inward business $ 1,013,947 $ - 591,156 - 367,812 56,999 263,753 1,871 219,017 - 165,842 - 1,398,173 233,885 4,019,700 292,755 - - $ 4,019,700 $ 292,755		Ceding unearned premium reserves Ceding reinsurance business $ 166 3,070 261,890 9,482 - 978 868,244 1,143,830 - $ 1,143,830		Retained business
	Direct business $ 1,013,947 591,156 367,812 263,753 219,017 165,842 1,398,173 4,019,700 - $ 4,019,700
						$ 1,013,781 588,086 162,921 256,142 219,017 164,864 763,814 3,168,625 - $ 3,168,625

Note: The balance of each insurance type less than 5% of the total are stated collectively.

1. The balances of the retained unearned premium reserves for each insurance type as of December 31, 2024 are summarized as the followings:

Item General Personal Automobile Liability Insurance General Personal Automobile Physical Damage Insurance Personal Accident Insurance One-year Residential Fire Insurance Other Insurance (Note) Less: Accumulated impairment		Unearned premium reserves Direct business Reinsurance inward business $ 1,016,553 $ - 614,433 - 271,558 1,906 211,597 - 1,720,247 289,949 3,834,388 291,855 - - $ 3,834,388 $ 291,855	Unearned premium reserves Direct business Reinsurance inward business $ 1,016,553 $ - 614,433 - 271,558 1,906 211,597 - 1,720,247 289,949 3,834,388 291,855 - - $ 3,834,388 $ 291,855	Ceding unearned premium reserves Ceding reinsurance business $ 221 3,973 11,175 - 981,890 997,259 - $ 997,259	Retained business	Retained business
		Direct business $ 1,016,553 614,433 271,558 211,597 1,720,247 3,834,388 - $ 3,834,388
						$ 1,016,332 610,460 262,289 211,597 1,028,306 3,128,984 - $ 3,128,984

Note: the balance of each insurance type less than 5% of the total are stated collectively.

• 92 -

(IV) Claim reserves

1. As of December 31, 2025, the balance of the reported but not paid and unreported claim reserves, and the calculation are as follows:

2. (1) Claim reserves and ceding claims reserves

Item Reported but not yet paid Not yet reported Less: Accumulated impairment		Claim r	eserves Reinsurance inward business (2) $ 222,821 177,610 - $ 400,431	Ceded claims reserve and ceded reinsurance inward (3) $ 1,835,824 448,690 ( 17 ) $ 2,284,497	Retained business (4)=(1)+(2)-(3)	Retained business (4)=(1)+(2)-(3)
		Direct Insurance (1)
		$ 3,718,417 1,070,153 - $ 4,788,570		(		$ 2,105,414 799,073 17 $ 2,904,504

• (2) Ceding net change in claims reserves and net change in ceding claims reserves

Item Reported but not yet paid Not yet reported Item		Direct Insurance Reinsurance inward business Net change in claims reserves (5)=(1)-(2)+(3) -(4) Reserve (1) Recovery (2) Reserve (3) Recovery (4) $ 3,718,417 $ 3,153,729 $ 222,821 $ 239,014 $ 548,495 1,070,153 1,004,353 177,610 174,220 69,190 $ 4,788,570 $ 4,158,082 $ 400,431 $ 413,234 $ 617,685 Ceding reinsurance business Ceding net change in claims reserves (8)=(6)-(7) Reserve (6) Recovery (7) $ 1,835,824 $ 1,263,576 $ 572,248 448,690 413,519 35,171 $ 2,284,514 $ 1,677,095 $ 607,419	Direct Insurance Reinsurance inward business Net change in claims reserves (5)=(1)-(2)+(3) -(4) Reserve (1) Recovery (2) Reserve (3) Recovery (4) $ 3,718,417 $ 3,153,729 $ 222,821 $ 239,014 $ 548,495 1,070,153 1,004,353 177,610 174,220 69,190 $ 4,788,570 $ 4,158,082 $ 400,431 $ 413,234 $ 617,685 Ceding reinsurance business Ceding net change in claims reserves (8)=(6)-(7) Reserve (6) Recovery (7) $ 1,835,824 $ 1,263,576 $ 572,248 448,690 413,519 35,171 $ 2,284,514 $ 1,677,095 $ 607,419	Direct Insurance Reinsurance inward business Net change in claims reserves (5)=(1)-(2)+(3) -(4) Reserve (1) Recovery (2) Reserve (3) Recovery (4) $ 3,718,417 $ 3,153,729 $ 222,821 $ 239,014 $ 548,495 1,070,153 1,004,353 177,610 174,220 69,190 $ 4,788,570 $ 4,158,082 $ 400,431 $ 413,234 $ 617,685 Ceding reinsurance business Ceding net change in claims reserves (8)=(6)-(7) Reserve (6) Recovery (7) $ 1,835,824 $ 1,263,576 $ 572,248 448,690 413,519 35,171 $ 2,284,514 $ 1,677,095 $ 607,419	Direct Insurance Reinsurance inward business Net change in claims reserves (5)=(1)-(2)+(3) -(4) Reserve (1) Recovery (2) Reserve (3) Recovery (4) $ 3,718,417 $ 3,153,729 $ 222,821 $ 239,014 $ 548,495 1,070,153 1,004,353 177,610 174,220 69,190 $ 4,788,570 $ 4,158,082 $ 400,431 $ 413,234 $ 617,685 Ceding reinsurance business Ceding net change in claims reserves (8)=(6)-(7) Reserve (6) Recovery (7) $ 1,835,824 $ 1,263,576 $ 572,248 448,690 413,519 35,171 $ 2,284,514 $ 1,677,095 $ 607,419	Direct Insurance Reinsurance inward business Net change in claims reserves (5)=(1)-(2)+(3) -(4) Reserve (1) Recovery (2) Reserve (3) Recovery (4) $ 3,718,417 $ 3,153,729 $ 222,821 $ 239,014 $ 548,495 1,070,153 1,004,353 177,610 174,220 69,190 $ 4,788,570 $ 4,158,082 $ 400,431 $ 413,234 $ 617,685 Ceding reinsurance business Ceding net change in claims reserves (8)=(6)-(7) Reserve (6) Recovery (7) $ 1,835,824 $ 1,263,576 $ 572,248 448,690 413,519 35,171 $ 2,284,514 $ 1,677,095 $ 607,419	Net change in claims reserves (5)=(1)-(2)+(3) -(4)
		Reserve (1)
		$ 3,718,417 1,070,153
		$ 4,788,570
Reported but not yet paid Not yet reported						$ 572,248 35,171 $ 607,419

1. As of December 31, 2024, the balance of the reported but not paid and unreported claim reserves, and the calculation are as follows:

2. (1) Claim reserves and ceding claims reserves

ITEM Reported but not yet paid Not yet reported Less: Accumulated impairment		Claim r	eserves Reinsurance inward business (2) $ 239,014 174,220 - $ 413,234	Ceded claims reserve and ceded reinsurance inward (3) $ 1,263,576 413,519 ( 25 ) $ 1,677,070	Retained business(4)=(1)+(2)- (3)	Retained business(4)=(1)+(2)- (3)
		Direct Insurance (1)
		$ 3,153,729 1,004,353 - $ 4,158,082		(		$ 2,129,167 765,054 25 $ 2,894,246

• (2) Ceding net change in claims reserves and net change in ceding claims reserves

Item Reported but not yet paid Not yet reported		Direct Insurance Reserve (1) Recovery (2) $ 3,153,729 $ 2,415,696 1,004,353 911,960 $ 4,158,082 $ 3,327,656	Direct Insurance Reserve (1) Recovery (2) $ 3,153,729 $ 2,415,696 1,004,353 911,960 $ 4,158,082 $ 3,327,656		Reinsurance inward business Reserve (3) Recovery (4) $ 239,014 $ 227,281 174,220 164,925 $ 413,234 $ 392,206	Reinsurance inward business Reserve (3) Recovery (4) $ 239,014 $ 227,281 174,220 164,925 $ 413,234 $ 392,206	Net change in claims reserves (5)=(1)-(2)+(3) -(4)	Net change in claims reserves (5)=(1)-(2)+(3) -(4)
		Reserve (1) $ 3,153,729 1,004,353 $ 4,158,082			Reserve (3) $ 239,014 174,220 $ 413,234
								$ 749,766 101,688 $ 851,454

• 93 -

Item Reported but not yet paid Not yet reported		Ceding reinsurance business Reserve (6) Recovery (7) $ 1,263,576 $ 767,884 413,519 380,961 $ 1,677,095 $ 1,148,845	Ceding reinsurance business Reserve (6) Recovery (7) $ 1,263,576 $ 767,884 413,519 380,961 $ 1,677,095 $ 1,148,845	Ceding net change in claims reserves (8)=(6)-(7)	Ceding net change in claims reserves (8)=(6)-(7)
		Reserve (6) $ 1,263,576 413,519 $ 1,677,095
					$ 495,692 32,558 $ 528,250

• (V) Premium deficiency reserves

• As of December 31, 2025, the balance of the premium deficiency reserves of each insurance type, and the calculation are as follows:

  • (1) Premium deficiency reserves and ceding premium deficiency reserves

Item Marine Hull Insurance Aviation Insurance Fishing Vessel Insurance Marine Cargo Insurance		Premium deficiency reserves Direct business Reinsurance inward business $ 4,122 $ 15 2,767 32 1,466 1 435 1 $ 8,790 $ 49	Premium deficiency reserves Direct business Reinsurance inward business $ 4,122 $ 15 2,767 32 1,466 1 435 1 $ 8,790 $ 49	Ceding premium deficiency reserves Ceding reinsurance business $ - - - - $ -	Retained business	Retained business
		Direct business $ 4,122 2,767 1,466 435 $ 8,790
						$ 4,137 2,799 1,467 436 $ 8,839

• (2) Net change in premium deficiency reserves and ceding net change in premium deficiency reserves

deficiency reserves
Item Marine Hull Insurance Aviation Insurance Fishing Vessel Insurance Marine Cargo Insurance		Direct Insurance Reserve (1) Recovery (2) $ 4,122 $ 3,284 2,767 2,635 1,466 916 435 124 $ 8,790 $ 6,959			Reinsurance inward business			Net change in premium deficiency reserves for direct business and reinsurance inward (5)=(1)-(2)+(3) -(4) $ 819 136 540 311 $ 1,806
		Reserve (1) $ 4,122 2,767 1,466 435 $ 8,790			Reserve (3) $ 15 32 1 1 $ 49		Recovery (4)
							$ 34 28 11 1 $ 74		$ 819 136 540 311 $ 1,806

Item Marine Hull Insurance Aviation Insurance Fishing Vessel Insurance Marine Cargo Insurance		Ceding reinsurance business $ - $ - - - - - - - $ - $ -	Ceding reinsurance business $ - $ - - - - - - - $ - $ -	Ceding net change in premium deficiency reserves (8)=(6)-(7) $ - - - - $ -	Loss recognized under the net provision of premium deficiency reserves for the period (9)=(5)-(8)	Loss recognized under the net provision of premium deficiency reserves for the period (9)=(5)-(8)
		$ - - - - $ -
						$ 819 136 540 311 $ 1,806

The abovementioned premium deficiency reserves does not apply discount when calculating.

• 94 -

• As of December 31, 2024, the balance of the premium deficiency reserves of each insurance type, and the calculation are as follows:

• (1) Premium deficiency reserves and ceding premium deficiency reserves

Item Marine Hull Insurance Aviation Insurance Fishing Vessel Insurance Marine Cargo Insurance		Premium deficiency reserves Direct business Reinsurance inward business $ 3,284 $ 34 2,635 28 916 11 124 1 $ 6,959 $ 74	Premium deficiency reserves Direct business Reinsurance inward business $ 3,284 $ 34 2,635 28 916 11 124 1 $ 6,959 $ 74	Ceding premium deficiency reserves Ceding reinsurance business $ - - - - $ -	Retained business	Retained business
		Direct business $ 3,284 2,635 916 124 $ 6,959
						$ 3,318 2,663 927 125 $ 7,033

• (2) Net change in premium deficiency reserves and ceding net change in premium deficiency reserves

deficiency reserves
Item Marine Hull Insurance Aviation Insurance Fishing Vessel Insurance Marine Cargo Insurance		Direct Insurance Reserve (1) Recovery (2) $ 3,284 $ 1,931 2,635 3,456 916 835 124 - $ 6,959 $ 6,222			Reinsurance inward business Reserve (3) Recovery (4) $ 34 $ 33 28 65 11 20 1 - $ 74 $ 118		Net change in premium deficiency reserves for direct business and reinsurance inward (5)=(1)-(2) +(3)-(4)
		Reserve (1) $ 3,284 2,635 916 124 $ 6,959			Reserve (3) $ 34 28 11 1 $ 74
							$ 1,354 ( 858 ) 72 125 $ 693

Item Marine Hull Insurance Aviation Insurance Fishing Vessel Insurance Marine Cargo Insurance		Ceding reinsurance business Reserve (6) Recovery (7) $ - $ - - - - - - - $ - $ -	Ceding reinsurance business Reserve (6) Recovery (7) $ - $ - - - - - - - $ - $ -	Ceding net change in premium deficiency reserves (8)=(6)-(7) $ - - - - $ -	Loss recognized under the net provision of premium deficiency reserves for the period (9)=(5)-(8)	Loss recognized under the net provision of premium deficiency reserves for the period (9)=(5)-(8)
		Reserve (6) $ - - - - $ -
					(	$ 1,354 858 ) 72 125 $ 693

The abovementioned premium deficiency reserves does not apply discount when calculating.

(VI) Special reserves

1. As of December 31, 2025, the special reserves for the compulsory and non-compulsory insurance increase/decrease as the following:

2. (1) Special reserves - Compulsory automobile liability insurance

Item Balance - beginning Provision for the period Recovery of the Period Balance - ending	(	Amount
		$ 1,166,731 61,131 1,006) $ 1,226,856

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• (2) Special provision (special reserve) – non-compulsory automobile liability insurance

insurance
Item				Liabi	lit	ies						Special	re	serve
		Material accidents		Hazard changes		Others		Total		Material accidents		Hazard changes		Others		Total
Balance - beginning Provision for the period Recovery of the Period Balance - ending		$ 134,727 - ( 20,812) $ 113,915		$ 588,650 - - $ 588,650		$ 230,305 - - $ 230,305		$ 953,682 - ( 20,812) $ 932,870		$ 772,277 81,070 - $ 853,347		$ 1,458,893 248,350 ( 36,368) $ 1,670,875		$ 676,922 70,987 - $ 747,909		$ 2,908,092 400,407 ( 36,368) $ 3,272,131

Note: The recovery of the special reserves under the previous liability refers to the special reserves provided for non-compulsory automobile liability insurance before January 1, 2011.

1. As of December 31, 2024, the special reserves for the compulsory and non-compulsory insurance increase/decrease as the following:

2. (1) Special reserves - Compulsory automobile liability insurance

Item Balance - beginning Provision for the period Recovery of the Period Balance - ending		Amount
	(	$ 1,083,722 89,118 6,109) $ 1,166,731

• (2) Special provision (special reserve) – non-compulsory automobile liability insurance

insurance
Item				Liabi	lit	ies						Special	re	serve
		Material accidents		Hazard changes		Others		Total		Material accidents		Hazard changes		Others		Total
Balance - beginning Provision for the period Recovery of the Period Balance - ending		$ 153,734 - ( 19,007) $ 134,727		$ 599,144 - ( 10,494) $ 588,650		$ 230,305 - - $ 230,305		$ 983,183 - ( 29,501) $ 953,682		$ 694,850 77,427 - $ 772,277		$ 1,347,450 134,626 ( 23,183) $ 1,458,893		$ 651,160 25,762 - $ 676,922		$ 2,693,460 237,815 ( 23,183) $ 2,908,092

Note: The recovery of the special reserves under the previous liability refers to the special reserves provided for non-compulsory automobile liability insurance before January 1, 2011.

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• (VII) Details of balance sheet and income/cost of compulsory automobile liability insurance

• Detailed balance sheet of compulsory automobile liability insurance

Item	Amount	Amount	Item	Amount	Amount
ASSETS	December 31, 2025	December 31, 2024	Liabilities	December 31, 2025	December 31, 2024
Cash and Bank deposits Cash Equivalents Notes receivable Premiums receivable Less benefits & claims recovered from reinsurers Due from reinsurers and ceding companies Other receivables Financial assets at fair value through other comprehensive income Ceding unearned premium reserves Ceding claims reserves Temporary paid and payment to be carried over Other assets	$ 1,925,660 - 14,274 20,330 26,867 42,944 - - 194,840 300,952 437 -	$ 1,817,155 - 15,849 20,472 20,953 46,045 - - 197,340 288,388 3,357 -	Notes payable Claims payable Reinsurance benefits and claims payable Due to reinsurers and ceding companies Unearned premium reserves Claim reserves Special reserves Temporary received and payment to be carried over Other liabilities	$ - - - 40,250 472,802 715,066 1,226,856 69,499 1,831	$ - - - 55,559 484,681 701,053 1,166,731 114 1,421
Total assets	$ 2,526,304	$ 2,409,559	Total liabilities	$ 2,526,304	$ 2,409,559

1. Detailed income/cost statement of compulsory automobile liability insurance

Item		2025		2024
Operating Revenues Premium income (including reinsurance premium income of $253,914,000 and $268,670,000 respectively) Less: Reinsurance premium outward Net change in unearned premium reserves Retained earned premium Interest income Total operating revenues Operating Costs Claims (including claims for reinsurance NT$244,444 thousand and NT$251,493 thousand respectively) Less: Claim recovered from reinsurer Retained claims Net change in claims reserves Net change in special reserves (Note) Total operating costs	( (	$ 826,580 343,647 ) 9,379 492,312 19,834 $ 512,146 $ 777,683 316,785 ) 460,898 1,449 60,125 $ 522,472	( (	$ 844,851 345,717 ) 8,203 507,337 18,086 $ 525,423 $ 770,639 310,625 ) 460,014 259 83,009 $ 543,282

Note: According to the Order Jin-Guan-Bao-Chan-Zi No. 11004107771, as of

April 1, 2021, non-life insurance enterprises shall contribute NT$30 from the service expenses of the insured per insurance contract as the reserve on a monthly basis.

According to the Order Jin-Guan-Bao-Chan-Zi No. 11304922071, as of October 1, 2024, non-life insurance enterprises shall contribute NT$15 from the service expenses of the insured per insurance contract as the reserve on a

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monthly basis. The Order Jin-Guan-Bao-Chan-Zi No. 11004107771 shall be abolished on the same date.

• (VIII) Acquisition Cost of Insurance Contracts

• As of December 31, 2025, the amount of the insurance contracts at each insurance category and the calculations are as follows:

ITEM General Personal Automobile Liability Insurance General Personal Automobile Physical Damage Insurance Personal Accident Insurance One-year Residential Fire Insurance One-year Commercial Fire Insurance General Liability Insurance Other Insurance (Note)		Commission expenditure $ 247,218 157,552 121,654 63,049 72,482 59,633 294,985 $ 1,016,573		Fee expenditure $ - - - - - - 87,464 $ 87,464		Reinsurance commission expenditure $ - - - - 206 - 22,965 $ 23,171		Other cost $ 4,277 848 70 11,178 - - 12 $ 16,385		Total
										$ 251,495 158,400 121,724 74,227 72,688 59,633 405,426 $ 1,143,593

• Note: The balance of each insurance type less than 5% of the total are stated collectively.

The acquisition costs of the said insurance contracts are not recognized as deferred.

1. As of December 31, 2024, the amount of the insurance contracts at each insurance category and the calculations are as follows:

Item General Personal Automobile Liability Insurance General Personal Automobile Physical Damage Insurance Personal Accident Insurance One-year Residential Fire Insurance One-year Commercial Fire Insurance Compulsory Automobile Liability Insurance General Liability Insurance Other Insurance (Note)		Commission expenditure $ 237,690 157,721 114,544 61,093 66,224 - 54,522 242,742 $ 934,536		Fee expenditure $ - - - - - 55,632 - 33,549 $ 89,181		Reinsurance commission expenditure $ - - - - 674 - - 20,968 $ 21,642		Other cost $ 4,345 875 73 10,858 - - - 13 $ 16,164		Total
										$ 242,035 158,596 114,617 71,951 66,898 55,632 54,522 297,272 $ 1,061,523

Note: The balance of each insurance type less than 5% of the total are stated collectively.

The acquisition costs of the said insurance contracts are not recognized as deferred.

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• (IX) Analysis for business profit and loss

• The amount of the profits and losses at each insurance category and the calculations for 2025 are as follows:

  • (1) Direct Insurance

Direct Insurance
Item		Premium revenues (1)		Net change in unearned premium reserves (2)	Acquisition Cost of Insurance Contracts (3)		c	Claims (including the laim expenses) (4)	c	Net change in laims reserves (5)	Profit (loss) of Insurance (6)=(1)-(2)-(3)- (4)-(5)
General Personal Automobile Liability Insurance Residential Earthquake Insurance One-year Commercial Fire Insurance General Personal Automobile Physical Damage Insurance Personal Accident Insurance Commercial earthquake insurance One-year Residential Fire Insurance Marine Cargo Insurance General Liability Insurance Other Insurance (Note)		$ 1,924,070 676,125 873,248 1,126,476 697,027 282,538 373,619 426,449 438,307 2,675,720 $ 9,493,579	( ( (	$ 2,606 ) - 20,316 23,277 ) 7,805 ) 5,786 7,420 7,709 15,094 162,675 $ 185,312		$ 251,495 40,010 72,482 158,400 121,724 17,257 74,227 42,853 59,633 282,341 $ 1,120,422		$ 995,518 - 301,964 556,149 234,468 114,687 44,468 44,785 105,274 984,003 $ 3,381,316	( ( ( (	$ 31,138 - 134,841 ) 4,848 ) 20,274 170,303 ) 11,994 ) 81,935 20,913 798,214 $ 630,488		$ 648,525 636,115 613,327 440,052 328,366 315,111 259,498 249,167 237,393 448,487 $ 4,176,041

(2) Reinsurance assumed

Insurance type		Reinsurance premium revenues (1)		Net change in unearned premium reserves (2)		Reinsurance commission expenditure (3)		Claims for reinsurance (4)	c	Net change in laims reserves (5)	Profit (loss) of reinsurance inward (6)=(1)-(2)-(3)- (4)-(5)	Profit (loss) of reinsurance inward (6)=(1)-(2)-(3)- (4)-(5)
Residential Earthquake Insurance One-year Commercial Fire Insurance Commercial earthquake insurance Compulsory Automobile Liability Insurance Other Insurance (Note)		$ 88,028 19,848 27,470 131,781 225,634 $ 492,761	( ( (	$ 504 2,625 ) 168 ) 4,299 ) 7,488 $ 900		$ - 206 2,044 - 20,921 $ 23,171		$ 2,012 15,386 1,993 126,439 167,447 $ 313,277	( ( ( (	$ 285 ) 26,024 ) 2,493 3,792 ) 14,805 $ 12,803)		$ 85,797 32,905 21,108 13,433 14,973 $ 168,216

(3) Ceding reinsurance business

Insurance type		Reinsurance premium outward (1)		Ceding net change in unearned premium reserves (2)	i	Reinsurance commission ncome and fee income (3)		Refundable Claims for Reinsurance (4)	Ceding net change in claims reserves (5)	Ceding net change in claims reserves (5)	Loss (gain) of Ceding reinsurance (6)=(1)-(2)-(3)- (4)-(5)	Loss (gain) of Ceding reinsurance (6)=(1)-(2)-(3)- (4)-(5)
Residential Earthquake Insurance One-year Commercial Fire Insurance Commercial earthquake insurance Marine Cargo Insurance Typhoon and Flood Insurance General Liability Insurance Other Insurance (Note)		$ 676,125 632,101 201,182 340,594 145,099 249,800 1,262,089 $ 3,506,990		$ - 11,617 2,213 7,536 123 7,089 117,993 $ 146,571		$ 68,138 138,042 18,160 34,364 14,583 66,273 106,666 $ 446,226		$ - 208,135 55,717 36,587 9,962 71,999 465,016 $ 847,416	( (	$ - 91,323 ) 118,510 ) 62,811 18,564 28,001 707,876 $ 607,419	(	$ 607,987 365,630 243,602 199,296 101,867 76,438 135,462) $ 1,459,358

Note: the balance of each insurance type less than 5% of the total are stated collectively.

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• The amount of the profits and losses at each insurance category and the calculations for 2024 are as follows:

(1) Direct Insurance

Direct Insurance
Item		Premium revenues (1)		Net change in unearned premium reserves (2)	Acquisition Cost of Insurance Contracts (3)		c	Claims (including the laim expenses) (4)	c	Net change in laims reserves (5)	Profit (loss) of Insurance (6)=(1)-(2)-(3)- (4)-(5)
General Personal Automobile Liability Insurance Residential Earthquake Insurance One-year Commercial Fire Insurance General Personal Automobile Physical Damage Insurance Personal Accident Insurance General Liability Insurance Marine Cargo Insurance Other Insurance (Note)		$ 1,925,530 640,701 839,082 1,158,318 662,282 401,374 326,051 2,920,481 $ 8,873,819	( (	$ 38,923 - 31,848 24,629 1,956 ) 17,432 20,733 ) 24,829 $ 114,972		$ 242,035 38,560 66,224 158,596 114,617 54,522 28,418 336,909 $ 1,039,881		$ 1,071,444 116,950 209,917 637,624 266,280 87,395 25,688 1,048,048 $ 3,463,346	(	$ 40,714 - 79,237 11,217 ) 277 30,243 83,073 608,099 $ 830,426		$ 532,414 485,191 451,856 348,686 283,064 211,782 209,605 902,596 $ 3,425,194

(2) Reinsurance assumed

Insurance type		Reinsurance premium revenues (1)		Net change in unearned premium reserves (2)		Reinsurance commission expenditure (3)		Claims for reinsurance (4)	c	Net change in laims reserves (5)	Profit (loss) of reinsurance inward (6)=(1)-(2)-(3)- (4)-(5)	Profit (loss) of reinsurance inward (6)=(1)-(2)-(3)- (4)-(5)
One-year Commercial Fire Insurance Residential Earthquake Insurance Compulsory Motorcycle Liability Insurance Engineering Insurance Typhoon and Flood Insurance Nuclear Energy Insurance Other Insurance (Note)		$ 21,955 92,531 101,271 65,961 8,938 5,981 206,636 $ 503,273	( ( (	$ 2,596 ) 9,352 92 9,304 842 ) 344 4,364) $ 11,290		$ 674 - - 19,061 111 - 1,796 $ 21,642		$ 1,546 53,311 90,537 17,903 1,191 121 180,541 $ 345,150	( (	$ 7,611 ) 484 567 11,090 40 ) 108 16,430 $ 21,028		$ 29,942 29,384 10,075 8,603 8,518 5,408 12,233 $ 104,163

(3) Ceding reinsurance business

Insurance type		Reinsurance premium outward (1)		Ceding net change in unearned premium reserves (2)	i	Reinsurance commission ncome and fee income (3)		Refundable Claims for Reinsurance (4)	Ceding net change in claims reserves (5)	Ceding net change in claims reserves (5)	Loss (gain) of Ceding reinsurance (6)=(1)-(2)-(3)- (4)-(5)	Loss (gain) of Ceding reinsurance (6)=(1)-(2)-(3)- (4)-(5)
Residential Earthquake Insurance One-year Commercial Fire Insurance Marine Cargo Insurance Aviation Insurance General Liability Insurance Marine Hull Insurance Other Insurance (Note)		$ 640,701 626,124 266,093 78,790 220,733 99,860 1,202,435 $ 3,134,736	( ( (	$ - 25,745 15,598 ) 7,152 ) 10,706 1,598 ) 21,176 $ 33,279		$ 65,166 116,407 24,221 3,998 58,429 8,193 123,885 $ 400,299		$ 116,950 122,205 20,026 4,176 53,620 59,804 460,853 $ 837,634	( (	$ - 54,593 60,296 990 ) 19,280 36,844 ) 431,915 $ 528,250		$ 458,585 307,174 177,148 78,758 78,698 70,305 164,606 $ 1,335,274

Note: the balance of each insurance type less than 5% of the total are stated collectively.

(X) Non-insurance assets acquired by executing recovery rights - residuals taken over and right for pursuit of recovery

right for pursuit of recovery
Credit Insurance Miscellaneous Insurance Bonding Insurance Personal Comprehensive Insurance General Liability Insurance Commercial Comprehensive Insurance Engineering Insurance	December 31, 2025 $ 28,218 3,275 5,797 813 110 78 9 $ 38,300	December 31, 2024
			$ 22,213 2,016 4,806 309 92 - 9 $ 29,445

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(XI) Requirements for Asset Segmentation for Certain Assets

The Company has an operation for compulsory automobile liability insurance (“the insurance”), and the insurance has an independent accounting based on the “Compulsory Automobile Liability Insurance Act”, to record the operation and financial position of the insurance.

FSC issued Jin-Guan-Bao-Chan-Zi No. 11104520199 to amend “Regulations for the Management of the Various Reserves for Compulsory Automobile Liability Insurance” on November 25, 2022, and enforced the regulations on the date of promulgation, except Article 2 of the amended Regulations, which should be enforced as of November 30, 2022.

Based on Article 5 of the “Regulations for the Management of the Various Reserves for Compulsory Automobile Liability Insurance”, the special reserves provided for the insurance shall be deposited in financial institutions via the purchase of treasury bills or in the format of time deposit. However, with the approval of the competent authorities, the following domestic negotiation securities may be purchased:

1. Government bond. Exchangeable government bonds are excluded.

2. Financial bonds, NCD, bank’s acceptance bill, and commercial papers guaranteed by financial institutions. But the financial bonds are limited to the general financial bonds.

The treasury bills purchased and the amount of time deposits in financial institution specified previously, shall not be lower than 30% of the total amount of retained earned pure premiums audited or reviewed by CPA of the latest period. The competent authorities may properly raise the percentage depending on the operation status of the Company.

Shall the balance of the special reserves not meet 30% of the total amount of retained earned pure premiums audited or reviewed by CPA of the latest period, all the reserves shall purchase treasury bills or have been deposited in financial institutions as time deposits.

According to Article 6 of the “Regulations for the Management of the Various Reserves for Compulsory Automobile Liability Insurance”, the funds held by the insurance (various reserves, payables, temporary receipts and payment to be carried over), shall be deposited in the banks as demand deposits and time deposits, except the special reserve, which should be handled in accordance with said requirements.

• 101 -

However, with the approval of the competent authorities, the following domestic negotiation securities may be purchased:

1. Treasury Bills.

2. NCD, bank’s acceptance Bill, and commercial papers guaranteed by financial institutions.

3. Repo Government Bonds.

The amount of time deposits in financial institution specified previously, shall not be lower than 45% of the balance of funds held by the insurance minus special reserves, and 30% of the amount of retained earned pure premiums audited or reviewed by CPA of the latest period. The competent authorities may properly raise the percentage depending on the operation status of the Company.

Shall the sum of the unearned premium reserves and claim reserves not meet 30% of the total amount of retained earned pure premiums audited or reviewed by CPA of the latest period, all the reserves shall be deposited in financial institutions as time deposits.

Based on Article 11 of the “Regulations for the Management of the Various Reserves for Compulsory Automobile Liability Insurance”, when a non-life insurance enterprise suspends or cease to provide the said insurance, all the reserves of the insurance shall be transferred and included to the reserve provisions of the non-life insurance enterprise succeeding the business.

Where an insurance enterprise is ordered to suspend business and undergo rehabilitation, ordered to dissolve, or its permit to provide the insurance is abrogated but no other insurer takes over the insurance business, and the liabilities of the insurance are terminated with positive balance of special reserves, the corresponding assets of such special reserves shall be transferred to Motor Vehicle Compensation Fund Accident.

• 102 -

XXVIII. Claim Liabilities to Policyholders

• (I) As of December 31, 2025, the information of the claim liabilities to the policyholders by the Company is summarized as the following:

• The claim liabilities reported and paid, reported but not paid, and unreported to the policyholders

Item Engineering Insurance General Personal Automobile Liability Insurance One-year Commercial Fire Insurance Compulsory Automobile Liability Insurance Compulsory Motorcycle Liability Insurance Marine Cargo Insurance Other Insurance (Note)	Claims payable Reported and paid $ - - - - - - - $ -		Claim reserves
		Reported but not yet paid $ 991,185 883,731 317,693 108,694 47,916 212,222 1,379,797 $ 3,941,238	Not yet reported $ 93,673 160,637 43,405 241,271 227,259 58,968 422,550 $ 1,247,763		Total
					$ 1,084,858 1,044,368 361,098 349,965 275,175 271,190 1,802,347 $ 5,189,001

1. Reinsurance reserve assets - Claim recoverable from reinsurers to the reported and paid claims to the policyholders

Insurance type General Liability Insurance Compulsory Automobile Liability Insurance Compulsory Motorcycle Liability Insurance Engineering Insurance Compulsory Commercial Automobile Liability Insurance Other Insurance (Note) Allowance loss		Claim paid $ 15,486 13,373 9,271 6,788 4,219 14,671 63,808 319) $ 63,489	Reported and paid $ - - - - - - - - $ -		Total
	(			(	$ 15,486 13,373 9,271 6,788 4,219 14,671 63,808 319) $ 63,489

• 103 -

• Reinsurance reserve assets - Claim recoverable from reinsurers to the reported but

not paid and unreported ceding claims to the policyholders

Insurance type Engineering Insurance Marine Cargo Insurance Marine Hull Insurance One-year Commercial Fire Insurance Commercial earthquake insurance Compulsory Automobile Liability Insurance General Liability Insurance Other Insurance (Note) Accumulated impairment	Reported but not yet paid $ 823,676 164,284 181,843 178,103 170,817 41,836 90,544 184,721 $ 1,835,824	Not yet reported $ 43,600 45,800 22,300 24,900 6,400 104,755 38,500 162,435 $ 448,690		Total
			(	$ 867,276 210,084 204,143 203,003 177,217 146,591 129,044 347,156 2,284,514 17) $ 2,284,497

Note: The balance of each insurance type less than 5% of the total are stated collectively.

• (II) As of December 31, 2024, the information on the Company’s claim liabilities to policyholders is summarized as follows:

• The claim liabilities reported and paid, reported but not paid, and unreported to the policyholders

Item General Personal Automobile Liability Insurance One-year Commercial Fire Insurance Engineering Insurance Compulsory Automobile Liability Insurance Commercial earthquake insurance Compulsory Motorcycle Liability Insurance General Personal Automobile Physical Damage Insurance Other Insurance (Note)	Claims payable Reported and paid $ - - - - - - - - $ -		Claim reserves
		Reported but not yet paid $ 853,275 480,491 329,584 99,887 304,812 42,440 199,329 1,082,925 $ 3,392,743	Not yet reported $ 159,954 41,472 44,908 243,444 15,727 229,990 57,671 385,407 $ 1,178,573		Total
					$ 1,013,229 521,963 374,492 343,331 320,539 272,430 257,000 1,468,332 $ 4,571,316

• 104 -

• Reinsurance reserve assets - Claim recoverable from reinsurers to the reported and

paid claims to the policyholders

Insurance type General Liability Insurance Engineering Insurance Compulsory Motorcycle Liability Insurance Compulsory Automobile Liability Insurance Commercial earthquake insurance Marine Hull Insurance Personal Accident Insurance Compulsory Commercial Automobile Liability Insurance Other Insurance (Note) Allowance loss		Claim paid $ 12,217 10,653 9,205 8,330 6,225 5,048 3,692 3,409 1,010 59,789 299) $ 59,490	Reported and paid $ - - - - - - - - - - - $ -		Total
	(			(	$ 12,217 10,653 9,205 8,330 6,225 5,048 3,692 3,409 1,010 59,789 299) $ 59,490

1. Reinsurance reserve assets - Claim recoverable from reinsurers to the reported but

not paid and unreported ceding claims to the policyholders

Insurance type Commercial earthquake insurance One-year Commercial Fire Insurance Engineering Insurance Marine Hull Insurance Marine Cargo Insurance Compulsory Automobile Liability Insurance Compulsory Motorcycle Liability Insurance General Liability Insurance Other Insurance (Note) Accumulated impairment	Reported but not yet paid $ 285,727 271,826 202,045 140,568 108,073 35,606 11,191 71,243 137,297 $ 1,263,576	Not yet reported $ 10,000 22,500 20,300 24,000 39,200 104,791 98,534 29,800 64,394 $ 413,519		Total
			(	$ 295,727 294,326 222,345 164,568 147,273 140,397 109,725 101,043 201,691 1,677,095 25) $ 1,677,070

Note: The balance of each insurance type less than 5% of the total are stated collectively.

XXIX. Effects from Changes of Estimates and Assumptions

• (I) The estimate amount of claims for the following significant claim events, is the neutral estimation for the current forecast of future amount of claim, based on the inspection of the insurance accidents. However, the estimation and assumption are uncertain, and may not be consistent to the actual claim outcomes in the future. The said estimation may be

• 105 -

revised due to re-evaluation of the case by the insurance notary or the claim personnel after inspection and collection of information; or may be modified because the delegated attorneys change the future claim amount specified in the arising litigation and related legal fees. The Company will re-evaluated and account based on the said changes, and cause the estimated claim amount of the claim event. The changed amount will directly affect the profit/loss of the current when changes occur. The estimation of the amount of each insurance type and the amount after changes are listed as follows:

1. 2025

2025
Insurance type Engineering Insurance One-year Commercial Fire Insurance Marine Hull Insurance Marine Cargo Insurance	Estimated amount $ 600,762 314,635 140,146 73,215 $ 1,128,758	Amount after changes
		$ 600,762 241,827 140,146 138,423

The abovementioned effects do not take into account of ceding reinsurance.

2. 2024

2024
Insurance type One-year Commercial Fire Insurance Marine Hull Insurance Marine Cargo Insurance Engineering Insurance	Estimated amount $ 759,834 92,146 73,215 21,783 $ 946,978	Amount after changes
		$ 695,514 92,146 73,215 21,783

The abovementioned effects do not take into account of ceding reinsurance.

Note: With respect to the one-year commercial fire insurance caused by Hualien Earthquake on April 3, 2024, including the significant claim events, the losses have been estimated as NT$359,384 thousand until December 31, 2024. After taking the ceding reinsurance into account, the Company estimated the loss retention as NT$50,000 thousand.

• (II) The Company evaluates the premium deficiency reserve based on the expected cost method, while considering the individual cases not satisfying Article 10 of the “Regulations Governing Insurance Enterprises Engaging in Operating Reinsurance and Other Risk Spreading Mechanisms”. However, the estimation and assumption are uncertain, and may not be consistent to the actual loss rate and actual general fee rate in

• 106 -

the future. The said estimation may, due to the changes of future economic situations, cause the provision of premium deficiency reserve to increase or decrease. When the expected loss rate increases of decrease 5%, the amount of the provision of premium deficiency reserve for 2025 and 2024 may increase NT$5,042 thousand or NT$629 thousand, or decrease NT$610 thousand or NT$462 thousand, respectively. The changed amount will directly affect the profit/loss of the current when changes occur. The abovementioned effects do not take into account of ceding reinsurance.

• XXX. Information of risk management

• (I) Structure, Organization, and Authorities and Responsibilities of Risk Management

  1. Structure and Organization of Risk Management

==> picture [469 x 316] intentionally omitted <==

In order to effectively plan, supervise and execute the risk management, in the 29th meeting of the 22nd Board of Directors on September 24, 2010, the Risk Management Committee was set up under the Board.

• 107 -

Risk management strategies of the Company:

• (1) The risk management standards established by Company cover insurance risk, credit risk, market risk, liquidity risk, operational risk, risk of match for asset and liability, and risk of climate change.

• (2) Based on the operational plan and financial income targets, the Company’s risk appetite shall be no less than 400% of the capital adequacy ratio (RBC ratio). Meanwhile, in response to the implementation of the new generation solvency regime on January 1, 2026, the Company’s risk appetite has been changed to no less than 200% of the capital adequacy ratio (ICS ratio).

• (3) Establish the risk management procedures consistent of the business scale, nature, and complexity of the Company, so each risk is controlled to the acceptable extent.

• (4) Effectively control the capital adequacy ratio by complying with the regulations of managing capital adequacy ratio by the competent authorities.

• (5) Establish the information security guarding mechanism and contingency plan for the business or transactions, and inter-application of information. Risk management procedure of the Company:

To identify, measure, supervise and monitor each risk faced by the Company, the risk management procedure is divided as five stages, namely risk identification, risk measurement, risk response, risk control, and risk report, as for the operation of risk management.

1. The functions of each unit are as follows:

2. (1) Board of Directors

   • A. Recognize the risks to be assumed for the operations of insurance enterprise, ensure to effectiveness of the risk management, and be ultimately responsible for the risk management as a whole.

   • B. Must establish the proper risk management mechanism and culture, approve the proper risk management policies and review them regularly, and optimize the allocations of resources.

   • C. Not only pay attentions to the risks assumed by individual unit, but rather consider the effects from the aggregation of each risk at the company level. Meanwhile, the mandatory capitals required by the competent authorities, and various regulations of finance and business impacting the capital allocation shall be taken into account.

3. 108 -

4. (2) Risk Management Committee

5. A. Draft the policies, structures, organizational functions of risk management, establish the qualified and quantified management standards, report to the Board regularly and reflect the implementation of risk management to the Board in timely manner, and propose the necessary improvement advices.

6. B. Execute the Board’s decisions of risk management, and regularly review the performance for development, establishment, and execution of the risk management mechanism at the Company level.

7. C. Assist and supervise the risk management activities conducted by each department.

8. D. Assist review on the operations related to determination of risk limit.

9. E. Adjusted the risk categories, limit allocation, and assumption approach depending on the changes of circumstance.

10. F. Coordinate the interactions and communications of cross-department risk management.

11. G. Evaluation on capital adequacy.

12. H. Performance management after risk adjustment.

13. (3) Risk Management Dept.

14. A. Charge of the executions of daily risk monitor, measurement, and evaluation, and independent from the business to perform the duties.

15. B. Risk management department shall perform the following duties based on the categories of operations:

    • a. Assisting to draft and execute the risk management policies approved by the Board of Directors.

    • b. Assisting to draft the risk limits based on the risk appetite.

    • c. Compiling the risk information provided by each unit, to coordinate and communicate among them for the purpose of executing policies and limits.

    • d. Providing the risk management related report regularly.

    • e. Monitoring the risk limits and utilization of each business unit.

    • f. Assisting to the stress test.

    • g. Conducting backtracking test when necessary.

    • h. Other matters related to risk management.

16. 109 -

17. C. Handling the breach of risk limits by other units under the authorization of the Risk Management Committee.

18. (4) Business units (all departments other than Audit Dept. and Risk Management Dept.)

19. A. The heads of business units’ duties to execute the risk management are as follows:

    • a. Charge of the management and report of the daily risks for the unit he/she belongs to, and taking the necessary responding strategies.

    • b. Supervising the regular conveyance of related risk information to the Risk Management Dept.

20. B. Business units’ duties to execute the risk management are as follows:

    • a. Identifying risks and reporting the exposures.

    • b. Measuring the extent (quantifying or qualifying) of impact when such risks materialize, and convey the risk information in a timely and correct manner.

    • c. Reviewing each risks and limit regularly, to ensure the risk limit of the unit is effectively executed.

    • d. Monitoring the risk exposure and report the breaches, including the measures taken for such breaches.

    • e. Assisting the development of the risk models, to ensure the measurement of risk, use of model, and establishment of assumptions within the business unit is on the reasonable and consistent basis.

    • f. Ensuring the effective execution of the internal control within the business unit, to comply with the laws and regulations as well as the risk management policies of the Company.

    • g. Assisting the collection of the operational risks.

21. (5) Audit Dept.

Based on the current laws and regulations to audit the execution of risk management for business units of the Company.

• (II) The extent and nature of the risk reporting and measuring system for the non-life insurance enterprises

The Risk Management Dept. compiles the risk information provided by each unit, to prepare the risk management report regularly, as well as reviews and tracks the utilization of major risk limits, to monitor the risk regularly. The risk management

• 110 -

report is submitted to the Risk Management Committee every quarter, and the holistic risk management report is submitted to the Board of Director every six months.

The insurance risk management information system of the Company has the database for the accumulations under the same insurance for each category of insurance, and the limit control for each policy. The database not only is able to control the significant disaster risk timely, but also helpful for the business units to conduct scenario analysis and the stress tests. The limit control for each policy includes the real-time ceding reinsurance, to control the risks of significant disaster and reinsurances effectively.

• (III) The procedures for non-life insurance enterprises to sustain, measure, supervise, and control the insurance risks, and to ensure the insurance-approval policies for proper risk categorization and premium levels

When the sales of each insurance of the Company solicit business, the “Regulations Governing Business Solicitation” of the Company shall be followed. The insurance approver of each insurance shall be strictly required for their qualification, authorities and duties based on the “Regulations Governing Insurance Approval and Claims”, and they shall follow the established operational process of insurance approval for the insurance type when approving insurance, to ensure the proper risk categorization and premium levels, as well as to control the insurance risks.

• (IV) Evaluating and managing the insurance risk extent on the basis of company as a whole

For the management of insurance risks, the Company has the risks of product design and pricing, insurance approval, reinsurance, significant disaster, claim, reserves, as well as the matching risks for assets and liabilities.

• (V) The approaches used by the non-life insurance enterprises to limit the insurance risk exposures and prevent the risk of undue concentration:

The Company has, based on the “Regulations Governing Insurance Enterprises Engaging in Operating Reinsurance and Other Risk Spreading Mechanisms”, to established a risk management mechanism for the retained and ceding reinsurance and reinsurance inwards business; and the “Reinsurance Risk Management Operating Guidelines” has been established for execution by considering the ability to assume risks. The retention limits for each risk unit under each insurance category are disclosed as follows:

• 111 -

December 31, 2025

Insurance type One-year Commercial Fire Insurance One-year Residential Fire Insurance and Allied Perils Insurance Marine Cargo Insurance Inland Marine Insurance Marine Hull Insurance (casualty insurance of crews and passengers) Marine Hull Insurance (other than the casualty insurance of crews and passengers) Fishing Vessel Insurance Aviation Insurance Engineering Insurance Credit Insurance Bonding Insurance General Liability Insurance (for individual) General Liability Insurance (for business) Professional Liability Insurance Commercial Comprehensive Insurance Miscellaneous Insurance (for individual) Miscellaneous Insurance (for business) Personal Comprehensive Insurance Personal Accident Insurance Health Insurance Automobile Physical Damage Insurance and Allied Perils Insurance Automobile Liability Insurance

Unit: NT$ Thousand Highest retention NT$ 1,200,000 NT$ 480,000 US$ 6,000 US$ 1,000 US$ 25,000 US$ 5,000 US$ 1,500 US$ 3,000 NT$ 1,200,000 NT$ 300,000 NT$ 300,000 NT$ 40,000 NT$ 300,000 NT$ 300,000 NT$ 1,200,000 NT$ 20,000 NT$ 1,200,000 NT$ 40,000 NT$ 40,000 NT$ 10,000 NT$ 30,000 NT$ 200,000

Note: the special businesses are not subjected to the above restrictions for the maximum

self-retained amount.

• 112 -

December 31, 2024

Unit: NT$ Thousand

	Unit: NT$ Thousand
Insurance type One-year Commercial Fire Insurance One-year Residential Fire Insurance and Allied Perils Insurance Marine Cargo Insurance Inland Marine Insurance Marine Hull Insurance (casualty insurance of crews and passengers) Marine Hull Insurance (other than the casualty insurance of crews and passengers) Fishing Vessel Insurance Aviation Insurance Engineering Insurance Credit Insurance Bonding Insurance General Liability Insurance (for individual) General Liability Insurance (for business) Professional Liability Insurance Commercial Comprehensive Insurance Miscellaneous Insurance (for individual) Miscellaneous Insurance (for business) Personal Comprehensive Insurance Personal Accident Insurance Health Insurance Automobile Physical Damage Insurance and Allied Perils Insurance Automobile Liability Insurance	Highest retention
	NT$ 1,500,000 NT$ 480,000 US$ 6,000 US$ 1,000 US$ 25,000 US$ 5,000 US$ 1,500 US$ 3,000 NT$ 1,500,000 NT$ 300,000 NT$ 300,000 NT$ 40,000 NT$ 300,000 NT$ 300,000 NT$ 1,200,000 NT$ 20,000 NT$ 1,200,000 NT$ 40,000 NT$ 40,000 NT$ 10,000 NT$ 30,000 NT$ 200,000

Note: The special businesses are not subjected to the above restrictions for the maximum self-retained amount.

(VI) Approaches of Managing Assets and Liabilities

When implementing various business, the case officers shall manage and monitor the potential risks in the day-to-day operations based on the internal control procedures and SOP, to prevent the mismatch between the cash flows from liabilities and assets caused by the behaviors of policyholders.

• (VII) When certain events occur, the non-life insurance enterprises have to assume extra liabilities or input extra commitments of owner’s equity. The procedures for management, supervision, and control

• 113 -

According to the Insurance Act, for the non-life insurance enterprises, the ratio of total adjusted net capital to risk-based capital may not be lower than 200%. Fail to meet the said ratio, the profits are not to be distributed; also, the capital-increase shall be conducted within a certain period upon the requests from the competent authorities, or the scope of operations or fund application shall be limited.

Based on the risk appetite regulated by the Risk Management Policy of the Company, the ratio of total adjusted net capital to risk-based capital may not be lower than 400%. Meanwhile, in response to the competent authority’s policy, the risk appetite will be adjusted from January 1, 2026, so that the ratio of own capital to risk capital will not be less than 200%.

(VIII)Explanation of the Insurance Risk Concentration

The insurances sold by the Company include: fire insurance, marine cargo insurance, marine hull insurance, aviation insurance, personal accident insurance, automobile insurance, cash insurance, credit insurance, engineering insurance, liability insurance, health insurance, and other property insurances; the major sources of business are from within the Republic of China, and the insurance contract taken do not significantly differ from different regions.

The Company's premium revenues mainly concentrate at automobile insurance, fire insurance, marine cargo insurance, casualty insurance, liability insurance, and other property insurance.

Various reserves are provided based on the “Regulations on Provision of Various Reserves for Insurance Enterprises” and other official orders and letters.

(IX) The Sensitivities of Insurance Risks

Unit: NT$ Thousand

Year 2025 2024	The impact to the profit/loss when the expected loss ratio increase 5% Before holding the reinsurance After holding the reinsurance ($ 118,540) ($ 80,640) ($ 115,025) ($ 76,125)	The impact to the profit/loss when the expected loss ratio increase 5% Before holding the reinsurance After holding the reinsurance ($ 118,540) ($ 80,640) ($ 115,025) ($ 76,125)	The impact to the profit/loss when the expected loss ratio decrease 5%	The impact to the profit/loss when the expected loss ratio decrease 5%	The impact to the profit/loss when the expected loss ratio decrease 5%
	Before holding the reinsurance ($ 118,540) ($ 115,025)		Before holding the reinsurance $ 116,055 $ 90,125	After holding the reinsurance
	( (	( (			$ 78,855 $ 61,425

Note: The compulsory automobile insurance, nuclear energy insurance and residential earthquake insurance are excluded.

• 114 -

• (X) Development Trend of Claims

• The development trend of claims for 2025 is as the following:

Unit: NT$ Thousand

Incurred accumulated claims (claim expenses included)

Year/Month of the Accident 2021 2022 2023 2024 2025	12 $ 4,095,067 2,970,150 2,767,334 3,547,634 5,367,108	24 $ 4,212,222 3,265,655 2,874,413 4,453,349	36 $ 4,142,948 3,193,340 3,009,106	48 $ 4,129,175 3,432,054	60
					$ 4,176,191

Note: The compulsory automobile insurance, nuclear energy insurance and residential earthquake insurance are excluded.

1. The development trend of claims for 2024 is as the following:

Unit: NT$ Thousand

Incurred accumulated claims (claim expenses included)

Year/Month of the Accident 2020 2021 2022 2023 2024	12 $ 2,288,237 4,095,067 2,970,150 2,767,334 3,547,634	24 $ 2,461,612 4,212,222 3,265,655 2,874,413	36 $ 2,403,348 4,142,948 3,193,340	48 $ 2,399,289 4,129,175	60
					$ 2,382,832

Note: The compulsory automobile insurance, nuclear energy insurance and residential earthquake insurance are excluded.

XXXI. Information of Foreign Currency Assets and Liabilities with Material Impacts

The following information is the consolidated expression of the foreign currencies other than the functional currency of the Company. The disclosed exchange rate refers to the exchange rate translating such foreign currencies to the functional currency. The foreign currency assets and liabilities with material impact are as follows:

Unit: Foreign currency / NT$ Thousand

Foreign assets Monetary items USD RMB Foreign liabilities Monetary items USD	December 31, 2025 Foreign Currency Exchange rate Carrying Amount $ 37,526 31.42 $1,179,074 17,654 4.50 79,442 1,376 31.42 43,248	December 31, 2025 Foreign Currency Exchange rate Carrying Amount $ 37,526 31.42 $1,179,074 17,654 4.50 79,442 1,376 31.42 43,248	December 31, 2024	December 31, 2024	December 31, 2024
	Foreign Currency $ 37,526 17,654 1,376	Exchange rate 31.42 4.50 31.42	Foreign Currency $ 39,560 17,249 1,566	Exchange rate	Carrying Amount $1,296,773 77,274 51,318
				32.78 4.48 32.78

• 115 -

The unrealized exchange gains and losses with material impact are as follows:

Foreign Currency USD RMB	2025	Foreign exchange income or loss, net ( $ 43,728 ) 500 ($ 43,228)	2024
	Exchange rate 31.42 4.50		Exchange rate 32.78 4.48	Foreign exchange income or loss, net
		( (			$ 79,458 3,081 $ 82,539

XXXII. Additional Disclosures

• (I) Information about significant transactions

• The amount of acquired properties is NT$100 million or more, or 20% of the paid-up capitals or more. (Table 1)

• The amount of disposed properties is NT$100 million or more, or 20% of the paid-up capitals or more. (None)

• Transactions of the major core business items between the Company and the related parties, with the amount of NT$100 million or more, or 20% of the paid-up capitals or more. (None)

• The receivables from the related parties is NT$100 million or more, or 20% of the paid-up capitals or more. (None)

• Transactions in engaging in derivative financial instruments. (None)

• Other information: Amount of the business relationship and major transactions between parent company and subsidiaries and among subsidiaries. (None)

• (II) Information related to reinvested enterprises

• Information related to the name and location, etc., of the investee (the investees in mainland China excluded) (Table 2)

• Lending funds to others. (None)

• Providing endorsements or guarantees for others. (None)

• Securities held at the end of the period. (Table 3)

• Transactions where the aggregate purchases or sales of the same security reaching NT$100 million or 20% of paid-in capital or more. (None)

• The amount of acquired properties is NT$100 million or more, or 20% of the paid-up capitals or more.

(Not applicable)

• 116 -

• The amount of disposal of properties is NT$100 million or more, or 20% of the paid-up capital or more.

• (Not applicable)

• Transactions of the major core business items between the Company and the related parties, with the amount of NT$100 million or more, or 20% of the paid-up capitals or more. (Not applicable)

• The receivables from the related parties is NT$100 million or more, or 20% of the paid-up capitals or more.

(Not applicable)

1. Trading in derivative instruments. (Not applicable)

2. (III) Information about investment in Mainland China

The Company has no investment in Mainland China.

XXXIII. Information about Segment

Based on International Financial Reporting Standards (IFRS) 8, “Operating Segments”, because the Company’s major business is a single business of non-life insurance, and when the management making the operational decisions, the applied company components are based on the holistic information of the Company, the Company is considered as a single operating segment, and the financial information of operating segments need not to be disclosed.

• 117 -

Table 1. The amount of acquired properties is NT$100 million or more, or 20% of the paid-up capitals or more.

												Unit: NT$ Thousand Purpose of acquisition, and usage Other agreements Acquisition of real estate for own use None	Unit: NT$ Thousand Purpose of acquisition, and usage Other agreements Acquisition of real estate for own use None
The company acquiring the real estate	Property Name	Date of occurrence	Transaction Amount (Note 1)	Payment status	Trading counterpart	Relationship	Information about the previous transfer, if the trading counterpart is a related party.				Reference basis for determination of the price	Purpose of acquisition, and usage	Other agreements
							All people	Relationship with the issuer	Date of transfer	Amount
The Company	No. 210, Sec. 3, Chengde Rd., Datong Dist., Taipei City	August 27, 2025	$ 2,000,000	The installment price payable according to the contract has been paidin full.	Senluo Investment Co., Ltd.,	Name of the non-related party	-	-	-	-	Refer to market price and appraisal reports.	Acquisition of real estate for own use	None

Note 1:The transaction amount excludes brokerage fees, government fees and land agent fees paid upon acquisition.

Note 2:The date of occurrence refers to the date of execution of the contract, the date of payment, the date of consignment trade, the date of transfer, the dates of board of directors’ resolutions, or any other date that can confirm the counterpart and monetary amount of the transaction, whichever date is earlier.

• 118 -

Table 2. Information related to the Name, Location of the Investee:

Unit: NT$ Thousand

Name of Investor	Name of Investee	Location	Main Activities	Original investment amount	Original investment amount	Holdings at end of period	Holdings at end of period	Holdings at end of period	Name of Investee Profit (loss) for the current period	Investment income (loss) recognized in period	Remarks
				End of the period	End of previous period	Shares (thousand shares)	%	Carrying Amount
Taiwan Fire & Marine Insurance Co., Ltd.	Top Taiwan X Venture Capital Co., Ltd. AcSun Energy Inc.	Taipei City New Taipei City	INVESTMENTS INVESTMENTS	$ 125,087 200,000	$ 164,588 200,000	12,509 20,000	24.75% 20.00%	$ 96,438 206,145	( $ 105,388 ) 23,308	( $ 26,084 ) 4,662

Note: Top Taiwan X Venture Capital Co., Ltd. refunded the stock payment by NT$39,501 thousand upon the capital reduction in the current period.

• 119 -

Table 3. Securities held at the end of the period:

Unit: NT$ Thousand

Holding company’s name	Type and name of marketable securities	Relationship with the issuer	Financial statement account	Ending	Ending	Ending		Remarks
				Thousand unit／ thousand shares	Carrying amount	Equity (%)	Fair Value
Top Taiwan X Venture Capital Co., Ltd. AcSun Energy Inc.	TSEC/GTSM listed shares Zhen Yu (2947) Groundhog Inc. MP (6720) NAVIFUS CORPORATION (6872) EASTERN UNION INTERACTIVE CORP. Unlisted Shares ADE Tripresso VIVA ELECTRONIC METANOIA COMMUNICATIONS INC. Forland Auto Trade Holding Co., Ltd. Navigator Financial Leasing AIVIVA Ubitus TOPRAY MEMS INC. Backer-Founder Company Limited Unlisted Shares AcSacca Solar Energy Co., Ltd. KangYang New Energy Co., Ltd.	None None None None None None None None None None None None None None None None None None None	Financial assets at fair value through profit or loss ″ ″ ″ ″ Financial assets at fair value through profit or loss ″ ″ ″ ″ ″ ″ ″ ″ ″ Investment under equity method ″	148 64 1,773 613 262 1,403 301 1,184 503 2,400 5,000 264 28 2,000 1,715 56,600 10,500	$ 12,110 5,216 218,929 12,325 49,125 15,672 286 20,541 6,167 28,128 29,850 390 1,686 8,060 7,083 1,031,440 101,866	- - - - - - - - - - - - - - - 100 100	$ 12,110 5,216 218,929 12,325 49,125 15,672 286 20,541 6,167 28,128 29,850 390 1,686 8,060 7,083 1,031,440 101,866

• 120 -

§ CONTENTS OF TABLE FOR SIGNIFICANT ACCOUNTING ITEMS §

NUMBER/INDEX

ITEM

Asset, liability and equity items Statement of cash and cash equivalents Statement of Notes receivable Statement of Premiums receivable Statement of Other receivable

ITEM t, liability and equity items	NUMBER
Statement of cash and cash equivalents	Statement 1
Statement of Notes receivable	Statement 2
Statement of Premiums receivable	Statement 3
Statement of Other receivable	Statement 4
Statement of Financial asset at fair value through profit	Statement 5
or loss
Statement of Financial asset at fair value through other	Statement 6
comprehensive income
Statement of Financial assets carried at amortized cost	Statement 7
Statement of Investment accounted for using equity	Statement 8
method
Due from/to reinsurers and ceding companies	Statement 9
Statement of Changes in Intangible Assets	Statement 10
Statement of Other assets	Statement 11
Statement of Other payable	Statement 12
Statement of changed unearned premium reserves	Statement 13
Statement of changed special reserves	Statement 13
Statement of changed claim reserves	Statement 13
Statement of changed insufficient premium reserves	Statement 13
Detailed list for changes of special profit reserves	Statement 14
(material accidents or hazard changes special
reserves)
Calculation table for provision of special reserve	Statement 15
(special reserve for material accidents and hazard
changes)
Calculation table for recovery of special reserves	Statement 16
(special reserve for material accidents and hazard
changes)
Statement of Lease liabilities	Statement 17
Statement of Other liabilities	Statement 18
Statement of other financial assets	Note 13
Statement of Change of investment property	Note 14
Statement of Accumulated depreciation of investment	Note 14
property
Statement of changed property and equipment	Note 15
Statement of Accumulated depreciation of property and	Note 15
equipment
Statement of Changes in Right-of-Use Assets	Note 16
Statement of Changes in Accumulated Depreciation of	Note 16
Right-of-Use Assets
Statement of Reserve for liabilities	Note 18
Statement of Deferred income tax assets	Note 22
Statement of Deferred income tax liabilities	Note 22
Statement of Claim recoverable from reinsurers	Note 28

• 121 -

ITEM	NUMBER/INDEX
Statement of Gain and loss items
Statement of retained earned premium	Statement 19
Statement of Interest income	Statement 20
Statement of share of profit of associates and joint	Statement 21
ventures accounted for using equity method
Exchange gain (loss) – Investment Statement	Statement 22
Statement of Other Operating Revenues and Costs	Statement 23
Detailed list of retained claims	Statement 24
Statement of Service expenses	Statement 25
Statement of Administrative Expenses	Statement 26
Statement of Non-operating income and expenses	Statement 27
Statement of Gain on financial assets and liabilities at	Note 21
fair value through profit or loss
Statement of Realized gain and losses on financial	Note 21
assets at fair value through other comprehensive
income
Statement of Gain (loss) on investment properties	Note 21
Statement of Expected credit losses or reversal of	Note 21
expected credit losses of investments
Summary of nature of employee benefits, depreciation	Note 21
and amortization of the year
Statement of Commission Expenses	Note 27

• 122 -

Taiwan Fire & Marine Insurance Co., Ltd.

Statement of cash and cash equivalents December 31, 2025

Unit: NT$ Thousand

Statement 1 Title Cash on hand Working Capital Checking deposits Demand deposits Time deposits Commercial paper Less: Deductible of refundable deposits	Summary Foreign currencies included RMB：2,551,837.37@4.50 USD：3,289,594.05@31.42 STG：327,734.25 @42.23 YEN：283,036 @0.20 HKD：202,090.56 @4.04 EUR：432,717.1 @36.87 Maturity within 3 months Matured on January 5 to January 12, 2026 Demand deposits	Unit	: NT$ Thousand Amount
		(	$ 41 29,262 230,534 2,709,266 160,811 249,494 109,158) $ 3,270,250

• 123 -

Taiwan Fire & Marine Insurance Co., Ltd.

Taiwan Fire & Marine Insurance Co., Ltd.
Statement of Notes receivable December 31, 2025 Statement 2 Customer Summary Taipei Bus Company, Ltd. Others (Note) Less: allowance loss	Unit: NT$ Thousand Amount
	(	$ 4,977 80,530 855) $ 84,652

Note: the cumulation of the balance of each client under 5% of the balance of this account.

• 124 -

Taiwan Fire & Marine Insurance Co., Ltd.

Statement of Premiums receivable December 31, 2025

Statement 3 Customer WISTRON GROUP INVENTEC GROUP Others (Note) Less: allowance loss	Summary	Unit: NT$ Thousand Amount	Unit: NT$ Thousand Amount
		(	$ 48,357 23,904 418,096 37,178) $ 453,179

Note: the cumulation of the balance of each client under 5% of the balance of this account.

• 125 -

Taiwan Fire & Marine Insurance Co., Ltd.

Statement of Other receivable

December 31, 2025

	December 31, 2025
Statement 4 Item Interest receivable Other receivable Stock dividends receivable Less: allowance loss	Summary Interest on time deposit Government bond Financial bonds Corporate bonds Others Covered claims receivable Withdrawal commission receivable	Unit: NT$ Thousand Amount
		(	$ 27,846 4,948 71,604 45,979 80 2,684 11,849 1,060 172) $ 165,878

• 126 -

Taiwan Fire & Marine Insurance Co., Ltd.

Statement of Financial asset at fair value through profit or loss

December 31, 2025

Statement 5

Unit: NT$ thousand, unless specified otherwise

Title TSEC/GTSM listed shares China Bills Finance Corporation (CBF) Chunghwa Telecom Co., Ltd. (CHT) Fubon Financial Holding Co., Ltd. (Fubon Financial) Unlisted Shares Top Taiwan Xiv Venture Capital Co., Ltd. Domestic Funds and Beneficiary certificates Nomura Global Financial Income Fund - Accumulation Type (TWD) Capital Global Strategic Income Financial Bond Fund A Accumulation Type (TWD) Abico Asia Capital II Excellent Transformation and Growth Limited Partnership Top Taiwan XV Venture Capital Limited Partnership Corporate bonds Non-cumulative perpetual subordinated corporate bonds, phase 1, 2012, Shin Kong Life Insurance Co., Ltd. (B99001) Non-cumulative perpetual subordinated corporate bonds, phase 1, 2014, Mercuries Life Insurance Co., Ltd. (B99201) Non-cumulative perpetual subordinated corporate bonds, phase 1, 2016, Mercuries Life Insurance Co., Ltd. (B99202)	Summary Perpetual, interest is calculated in simple interest and paid annually Perpetual, interest is calculated in simple interest and paid annually Perpetual, interest is calculated in simple interest and paid annually	Shares 600,000 1,119,000 260,463 20,000,000 2,753,961 2,841,663 - - 50 50 50	Face Value (NT$) 10 10 10 10 10 10 - - 1,000,000 1,000,000 1,000,000	Total amount $ 6,000 11,190 2,605 200 27,540 28,417 75,067 40,000 50,000 50,000 50,000	Interest rate % 4.35 4.90 3.70		Acquisition Cost $ 6,375 32,016 12,184 50,575 200,000 30,000 30,000 75,067 40,000 175,067 50,000 50,000 50,000	Fair Value Unit price (NT$) 16.90 26.25 96.10 8.36 10.98 10.63 102.20 101.35 99.91		Total value $ 10,140 29,374 25,030 64,544 167,139 30,230 30,212 64,516 39,526 164,484 51,099 50,676 49,953		Fair value changes attributed to credit risks $ - - - - - - - - - - - - -	Remarks

(To be continued)

• 127 -

(Continued)

Title Non-cumulative perpetual subordinated corporate bonds, phase 1, 2017, Cathay Life Insurance Co., Ltd. (B99601) Non-cumulative perpetual subordinated corporate bonds, phase 1, 2017, Taiwan Life Insurance Co., Ltd. (B99701) Non-cumulative perpetual subordinated corporate bonds, phase 1, 2017, Nan Shan Life Insurance Company Ltd. (B99402) Non-cumulative perpetual subordinated corporate bonds, phase 1, 2019, Cathay Life Insurance Co., Ltd. (B99602) Financial bonds Non-cumulative perpetual subordinated financial bonds, phase 3, 2015, Yuanta Commercial Bank Co., Ltd. (G10822) Non-cumulative perpetual subordinated financial bonds, phase 4, 2017, Bank of Panshin Co., Ltd. (G12523) Non-cumulative perpetual subordinated financial bonds, phase 1, 2019, Chang Hwa Commercial Bank, Ltd. (G14937) Non-cumulative unsecured perpetual subordinated financial bonds, phase 3, 2019, Sunny Bank Ltd. (G12249) Non-cumulative perpetual subordinated financial bonds, phase 1, 2020, Chang Hwa Commercial Bank, Ltd. (G14938) Non-cumulative unsecured perpetual subordinated financial bonds, phase 2, 2020, Taipei Fubon Commercial Bank Co., Ltd. (G107BX) Non-cumulative unsecured perpetual subordinated financial bonds, phase 1, 2020, Shin Kong Commercial Bank Co., Ltd. (G11657)	Summary Perpetual, interest is calculated in simple interest and paid annually Perpetual, interest is calculated in simple interest and paid annually Perpetual, interest is calculated in simple interest and paid annually Perpetual, interest is calculated in simple interest and paid annually Perpetual, interest is calculated in simple interest and paid annually Perpetual, interest is calculated in simple interest and paid annually Perpetual, interest is calculated in simple interest and paid annually Perpetual, interest is calculated in simple interest and paid annually Perpetual, interest is calculated in simple interest and paid annually Perpetual, interest is calculated in simple interest and paid annually Perpetual, interest is calculated in simple interest and paid annually	Shares 100 100 50 100 10 10 5 10 5 5 10	Face Value (NT$) 1,000,000 1,000,000 1,000,000 1,000,000 10,000,000 1,000,000 10,000,000 10,000,000 10,000,000 10,000,000 10,000,000	Total amount $ 100,000 100,000 50,000 100,000 100,000 10,000 50,000 100,000 50,000 50,000 100,000	Interest rate % 3.30 3.45 3.45 3.00 4.10 4.75 1.90 3.66 1.40 1.60 1.70		Acquisition Cost $ 100,000 100,000 50,000 100,000 500,000 100,000 10,000 50,000 100,000 50,000 50,000 100,000	Fair Value Unit price (NT$) 99.88 99.86 99.86 98.70 100.18 99.86 99.61 100.49 99.58 99.51 99.37		Total value $ 99,881 99,861 49,931 98,699 500,100 100,182 9,986 49,805 100,490 49,792 49,752 99,367		Fair value changes attributed to credit risks $ - - - - - - - - - - - -	Remarks

(To be continued)

• 128 -

(Continued)

Title Non-cumulative unsecured perpetual subordinated financial bonds, phase 2, 2020, Sunny Bank Ltd. (G12251) Non-cumulative perpetual subordinated financial bonds, phase 1, 2021, Union Bank of Taiwan Co., Ltd. (G10923) Non-cumulative unsecured perpetual subordinated financial bonds, phase 1, 2021, Sunny Bank Ltd. (G12253) Non-cumulative unsecured perpetual subordinated financial bonds, phase 1, 2022, Bank Sinopac Co., Ltd. (G110AY) Non-cumulative unsecured perpetual subordinated financial bonds, phase 2, 2022, Agricultural Bank of Taiwan (G13115) 2nd unsecured, perpetual, non-cumulative and subordinated financial, 2016, E-Sun Bank (F02807)	Summary Perpetual, interest is calculated in simple interest and paid annually Perpetual, interest is calculated in simple interest and paid annually Perpetual, interest is calculated in simple interest and paid annually Perpetual, interest is calculated in simple interest and paid annually Perpetual, interest is calculated in simple interest and paid annually Perpetual, interest is calculated in simple interest and paid annually	Shares 10 100 10 10 5 7	Face Value (NT$) 10,000,000 1,000,000 10,000,000 10,000,000 10,000,000 USD 1,000,000	Total amount $ 100,000 100,000 100,000 100,000 50,000 USD 7,000	Interest rate % 3.62 1.92 3.19 2.00 2.50 5.10		Acquisition Cost $ 100,000 100,000 100,000 100,000 50,000 239,288 1,149,288 $ 2,074,930	Fair Value Unit price (NT$) 100.08 99.31 99.89 98.96 99.72 87.54		Total value $ 100,083 99,314 99,888 98,958 49,859 192,533 1,100,009 $ 1,996,276		Fair value changes attributed to credit risks $ - - - - - - - $ -	Remarks

• 129 -

Unit: NT$ thousand, unless specified otherwise

Taiwan Fire & Marine Insurance Co., Ltd.

Statement of Financial asset at fair value through other comprehensive income

December 31, 2025

Statement 6

Title TSEC/GTSM listed shares Taiwan Cement Corporation Far Eastern New Century Corporation Chunghwa Telecom Co., Ltd. (CHT) Elan Microelectronics Corp (ELAN) Bafang Yunji Chang Hwa Bank Taichung Commercial Bank Co., Ltd. China Bills Finance Corporation (CBF) Entie Commercial Bank, Ltd. SK Insurance FIRST INS Fubon Financial Holding Co., Ltd. Preferred Stock Fubon Financial Holding Co., Ltd. Preferred Stock B Fubon Financial Holding Co., Ltd. Preferred Stock C Cathay Holdings Cathay Financial Holding Co., Ltd. Preferred Stock Cathay Financial Holding Co., Ltd. Preferred Stock B KGI Financial Taishin Shin Kong Preferred Stock E 1 Taishin Shin Kong Preferred Stock G 2 Waterland Financial Holding Co., Ltd. (Waterland) SinoPac Holdings CTBC Financial Holding Co., Ltd. CTBC Financial Holding Co., Ltd. Preferred Shares B CTBC Financial Holding Co., Ltd. Preferred Shares C Sirtec International Co., Ltd. (SIRTEC) Chailease Holding Company Limited Class A Preferred Shares (Chailease PREF A) Taiming Assurance Broker Co., Ltd. (TABC) Unlisted Shares Yuan-Ding Venture Capital Co., Ltd. Jiu-Dingg Venture Capital Co., Ltd. Top Taiwan Venture Capital Co., Ltd. Wan-Da Venture Capital Co., Ltd. Top Taiwan Xii Venture Capital Co., Ltd.	Summary	Shares 1,801,040 542,000 420,000 1,190,000 265,000 5,556,600 32,300,571 1,598,000 749,000 390,000 2,302,000 3,173,000 1,062,000 1,434,420 60,026 3,221,923 1,601,000 7,954,761 1,000,000 1,318,000 30,038,267 2,279,168 3,200,000 1,618,000 840,000 10,005,600 900,000 1,271,180 139,110 3,150,000 3,276,000 2,027,656 20,000,000	Face Value (NT$) 10 10 10 10 10 10 10 10 10 10 10 10 10 10 10 10 10 10 10 10 10 10 10 10 10 10 10 10 10 10 10 10 10	Total amount $ 18,010 5,420 4,200 11,900 2,650 55,566 323,006 15,980 7,490 3,900 23,020 31,730 10,620 14,344 600 32,219 16,010 79,548 10,000 13,180 300,382 22,792 32,000 16,180 8,400 100,056 9,000 12,712 1,391 31,500 32,760 20,277 200,000	Allowance loss (Note) $ - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -	Adjustment to Allowance for Changes in Value ( $ 32,998 ) ( 2,339 ) 8,396 ( 40,102 ) 5,508 15,815 470,179 3,634 ( 742 ) 5,092 19,901 1,352 124 ( 9,467 ) 2,449 ( 3,945 ) ( 82 ) 29,013 300 ( 7,513 ) 246,035 37,412 89,337 3,689 168 ( 296,289 ) 900 3,961 549,788 ( 862 ) 732 ( 7,407 ) ( 11,464 ) ( 63,647) ( 82,648)	Acquisition Cost $ 74,782 17,407 46,414 181,117 44,975 97,817 201,673 23,372 10,928 40,733 43,980 199,499 65,401 86,065 2,101 199,516 96,142 108,207 50,000 59,310 251,098 27,772 71,303 99,539 50,400 545,429 90,000 48,157 2,833,137 1,391 31,500 32,760 20,277 200,000 285,928	Fair Value Unit price (NT$) Total amount 23.20 $ 41,784 27.80 15,068 130.50 54,810 118.50 141,015 190.50 50,483 20.45 113,632 20.80 671,852 16.90 27,006 13.60 10,186 117.50 45,825 27.75 63,881 63.30 200,851 61.70 65,525 53.40 76,598 75.80 4,550 60.70 195,571 60.00 96,060 17.25 137,220 50.30 50,300 39.30 51,797 16.55 497,133 28.60 65,184 50.20 160,640 63.80 103,228 60.20 50,568 24.90 249,140 101.00 90,900 41.00 52,118 3,382,925 529 32,232 25,353 8,813 136,353 203,280	Fair Value Unit price (NT$) Total amount 23.20 $ 41,784 27.80 15,068 130.50 54,810 118.50 141,015 190.50 50,483 20.45 113,632 20.80 671,852 16.90 27,006 13.60 10,186 117.50 45,825 27.75 63,881 63.30 200,851 61.70 65,525 53.40 76,598 75.80 4,550 60.70 195,571 60.00 96,060 17.25 137,220 50.30 50,300 39.30 51,797 16.55 497,133 28.60 65,184 50.20 160,640 63.80 103,228 60.20 50,568 24.90 249,140 101.00 90,900 41.00 52,118 3,382,925 529 32,232 25,353 8,813 136,353 203,280	Remarks
								Unit price (NT$) 23.20 27.80 130.50 118.50 190.50 20.45 20.80 16.90 13.60 117.50 27.75 63.30 61.70 53.40 75.80 60.70 60.00 17.25 50.30 39.30 16.55 28.60 50.20 63.80 60.20 24.90 101.00 41.00
						( ( ( ( ( ( ( ( ( ( ( ( ( (

(To be continued)

• 130 -

(Continued)

Title Corporate bonds KGI Financial Holding Co., Ltd. 2017 1st Unsecured Subordinated Common Corporate Bonds - Note B (B95550) HSBC Holdings plc 2021 Senior Unsecured RMB Corporate Bonds denominated (F10902) HONHAI 3 09/23/26(Y53016) TAISEM 2.5 10/25/31(Y70409) Financial bonds Subordinated financial bonds, phase 1, 2019, Bank of Panshin Co., Ltd. 1st unsecured subordinated financial bonds, 2021, Taiwan Cooperative Bank Unsecured Senior USD financial bonds, phase 3, 2017, Cathay United Bank Government Bonds Category A Phase 4 Central Government Construction Bond, 2016 Category A Phase 1 Central Government Construction Bond, 2021 Category A Phase 8 Central Government Construction Bond, 2022 Category A Phase 1 Central Government Construction Bond, 2025 90 Central Government Construction Bond A5 Category A Phase 5 Central Government Construction Bond, 2008 Deductible of refundable deposits	Summary Matures on September 8, 2027, the principal repaid at one time, the interest paid on September 8 every year. Matures on June 29, 2027, the principal repaid at one time, the interest paid on June 29 every year Matures on September 23, 2026, the interests are repaid every six months, the principal is repaid at once when matures. Matures on October 25, 2031, the interests are repaid every six months, the principal is repaid at once when mature. Matures on June 26, 2026, the principal repaid at one time, the interest paid on June 26 every year Matures on May 31 2026, the principal repaid at one time, the interest paid on May 31 every year Matures on November 24, 2047, the principal repaid at one time, the interest paid when matures. Matures on March 4, 2026, the principal repaid at one time, the interest paid on March 4 every year. Matures on January 13 2026, the principal repaid at one time, the interest paid on January 13 every year Matures on September 23, 2027, the principal repaid at one time, the interest paid on September 23 every year. Matures on January 09, 2030, the principal repaid at one time, the interest paid on January 9 every year Matures on July 17, 2031, the principal repaid at one time, the interest paid on July 17 every year. Matures on August 14, 2028, the principal repaid at one time, the interest paid on August 14 every year.	Shares 100 15 3,200 5,000 1 5 5 1,000 1,000 500 500 1,000 1,500	Face Value (NT$) 1,000,000 CNY 1,000,000 USD 1,000 USD 1,000 10,000,000 10,000,000 USD 1,000,000 100,000 100,000 100,000 100,000 100,000 100,000	Total amount $ 100,000 CNY 15,000 USD 3,200 USD 5,000 10,000 50,000 USD 5,000 100,000 100,000 50,000 50,000 100,000 150,000	Allowance loss (Note)） ( $ 26 ) ( 1 ) ( 1 ) ( 4) ( 32) ( 8 ) ( 2 ) ( 5) ( 15) ( 2 ) ( 2 ) ( 1 ) ( 1 ) ( 2 ) ( 2) ( 10) 10 ($ 47)	Adjustment to Allowance for Changes in Value ( $ 636 ) 410 ( 87 ) ( 795) ( 1,108) 36 ( 216 ) ( 152) ( 332) ( 94 ) ( 20 ) ( 133 ) 507 5,720 3,911 9,891 ( 9,891) $ 465,700	Acquisition Cost $ 101,051 67,550 99,764 144,073 412,438 10,000 50,000 157,100 217,100 100,020 100,000 50,160 49,899 106,522 151,370 557,971 ( 557,971) $3,748,603	Fair Value Unit price (NT$) Total amount 100.39 $ 100,389 100.68 67,959 99.14 99,676 91.20 143,274 411,298 100.28 10,028 99.56 49,782 99.90 156,943 216,753 99,924 99,978 50,026 50,405 112,240 155,279 567,852 ( 567,852) $ 4,214,256	Fair Value Unit price (NT$) Total amount 100.39 $ 100,389 100.68 67,959 99.14 99,676 91.20 143,274 411,298 100.28 10,028 99.56 49,782 99.90 156,943 216,753 99,924 99,978 50,026 50,405 112,240 155,279 567,852 ( 567,852) $ 4,214,256	Remarks
								Unit price (NT$) 100.39 100.68 99.14 91.20 100.28 99.56 99.90
						( ( ( ( ( ( ( ( ( ( (	(		(

Note: N/A, in the case of TWSE/TPEx-listed shares and unlisted shares.

• 131 -

Taiwan Fire & Marine Insurance Co., Ltd.

Statement of Financial assets carried at amortized cost

December 31, 2025

Statement 7

Unit: NT$ thousand, unless specified otherwise

Title Corporate bonds Taishin Securities Co.,Ltd. 2020 1st Subordinated Unsecured Common Corporate bonds (B9AB01) Cathay Financial Holdings Co., Ltd. 2020 2nd Unsecured Common Corporate Bonds Note D (B98912) Taiwan Life Insurance Co., Ltd. 2023 1st Unsecured Cumulative Subordinated Common Corporate Bonds - Note A (B99702) Taiwan Life Insurance Co., Ltd. 2023 1st Unsecured Cumulative Subordinated Common Corporate Bonds - Note B (B99703) 2023 1st unsecured cumulative subordinated corporate bonds of KGI Life Insurance Co., Ltd. (B9AK02) Fubon Life Insurance Co., Ltd. 2023 1st Unsecured Cumulative Subordinated Common Corporate Bonds - Note A (B99503) Fubon Life Insurance Co., Ltd. 2023 1st Unsecured Cumulative Subordinated Common Corporate Bonds - Note B (B99504)	Summary Matures on January 10 2030, the principal repaid at one time, the interest paid on January 10 every year Mature on September 8, 2030, the principal repaid at one time, the interest paid on September 8 every year. Matures on July 21 2033, the principal repaid at one time, the interest paid on July 21 every year Matures on July 21 2038, the principal repaid at one time, the interest paid on July 21 every year Matures on July 25 2033, the principal repaid at one time, the interest paid on July 25 every year Matures on September 5, 2033, the principal repaid at one time, the interest paid on September 05 every year. Matures on September 5, 2038, the principal repaid at one time, the interest paid on September 05 every year.	Shares 100 100 100 100 140 140 140	Face Value (NT$) 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000	Total amount $ 100,000 100,000 100,000 100,000 140,000 140,000 140,000	Interest rate % 1.35 0.70 3.75 3.88 3.75 3.70 3.85	Allowance loss ( $ 25 ) ( 18 ) ( 28 ) ( 28 ) ( 4 ) ( 2 ) ( 2 )	Unamortized premium (discount) ( $ 3,770 ) ( 6,148 ) - - - - -	Carrying Amount $ 96,205 93,834 99,972 99,972 139,996 139,998 139,998	Remarks

(To be continued)

• 132 -

(Continued)

Title Fubon Life Insurance Co., Ltd. 2023 2nd Unsecured Cumulative Subordinated Common Corporate Bonds - Note A (B99505) 2023 1st unsecured cumulative subordinated common corporate bonds of Shin Kong Life Insurance Co., Ltd. (B99004) Nan Shan Life Insurance Company Ltd. 2023 1st Unsecured Cumulative Subordinated Common Corporate Bonds - Note A (B99404) Nan Shan Life Insurance Company Ltd. 2023 1st Unsecured Cumulative Subordinated Common Corporate Bonds -Note B (B99405) Nan Shan Life Insurance Company Ltd. 2023 1st Unsecured Cumulative Subordinated Common Corporate Bonds - Note A (B99406) Cathay Life Insurance Co., Ltd. 2024 1st Unsecured Cumulative Subordinated Corporate Bonds - Note B (B99608) Fubon Life Insurance Co., Ltd. 2024 1st Unsecured Cumulative Subordinated Corporate Bonds - Note B (B99508) Nan Shan Life Insurance Co., Ltd. 2024 1st Unsecured Cumulative Subordinated Corporate Bonds - Note B (B99409)	Summary Matures on November 7, 2033, the principal repaid at one time, the interest paid on November 7 every year. Matures on October 26, 2033, the principal repaid at one time, the interest paid on October 26 every year Matures on October 26, 2033, the principal repaid at one time, the interest paid on October 26 every year Matures on October 26, 2038, the principal repaid at one time, the interest paid on October 26 every year Matures on January 4, 2024, the principal repaid at one time, the interest paid on January 4 every year Matures on April 24, 2039, the principal repaid at one time, the interest paid on April 24 every year Matures on June 12, 2039, the principal repaid at one time, the interest paid on June 12 every year Matures on June 28 2039, the principal repaid at one time, the interest paid on June 28 every year	Shares 50 140 140 140 100 240 100 100	Face Value (NT$) 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000	Total amount $ 50,000 140,000 140,000 140,000 100,000 240,000 100,000 100,000	Interest rate % 3.70 4.00 3.75 3.88 3.75 3.85 3.85 3.88	Allowance loss ( $ 1 ) ( 37 ) ( 2 ) ( 2 ) ( 2 ) ( 4 ) ( 2 ) ( 2 )	Unamortized premium (discount) $ - - - - - 64 - -	Carrying Amount $ 49,999 139,963 139,998 139,998 99,998 240,060 99,998 99,998	Remarks

(To be continued)

• 133 -

(Continued)

Title KGI Life Insurance Co., Ltd. 2024 1st Unsecured Cumulative Subordinated Corporate Bonds (Series A)(B9AK03) KGI Life Insurance Co., Ltd. 2024 1st Unsecured Cumulative Subordinated Corporate Bonds (Series B) (B9AK04) Fubon Life Insurance Co., Ltd. 2024 2nd Unsecured Cumulative Subordinated Corporate Bonds - Note B (B99510) Nan Shan Life Insurance Co., Ltd. 2024 2nd Unsecured Cumulative Subordinated Corporate Bonds - Note B (B99411) TAISEM 2 1/4 04/23/31(Y70339) BAC 5.288 04/25/34 (Y70786) JPM 2.963 01/25/33 (Y71017) Financial bonds Subordinated financial bonds, phase 2, 2022, Taipei Fubon Commercial Bank Co., Ltd. (G107C8) Subordinated financial bonds, phase 1, 2022, O-Bank Co., Ltd. (G11741) Subordinated financial bonds, phase 1, 2023, O-Bank Co., Ltd. (G11742)	Summary Matures on September 13 2034, the principal repaid at one time, the interest paid on September 13 every year Matures on September 13 2039, the principal repaid at one time, the interest paid on September 13 every year Matures on October 23, 2039, the principal repaid at one time, the interest paid on October 23 every year. Matures on December 3 2039, the principal repaid at one time, the interest paid on December 3 every year Matures on April 23, 2031, the interests are repaid every six months, the principal is repaid at once when matures. Matures on April 25, 2034, the interests are repaid every six months, the principal is repaid at once when mature. Matures on January 25, 2033, the interests are repaid every six months, the principal is repaid at once when mature. Matures on June 28 2029, the principal repaid at one time, the interest paid on June 28 every year Matures on September 27, 2029, the principal repaid at one time, the interest paid on September 27 every year. Matures on April 27, 2030, the principal repaid at one time, the interest paid on April 27 every year.	Shares 140 140 100 100 4,000 4,000 4,000 5 10 10	Face Value (NT$) 1,000,000 1,000,000 1,000,000 1,000,000 USD 1,000 USD 1,000 USD 1,000 10,000,000 10,000,000 10,000,000	Total amount $ 140,000 140,000 100,000 100,000 USD 4,000 USD 4,000 USD 4,000 50,000 100,000 100,000	Interest rate % 3.75 3.88 3.85 3.88 2.25 5.29 2.96 2.00 2.30 2.00	Allowance loss ( $ 4 ) ( 4 ) ( 2 ) ( 2 ) ( 2 ) ( 4 ) ( 3) ( 180) ( 2 ) ( 26 ) ( 26 )		Unamortized premium (discount) $ - - - - 14,880 ) 415 ) 13,876) 39,025) - - -		Carrying Amount $ 139,996 139,996 99,998 99,998 111,248 125,277 112,393 2,648,893 49,998 99,974 99,974	Remarks
						( ( ( ( ( ( ( ( ( ( (	( ( ( (

(To be continued)

• 134 -

(Continued)

Title Subordinated financial bonds, phase 2, 2022, Yuanta Commercial Bank Co., Ltd. (G10829) Non-cumulative unsecured perpetual subordinated financial bonds, phase 4, 2022, LAND BANK OF TAIWAN CO., LTD. (G12737) Subordinated financial bonds, phase 4, 2022, E.SUN COMMERCIAL BANK, LTD. (G102B9) 2023 1st long-term subordinated financial bonds of Sunny Bank Ltd. (G12256)	Summary Matures on November 24, 2029, the principal repaid at one time, the interest paid on November 24 every year Matures on December 14, 2029, the principal repaid at one time, the interest paid on December 14 every year. Matures on December 27, 2029, the principal repaid at one time, the interest paid on December 27 every year. Matures on March 21 2030, the principal repaid at one time, the interest paid on March 21 every year	Shares 10 10 10 10	Face Value (NT$) 10,000,000 10,000,000 10,000,000 10,000,000	Total amount $ 100,000 100,000 100,000 100,000	Interest rate % 2.40 2.30 2.30 2.55	Allowance loss ( $ 29 ) ( 3 ) ( 4 ) ( 3) ( 93) ($ 273)		Unamortized premium (discount) $ - - - - - $ 39,025)		Carrying Amount $ 99,971 99,997 99,996 99,997 649,907 $ 3,298,800	Remarks
						( ( ( ( ( (	(

• 135 -

Taiwan Fire & Marine Insurance Co., Ltd.

Statement of Investment accounted for using equity method

2025

Statement 8

Unit: NT$ Thousand

Title Top Taiwan X Venture Capital Co., Ltd. (Note 1) AcSun Energy Inc. (Note 2)	Balance-beginning of year Shares (thousand shares) Amount 16,459 $ 219,628 20,000 208,234	Increase in the year Shares (thousand shares) Amount - $ - - 4,662	Decrease in the year Shares (thousand shares) Amount 3,950 $ 123,190 - 6,751	Balance-end of year Shares (thousand shares) Shareholding Ratio % Amount 12,509 24.75 $ 96,438 20,000 20.00 206,145	Balance-end of year Shares (thousand shares) Shareholding Ratio % Amount 12,509 24.75 $ 96,438 20,000 20.00 206,145	Market value	or net worth Total value $ - -	Collateralized or pledged
	Shares (thousand shares) 16,459 20,000	Shares (thousand shares) - -	Shares (thousand shares) 3,950 -	Shares (thousand shares) 12,509 20,000	Shareholding Ratio % 24.75 20.00	Unit price
								None None

Note 1: The decrease of NT$123,190 thousand this year was due to changes in the associated companies and joint ventures accounted for using the equity method, amounting to NT$26,084 thousand; a refund of the payment through capital decrease of NT$39,501 thousand; and the collection of cash dividends of NT$57,605 thousand.

Note 2: The increase of NT$4,662 thousand this year resulted from changes in associated companies and joint ventures accounted for using the equity method, while the decrease of NT$6,751 thousand was due to the collection of cash dividends.

• 136 -

Taiwan Fire & Marine Insurance Co., Ltd.

Due from/to reinsurers and ceding companies December 31, 2025

Statement 9

Unit: NT$ Thousand

Summary Due from reinsurers and ceding companies Korean Reinsurance Company The Non-Life Insurance Association of the R.O.C. Sompo Japan Insurance Inc. Taiwan Residential Earthquake Insurance Fund (TREIF) MS First Capital Insurance Limited Others (Note) Less: allowance loss	Debit balance $ 63,285 43,474 18,312 13,633 13,261 68,435 ( 3,416) $ 216,984	Summary Due to reinsurers and ceding companies Taiwan Residential Earthquake Insurance Fund (TREIF) The Non-Life Insurance Association of the R.O.C. Transatlantic Reinsurance Company Singapore Branch Everest Reinsurance Company Swiss Re Asia Pte. Ltd. Hong Kong Branch Taiping Reinsurance Co., Ltd. Others (Note)		Credit balance $ 63,150 40,725 40,235 37,159 35,636 33,967 282,111 $ 532,983	Remarks
	(

Note: the cumulation of the balance of each client under 5% of the balance of this account.

• 137 -

Taiwan Fire & Marine Insurance Co., Ltd. Statement of Changes in Intangible Assets From January 1 to December 31, 2025

Statement 10

Unit: NT$ Thousand

Computer software (Note)		Balance - beginning of year $ 10,588	Increase in the year $ 2,128	Decrease in the year ($ 6,961)	Balance - end of year $ 5,755	Remarks
				(

Note: The increase in the year was primarily a result of the procurement by NT$2,128 thousand. The decrease in the year was primarily a result of the amortization by NT$6,961 thousand.

• 138 -

Taiwan Fire & Marine Insurance Co., Ltd. Statement of Other assets December 31, 2025

Statement 11 Title Refundable Deposit Other assets - others	Summary Bond of Insurance Enterprises Performance Bond Others (Note) Temporary payments and payment to be carried over Others (Note)		Unit: NT$ Thousand Amount Remarks $ 567,852 83,658 40,500 47,752 11,879 $ 751,641	Unit: NT$ Thousand Amount Remarks $ 567,852 83,658 40,500 47,752 11,879 $ 751,641

Note: Cumulation of the balance of each items under 5% of the balance of this account.

• 139 -

Taiwan Fire & Marine Insurance Co., Ltd. Statement of Other payable December 31, 2025

Unit: NT$ Thousand

Statement 12 Item Expenses payable Other payable	Summary Salary, remuneration and bonus Others (Note) Taxes payable Others (Note)	Uni	t: NT$ Thousand Amount
			$ 556,186 73,823 34,023 32,206 $ 696,238

Note: Cumulation of the balance of each items under 5% of the balance of this account.

• 140 -

Taiwan Fire & Marine Insurance Co., Ltd.

Detailed list of reinsurance reserve assets and insurance liabilities

From January 1 to December 31, 2025

Statement 13

Unit: NT$ Thousand

Item Unearned premium reserves Total amount: One-year Residential Fire Insurance One-year Commercial Fire Insurance General Personal Automobile Physical Damage Insurance General Personal Automobile Liability Insurance Engineering Insurance Personal Accident Insurance Others Split as: One-year Commercial Fire Insurance Compulsory Automobile Liability Insurance Compulsory Motorcycle Liability Insurance General Liability Insurance Engineering Insurance Commercial earthquake insurance Others Change in special reserves Special reserves for material accidents: Commercial earthquake insurance Typhoon and Flood Insurance Special reserves for hazard changes: Commercial earthquake insurance Typhoon and Flood Insurance	Balance - beginning of year $ 211,597 359,809 614,433 1,016,553 305,226 273,464 1,345,161 4,126,243 229,423 90,185 83,316 97,282 176,620 66,391 254,042 997,259 3,128,984 72,271 62,456 134,727 459,491 129,159 588,650	Net changes of the Year $ 7,420 17,691 ( 23,277) ( 2,606) 119,585 ( 7,840) 75,239 186,212 11,617 ( 3,729) ( 1,338) 7,089 85,270 2,213 45,449 146,571 39,641 ( 812) ( 20,000) ( 20,812) - - -	Other changed amount $ - - - - - - - - - - - - - - - - - - - - - - -	Balance - end of year $ 219,017 377,500 591,156 1,013,947 424,811 265,624 1,420,400 4,312,455 241,040 86,456 81,978 104,371 261,890 68,604 299,491 1,143,830 3,168,625 71,459 42,456 113,915 459,491 129,159 588,650	Remarks

(To be continued)

• 141 -

(Continued)

Item Other special reserves: Compulsory Automobile Liability Insurance Compulsory Commercial Automobile Liability Insurance Compulsory Motorcycle Liability Insurance Nuclear Energy Insurance Residential Earthquake Insurance Compulsory liability insurance for mini electric two-wheeled vehicle Claim reserves Total amount: Reported but not yet paid One-year Commercial Fire Insurance Marine Hull Insurance Marine Cargo Insurance General Personal Automobile Physical Damage Insurance General Personal Automobile Liability Insurance Engineering Insurance Others Not yet reported General Personal Automobile Liability Insurance General Liability Insurance Engineering Insurance Compulsory Automobile Liability Insurance Compulsory Motorcycle Liability Insurance Personal Accident Insurance Others Split as: Reported but not yet paid One-year Commercial Fire Insurance Marine Cargo Insurance Marine Hull Insurance Engineering Insurance Commercial earthquake insurance Others	Balance - beginning of year $ 425,334 82,910 658,816 66,260 164,045 ( 329) 1,397,036 2,120,413 480,491 163,190 139,088 199,329 853,275 329,584 1,227,786 3,392,743 159,954 52,983 44,908 243,444 229,990 93,894 353,400 1,178,573 4,571,316 271,826 108,073 140,568 202,045 285,727 255,337 1,263,576	Net changes of the Year $ 37,975 ( 744) 22,898 - - ( 4) 60,125 39,313 ( 162,798) 39,523 73,134 ( 845) 30,456 661,601 ( 92,576) 548,495 683 11,303 48,765 ( 2,173) ( 2,731) 10,025 3,318 69,190 617,685 ( 93,723) 56,211 41,275 621,631 ( 114,910) 61,764 572,248	Other changed amount $ - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -	Balance - end of year $ 463,309 82,166 681,714 66,260 164,045 ( 333) 1,457,161 2,159,726 317,693 202,713 212,222 198,484 883,731 991,185 1,135,210 3,941,238 160,637 64,286 93,673 241,271 227,259 103,919 356,718 1,247,763 5,189,001 178,103 164,284 181,843 823,676 170,817 317,101 1,835,824	Remarks
	(			(

(To be continued)

• 142 -

(Continued)

Item Not yet reported One-year Commercial Fire Insurance Engineering Insurance Marine Cargo Insurance Compulsory Automobile Liability Insurance Compulsory Commercial Automobile Liability Insurance Compulsory Motorcycle Liability Insurance General Liability Insurance Others Accumulated impairment Premium deficiency reserves Total amount: Marine Hull Insurance Fishing Vessel Insurance Aviation Insurance Others	Balance - beginning of year $ 22,500 20,300 39,200 104,791 20,879 98,534 29,800 77,515 413,519 ( 25) 1,677,070 2,894,246 3,318 927 2,663 125 7,033 $ 8,150,676	Net changes of the Year $ 2,400 23,300 6,600 ( 36) 1,973 ( 947) 8,700 ( 6,819) 35,171 - 607,419 10,266 819 540 136 311 1,806 $ 91,026	Other changed amount $ - - - - - - - - - 8 8 ( 8) - - - - - ($ 8)	Balance - end of year $ 24,900 43,600 45,800 104,755 22,852 97,587 38,500 70,696 448,690 ( 17) 2,284,497 2,904,504 4,137 1,467 2,799 436 8,839 $ 8,241,694	Remarks
	(		( (	(

Note: the balance of each insurance type less than 5% of the total are stated collectively.

• 143 -

Taiwan Fire & Marine Insurance Co., Ltd.

Detailed list for changes of special profit reserves (material accidents or hazard changes special reserves) From January 1 to December 31, 2025

Statement 14

Unit: NT$ Thousand

Item One-year Residential Fire Insurance Long-term Residential Fire Insurance One-year Commercial Fire Insurance Long-term Commercial Fire Insurance Inland Marine Insurance Marine Cargo Insurance Marine Hull Insurance Fishing Vessel Insurance Aviation Insurance General Personal Automobile Physical Damage Insurance General Commercial Automobile Physical Damage Insurance General Personal Automobile Liability Insurance General Commercial Automobile Liability Insurance General Liability Insurance Professional Liability Insurance Engineering Insurance Nuclear Energy Insurance Bonding Insurance Credit Insurance Miscellaneous Insurance Personal Accident Insurance Commercial earthquake insurance Personal Comprehensive Insurance Commercial Comprehensive Insurance Typhoon and Flood Insurance Residential Earthquake Insurance One-year Health Insurance Overseas division business Total	Balance - beginning of year $ 231,614 5,453 163,135 1,393 2,766 47,245 10,704 10,342 1,362 327,108 5,772 232,758 61,520 103,960 3,795 48,938 47,055 6,140 1,365 56,525 233,359 358,286 32,388 22,827 242,338 629,868 18,612 1,464 $ 2,908,092	Appropriation for the Year $ 29,576 514 22,884 46 189 6,399 1,219 645 213 37,974 1,074 54,688 4,605 18,096 768 3,275 2,349 463 636 1,431 41,010 37,019 9,311 3,203 36,747 68,638 17,267 168 $ 400,407	Recovery for the Year $ 14,666 - - - 883 - - 365 - - - - - - 122 - - 132 367 - 18,940 - - 472 - - - 421 $ 36,368	Balance - end of year $ 246,524 5,967 186,019 1,439 2,072 53,644 11,923 10,622 1,575 365,082 6,846 287,446 66,125 122,056 4,441 52,213 49,404 6,471 1,634 57,956 255,429 395,305 41,699 25,558 279,085 698,506 35,879 1,211 $ 3,272,131	Remarks

• 144 -

Taiwan Fire & Marine Insurance Co., Ltd.

Calculation table for provision of special reserve (special reserve for material accidents and hazard changes)

From January 1 to December 31, 2025

Statement 15

Unit: NT$ Thousand

Insurance type One-year Residential Fire Insurance Long-term Residential Fire Insurance One-year Commercial Fire Insurance Long-term Commercial Fire Insurance Inland Marine Insurance Marine Cargo Insurance Marine Hull Insurance Fishing Vessel Insurance Aviation Insurance General Personal Automobile Physical Damage Insurance General Commercial Automobile Physical Damage Insurance General Personal Automobile Liability Insurance General Commercial Automobile Liability Insurance General Liability Insurance Professional Liability Insurance Engineering Insurance Nuclear Energy Insurance Bonding Insurance Credit Insurance Miscellaneous Insurance Personal Accident Insurance Commercial earthquake insurance Personal Comprehensive Insurance Commercial Comprehensive Insurance Typhoon and Flood Insurance Residential Earthquake Insurance One-year Health Insurance Overseas division business Total	Earned premium retained $ 366,199 7,507 254,921 438 2,106 87,154 15,737 6,957 2,186 1,139,381 33,256 1,914,555 327,451 241,492 7,879 81,870 5,871 5,681 2,848 18,589 703,666 105,421 190,250 33,748 82,612 87,524 154,818 48 $ 5,880,165	Expected claims Expected loss ratio Amount of expected claims 56.25% $ 205,987 55.50% 4,167 57.69% 147,064 54.50% 239 60.50% 1,275 58.50% 50,985 68.30% 10,748 69.30% 4,821 72.30% 1,580 69.44% 791,186 66.22% 22,021 70.54% 1,350,527 69.40% 227,252 70.16% 174,751 70.19% 5,530 59.30% 48,549 65.00% 3,817 73.74% 4,212 66.30% 1,888 74.45% 13,839 70.69%、82% 511,513 60.00% 63,253 69.45% 132,128 65.30% 22,038 60.00% 49,568 85.00% - 79.56% 123,173 56.79%~74.45% 28 $ 3,972,139	Expected claims Expected loss ratio Amount of expected claims 56.25% $ 205,987 55.50% 4,167 57.69% 147,064 54.50% 239 60.50% 1,275 58.50% 50,985 68.30% 10,748 69.30% 4,821 72.30% 1,580 69.44% 791,186 66.22% 22,021 70.54% 1,350,527 69.40% 227,252 70.16% 174,751 70.19% 5,530 59.30% 48,549 65.00% 3,817 73.74% 4,212 66.30% 1,888 74.45% 13,839 70.69%、82% 511,513 60.00% 63,253 69.45% 132,128 65.30% 22,038 60.00% 49,568 85.00% - 79.56% 123,173 56.79%~74.45% 28 $ 3,972,139	Retained claims $ 32,760 388 41,340 - 124 26,715 5,836 1,767 820 550,696 15,285 1,022,426 210,711 40,049 ( 348 ) 111,929 1,011 1,493 ( 2,844 ) 10,761 233,290 12,206 67,215 2,095 ( 2,999 ) 1,727 10,243 ( 1,360) $ 2,393,336		Appropriation of special reserves in the year	Appropriation of special reserves in the year	Appropriation of special reserves in the year
					Reserve ratio 3% 1% 5% 5% 3% 5% 5% 5% 7% 1% 1% 1% 1% 1% 1% 5% 0% 3% 3% 3% 1%、3% 7% 1% 3% 7% 0% 3% 1%~7%	Allowance for reserve at specific ratio $ 10,986 75 12,746 22 63 4,358 787 348 153 11,394 333 19,146 3,275 2,415 79 4,093 - 170 85 558 9,529 7,379 1,902 1,012 5,783 - 4,645 2 $ 101,338	Allowance for reserve less than expected claims $ 25,984 568 15,859 35 173 3,641 737 458 113 36,073 1,009 49,214 2,481 20,205 881 1 2,936 409 710 1,231 41,734 38,895 9,737 2,992 40,151 85,798 16,939 208 $ 399,172	Effect of income tax ($ 7,394 ) ( 129 ) ( 5,721 ) ( 11 ) ( 47 ) ( 1,600 ) ( 305 ) ( 161 ) ( 53 ) ( 9,493 ) ( 268 ) ( 13,672 ) ( 1,151 ) ( 4,524 ) ( 192 ) ( 819 ) ( 587 ) ( 116 ) ( 159 ) ( 358 ) ( 10,253 ) ( 9,255 ) ( 2,328 ) ( 801 ) ( 9,187 ) ( 17,160 ) ( 4,317 ) ( 42) ($ 100,103)	Total reserves
		Expected loss ratio 56.25% 55.50% 57.69% 54.50% 60.50% 58.50% 68.30% 69.30% 72.30% 69.44% 66.22% 70.54% 69.40% 70.16% 70.19% 59.30% 65.00% 73.74% 66.30% 74.45% 70.69%、82% 60.00% 69.45% 65.30% 60.00% 85.00% 79.56% 56.79%~74.45%
										$ 29,576 514 22,884 46 189 6,399 1,219 645 213 37,974 1,074 54,688 4,605 18,096 768 3,275 2,349 463 636 1,431 41,010 37,019 9,311 3,203 36,747 68,638 17,267 168 $ 400,407

• 145 -

Taiwan Fire & Marine Insurance Co., Ltd.

Calculation table for recovery of special reserves (special reserve for material accidents and hazard changes)

From January 1 to December 31, 2025

Statement 16

Unit: NT$ Thousand

Insurance type One-year Residential Fire Insurance Long-term Residential Fire Insurance One-year Commercial Fire Insurance Long-term Commercial Fire Insurance Inland Marine Insurance Marine Cargo Insurance Marine Hull Insurance Fishing Vessel Insurance Aviation Insurance General Personal Automobile Physical Damage Insurance General Commercial Automobile Physical Damage Insurance General Personal Automobile Liability Insurance General Commercial Automobile Liability Insurance General Liability Insurance Professional Liability Insurance Engineering Insurance Nuclear Energy Insurance Bonding Insurance Credit Insurance Miscellaneous Insurance Personal Accident Insurance Commercial earthquake insurance Personal Comprehensive Insurance Commercial Comprehensive Insurance Typhoon and Flood Insurance Residential Earthquake Insurance One-year Health Insurance Overseas division business Total	Special reserve accumulated from the previous period $ 231,614 5,453 163,135 1,393 2,766 47,245 10,704 10,342 1,362 327,108 5,772 232,758 61,520 103,960 3,795 48,938 47,055 6,140 1,365 56,525 233,359 358,286 32,388 22,827 242,338 629,868 18,612 1,464 $ 2,908,092	Special reserve accumulated from the previous period plus the special reserve provided in the period $ 261,190 5,967 186,019 1,439 2,955 53,644 11,923 10,987 1,575 365,082 6,846 287,446 66,125 122,056 4,563 52,213 49,404 6,603 2,001 57,956 274,369 395,305 41,699 26,030 279,085 698,506 35,879 1,632 $ 3,308,499		Recovery of special reserve in the year	Recovery of special reserve in the year	Recovery of special reserve in the year	Total recovered amount $ 14,666 - - - 883 - - 365 - - - - - - 122 - - 132 367 - 18,940 - - 472 - - - 421 $ 36,368	Accumulated special reserves in the year	Accumulated special reserves in the year
			Recovered amount in excess of expected claims $ - - - - - - - - - - - - - - - - - - - - - - - - - - - - $ -	Recovered amount in excess of retained earned premium $ 18,332 - - - 1,104 - - 456 - - - - - - 152 - - 165 458 - 23,675 - - 591 - - - 527 $ 45,460	Recovered amount from special reserves for material accidents $ - - - - - - - - - - - - - - - - - - - - - - - - - - - - $ -	Effect of income tax ($ 3,666) - - - ( 221) - - ( 91) - - - - - - ( 30) - - ( 33) ( 91) - ( 4,735) - - ( 119) - - - ( 106) ($ 9,092)
									$ 246,524 5,967 186,019 1,439 2,072 53,644 11,923 10,622 1,575 365,082 6,846 287,446 66,125 122,056 4,441 52,213 49,404 6,471 1,634 57,956 255,429 395,305 41,699 25,558 279,085 698,506 35,879 1,211 $ 3,272,131

• 146 -

Taiwan Fire & Marine Insurance Co., Ltd.

Statement of Lease liabilities

December 31, 2025

Statement 17

Unit: NT$ thousand, unless specified otherwise

Title Land Building Transport equipment	Summary Land Service Center Company car	Term of lease 2023/2/1-2028/1/31 2021/1/1-2032/12/31 2023/1/18-2028/1/17	Discount rate 2.992% 2.366%~3.244% 2.867%~3.244%	Balance-ending	Balance-ending
					$ 1,404 43,237 4,419 $ 49,060

• 147 -

Taiwan Fire & Marine Insurance Co., Ltd.

Statement of Other liabilities

December 31, 2025

Statement 18

Unit: NT$ Thousand

Item Guarantee deposits received Temporary receipts Other liabilities - others (Note)	Summary Guarantee deposits for lease		Amount $ 32,076 130,569 1,000 $ 163,645	Remarks

Note: Cumulation of the balance of each items under 5% of the balance of this account.

• 148 -

Taiwan Fire & Marine Insurance Co., Ltd.

Statement of retained earned premium

From January 1 to December 31, 2025

Statement 19

Unit: NT$ thousand, unless specified otherwise

Insurance type One-year Residential Fire Insurance Long-term Residential Fire Insurance One-year Commercial Fire Insurance Long-term Commercial Fire Insurance Inland Marine Insurance Marine Cargo Insurance Marine Hull Insurance Fishing Vessel Insurance Aviation Insurance General Personal Automobile Physical Damage Insurance General Commercial Automobile Physical Damage Insurance General Personal Automobile Liability Insurance General Commercial Automobile Liability Insurance Compulsory Automobile Liability Insurance Compulsory Commercial Automobile Liability Insurance Compulsory Motorcycle Liability Insurance General Liability Insurance Professional Liability Insurance Engineering Insurance Nuclear Energy Insurance Bonding Insurance Credit Insurance Miscellaneous Insurance Personal Accident Insurance Commercial earthquake insurance Personal Comprehensive Insurance Commercial Comprehensive Insurance Typhoon and Flood Insurance Residential Earthquake Insurance One-year Health Insurance Compulsory liability insurance for mini electric two-wheeled vehicle Overseas division business	Premium revenues $ 373,619 ( 24 ) 873,248 - 3,222 426,449 134,493 82,176 83,357 1,126,476 31,860 1,924,070 343,412 383,742 93,040 252,204 438,307 30,637 475,607 - 7,589 1,181 115,312 697,027 282,538 208,715 48,747 218,771 676,125 159,730 1,949 - $ 9,493,579	Reinsurance premium revenues $ - - 19,848 - - 1,007 461 48 976 - - - - 131,781 23,739 96,675 2,177 236 70,359 6,039 2,331 - 5,218 5,868 27,470 - - 8,689 88,028 - 1,719 92 $ 492,761	Expenses for reinsurance $ - ( 1,932 ) 632,101 6 1,255 340,594 118,845 75,813 82,048 9,470 52 12,067 2,634 172,912 51,435 118,589 249,800 24,240 429,781 - 3,713 - 98,706 37,822 201,182 9,252 14,624 145,099 676,125 9 711 37 $ 3,506,990	Premium retained $ 373,619 1,908 260,995 ( 6 ) 1,967 86,862 16,109 6,411 2,285 1,117,006 31,808 1,912,003 340,778 342,611 65,344 230,290 190,684 6,633 116,185 6,039 6,207 1,181 21,824 665,073 108,826 199,463 34,123 82,361 88,028 159,721 2,957 55 $ 6,479,350	Method of appropriation 註十 註一 註十 註一 註五 註五 註十 註十 註十 註十 註十 註十 註十 註三 註三 註三 註十及十一 註十 註六及十 註四 註十及十二 註七 註十 註五、八及十 註十 註十 註十 註十 註二 註十 註十 註三	Net changes of unearned premium reserves $ 7,420 ( 5,599 ) 6,074 ( 444 ) ( 139 ) ( 292 ) 372 ( 546 ) 99 ( 22,375 ) ( 1,448 ) ( 2,552 ) 13,327 ( 6,791 ) 737 ( 3,626 ) 7,783 ( 1,246 ) 34,315 168 526 ( 1,667 ) 3,235 ( 6,147 ) 3,405 9,213 375 ( 251 ) 504 4,903 301 7 $ 39,641	Earned premium retained	Earned premium retained
								$ 366,199 7,507 254,921 438 2,106 87,154 15,737 6,957 2,186 1,139,381 33,256 1,914,555 327,451 349,402 64,607 233,916 182,901 7,879 81,870 5,871 5,681 2,848 18,589 671,220 105,421 190,250 33,748 82,612 87,524 154,818 2,656 48 $ 6,439,709

• 149 -

• Note 1: Long-term fire insurance is appropriated by the revised factor list approved by Jin-Tai-Cai-Bao-Zi No. 852363214

• Note 2: Residential earthquake insurances as a government policy is appropriated based on the requirement of the “Enforcement Rules for the Risk Spreading Mechanism of Residential Earthquake Insurance” issued by Jin-Guan-Bao-Chan-Zi No. 11304909161 on March 27, 2024.

• Note 3: Compulsory insurances for automobiles, motorcycles and mini electric two-wheeled vehicle is deposited based on Order Jin-Guan-Bao-Chan-Zi No. 11104617461, and appropriated based on Order Jin-Guan-Bao-Chan-Zi No. 11304929711.

• Note 4: Nuclear insurance is appropriated based on Letter Jin-Guan-Bao-Cai-Zi No. 10102517091 on December 28, 2012.

• Note 5: Goods transportation insurance and the travel comprehensive insurance under the casualty type are appropriated based on the premiums of written valid policies by the average day assumption.

• Note 6: Engineering insurance assumes the risks increase proportionally with time.

• Note 7: Credit insurance is appropriated by the specified ration filed to the MOF in the “consumer credit loan insurance” in September 2001 and the “financial institutions’ micro credit loan insurance” in August 2005 by the Non-Life Insurance Association.

• Note 8: In terms casualty type, the group insurance products are appropriated based on the method in Note 10 and the premium basis specified in Letter Jin-Guan-Bao-Cai-Zi No. 11004925801 on June 29, 2021.

• Note 9: Based on Article 6, the “Methods for Appropriating Each Reserves by Insurers” in Jin-Guan-Bao-Cai-Zi No. 10102501561, the preparation of premium reserves for the overseas reinsurance division business is appropriated based on the nature of the insurance by the actuarial personnel. The Company applies the one-eighth appropriation.

• Note 10: Based on Article 6, the “Regulations Governing Various Reserves of Insurance Enterprises” in Jin-Guan-Bao-Cai-Zi No. 10102501561, the preparation of premium reserves for the other insurance is appropriated based on the nature of the insurance by the actuarial personnel. The Company applies the one twenty-fourth appropriation. This has been approved for reference with MOF Letter Tai-Cai-Bao No. 0920714471 on January 6, 2004.

• Note 11: Liability insurance for travel agencies in the general liability insurance is appropriated based on Letter Jin-Guan-Bao-Er-Zi No. 09402075951 of the Financial Supervisory Commission, Executive Yuan.

• Note 12: Performance bonding insurance for travel agencies in the bonding insurance is appropriated based on Letter Jin-Guan-Bao-Er-Zi No. 09402075952 of the Financial Supervisory Commission, Executive Yuan.

• 150 -

Taiwan Fire & Marine Insurance Co., Ltd.

Statement of Interest income December 31, 2025

Statement 20 Title Bank deposits and interest Government bond interest Financial bond interest Corporate bond interest Others (Note) Total	Summary	Unit: NT$ thousand, unless specified otherwise Amount Remarks $ 75,911 8,153 51,933 138,037 12,263 $ 286,297

Note: Each balance is less than 5% of that under this title.

• 151 -

Taiwan Fire & Marine Insurance Co., Ltd. Statement of share of profit of associates and joint ventures accounted for using equity

method

From January 1 to December 31, 2025

Statement 21

Unit: NT$ Thousand

Investment portfolio Amount Remarks Associates: Top Taiwan X Venture Capital ( $ 26,084 ) Co., Ltd. AcSun Energy Inc. 4,662 ( $ 21,422 )

• 152 -

	Taiwan Fire & Marine Insurance Co., Ltd.	Taiwan Fire & Marine Insurance Co., Ltd.	Taiwan Fire & Marine Insurance Co., Ltd.
	Exchange gain (loss) – Investment Statement
	From January 1 to December	31, 2025
Statement 22				Unit: NT$ Thousand
Item	Summary		Amount	Remarks
Liability instruments		($	80,744)
Others (Note)		(	4,437)
		($	85,181)
Note: Each balance is less than 5% of that under this title.

• 153 -

Taiwan Fire & Marine Insurance Co., Ltd.

Statement of Other Operating Revenues and Costs From January 1 to December 31, 2025

Statement 23 Item Revenues Others (Note) Cost Special compensation fund Expenditure from Guaranty Funds Others (Note)		Amount $ 2,835 $ 21,092 17,352 9,877 $ 48,321	Unit: NT$ Thousand Remarks

Note: Each balance is less than 5% of that under this title.

• 154 -

Taiwan Fire & Marine Insurance Co., Ltd.

Detailed list of retained claims

From January 1 to December 31, 2025

Statement 24

Unit: NT$ Thousand

Title One-year Residential Fire Insurance Long-term Residential Fire Insurance One-year Commercial Fire Insurance Inland Marine Insurance Marine Cargo Insurance Marine Hull Insurance Fishing Vessel Insurance Aviation Insurance General Personal Automobile Physical Damage Insurance General Commercial Automobile Physical Damage Insurance General Personal Automobile Liability Insurance General Commercial Automobile Liability Insurance Compulsory Automobile Liability Insurance Compulsory Commercial Automobile Liability Insurance Compulsory Motorcycle Liability Insurance General Liability Insurance Professional Liability Insurance Engineering Insurance Nuclear Energy Insurance Bonding Insurance Credit Insurance Miscellaneous Insurance Personal Accident Insurance Commercial earthquake insurance Personal Comprehensive Insurance Commercial Comprehensive Insurance Typhoon and Flood Insurance Residential Earthquake Insurance One-year Health Insurance Compulsory Liability Insurance for Mini Electric Two-Wheeled Vehicle Overseas division business	Claims (including the claim expenses) $ 44,468 3,308 301,964 2,246 44,785 37,793 5,144 7,299 556,149 15,235 995,518 188,779 254,260 87,899 190,303 105,274 409 80,538 - 2,548 ( 2,565 ) 3,618 234,468 114,687 69,758 8,757 21,509 - 6,388 777 - $ 3,381,316		Claims for reinsurance $ - - 15,386 - 6 ) 345 2 109 ) - - - - 126,439 23,253 93,869 5,182 - 21,050 632 - 9 ) 17,359 2,138 1,993 - - 418 2,012 - 883 2,440 $ 313,277		Refundable Claims for Reinsurance $ - 165 208,135 1,122 36,587 29,550 4,834 6,438 1,141 - 4,531 879 153,325 52,317 110,677 71,999 307 52,930 - 2,013 - 10,713 28,604 55,717 1,816 2,627 9,962 - 561 466 - $ 847,416		Retained claims $ 44,468 3,143 109,215 1,124 8,192 8,588 312 752 555,008 15,235 990,987 187,900 227,374 58,835 173,495 38,457 102 48,658 632 535 2,574 10,264 208,002 60,963 67,942 6,130 11,965 2,012 5,827 1,194 2,440 $ 2,847,177
	(	( ( (				(

• 155 -

		Taiwan Fire & Marine Insurance Co., Ltd.	Taiwan Fire & Marine Insurance Co., Ltd.
		Statement of Service expenses
		From January 1 to December 31, 2025
Statement	25		Unit: NT$ Thousand
	Item	Summary	Amount Remarks
Salary		$	567,933
Taxation			227,138
Advertising expenses			56,155
Other expenses (Note)			269,587
		$	1,120,813

Note: Expense categories less than 5% of the total are stated collectively.

• 156 -

Taiwan Fire & Marine Insurance Co., Ltd. Statement of Administrative Expenses From January 1 to December 31, 2025

Statement 26

Unit: NT$ Thousand

Item Salary Depreciation Advertising expenses Other expenses (Note)	Summary		Amount $ 347,775 28,944 26,839 129,095 $ 532,653	Remarks

Note: Expense categories less than 5% of the total are stated collectively.

• 157 -

Taiwan Fire & Marine Insurance Co., Ltd. Statement of Non-operating income and expenses

Statement 27 Item Interest expense Lease Modification Gains Others (Note)	From January 1 to December 31, 2025 Unit: NT$ Thousand Summary Amount Remarks ($ 1,399) 66 ( 1,026) ($ 2,359)	From January 1 to December 31, 2025 Unit: NT$ Thousand Summary Amount Remarks ($ 1,399) 66 ( 1,026) ($ 2,359)

Note: Cumulation of the balance of each items under 5% of the balance of this account.

• 158 -

Taiwan Fire & Marine Insurance Co., Ltd.

Other disclosures in the Financial Report and ICPA’s Review Report 2025

• 159 -

Taiwan Fire & Marine Insurance Co., Ltd.

The CPA review report to other disclosures in the financial reports

To Taiwan Fire & Marine Insurance Co., Ltd.:

We were entrusted to conduct the audit the financial statements of Taiwan Fire & Marine Insurance Co., Ltd. for Year 2025 in accordance with the Regulations Governing Auditing and Attestation of Financial Statements by Certified Public Accountants and auditing standards, and also released the audit report on March 12, 2026. The purpose of this CPA audit is to express the opinions to the financial statements as a whole. Attached please also find the other disclosures in the Financial Report for Year 2025, prepared by Taiwan Fire & Marine Insurance Co., Ltd. The document is prepared based on the “Regulations Governing the Preparation of Financial Reports by Insurance Enterprises” separately, and has been reviewed by the CPAs based on the “Principles for Reviewing Other disclosures in Financial Reports.”

Based on the opinions of the CPAs, the “other disclosures” in the Financial Report for Year 2025, prepared by Taiwan Fire & Marine Insurance Co., Ltd. has disclosed the related information based on the “Regulations Governing the Preparation of Financial Reports by Insurance Enterprises”; the contents of the financial information is consistent to the financial statements, and thus there is no need to make materially revisions.

Deloitte & Touche CPA: Cheng-Hsiu Yang

CPA: Wen-Ya Hsu

March 12, 2026

• 160 -

Taiwan Fire & Marine Insurance Co., Ltd. “Other disclosures” in the Financial Report

ONE. Description of Business

• I. Matters impacting the business of the Company significantly in the last five year

• (I) Acquisition or merge with other companies: None.

• (II) Split: None.

• (III) Major rights of operation (equity) change for 10% or more: None.

• (IV) Transfer of business: None.

• (V) Reinvestment the affiliated companies:

Unit: thousand shares, NT$ thousand

Reinvested company		2021	2022	2023	2024	2025
Top Taiwan X Venture Capital Co., Ltd.	Shares held	19,800	17,325	16,459	16,459	12,509
	Carrying amount	264,896	182,648	182,198	219,628	96,438
	% of Ownership	24.75%	24.75%	24.75%	24.75%	24.75%
AcSun Energy Inc.	Shares held	-	-	20,000	20,000	20,000
	Carrying amount	-	-	207,341	208,234	206,145
	% of Ownership	-	-	20.00%	20.00%	20.00%

• (VI) Restructure: None.

• (VII) Acquisition or disposition of material assets:

• Acquisition of material assets:

Unit: NT$ Thousand

Year	Name of Assets	Seller	Purchase price	Selling Price	Decision Maker	Current usage
2025	No. 210, Sec. 3, Chengde Rd., Datong Dist.,TaipeiCity	Senluo Investment Co.,Ltd.,	2,000,000	-	Board of Directors	For own use

• 161 -

• Disposition of material assets:

Unit: NT$ Thousand

Year	Name of Assets	Buyer	Book Value	Selling Price	Gain (loss) on disposal (Note)	Decision Maker
2024	No. 617, 619, 621 and 2F., No. 621, Zhongzheng Rd., Xinzhuang Dist., New Taipei City	TAROKO Group	-	23,796	23,796	Chairman
2021	Land No. 769, Small Section 3, Xinglung Section, Wenshan District, Taipei City	O-Ming Wang and O-Hsiao Wang	17,609	21,297	3,688	Board of Directors

Note: The gain (loss) on disposal is the amount of selling price deducting the

book value (gross amount before deducting land value added tax), land value added tax, and the related expenses.

• (VIII) Material changes of operational manner (including the marketing system) or the nature of business:

The Company engages the sales of various insurance and operates the related business. There are no material changes regarding the operational manner or the nature of business in the past five years.

• 162 -

• II. Remuneration to the general directors, independent directors, supervisors, presidents and vice presidents, and related information

• (I) Remuneration to the general directors, independent directors, supervisors, presidents and vice presidents

  1. Remuneration to the general directors and independent directors (names and remuneration thereof to be disclosed individually)

Title	Name (Note 1)				Remuneratio	n to directors				Sum of A, B percentage o (	, C, and D & f net income %)			Remuneratio	n from concurr	entlyservings	as employees			Sum of A, B and G & perc incom	, C, D, E, F, entage of net e(%)	Remuneratio n from investees other than subsidiaries, or parent company
		Wage	s (A)	Pension upo (	n retirement B)	Directors’ rem	uneration (C)	Service Ex	penses (D)			Salary, bonus allowance	es, and special s,etc.(E)	Pension upon	retirement (F)		Employee Com	pensation (G)
		The Company	All companies included into the consolidated financial statements	The Company	All companies included into the consolidated financial statements	The Company	All companies included into the consolidated financial statements	The Company	All companies included into the consolidated financial statements	The Company	All companies included into the consolidated financial statements	The Company	All companies included into the consolidated financial statements	The Company	All companies included into the consolidated financial statements	The Co	mpany	All companies the consolida state	included into ted financial ments	The Company	All companies included into the consolidated financial statements
																Cash	Stock	Cash	Stock
Chairman	Steve Lee	15,103	15,103	-	-	5,042	5,042	1,811	1,811	21,956 1.77%	21,956 1.77%	-	-	-	-	-	-	-	-	21,956 1.77%	21,956 1.77%	None
Director	Yong-Shin Development Co., Ltd.	-	-	-	-	15,126	15,126	-	-	15,126 1.22%	15,126 1.22%	-	-	-	-	-	-	-	-	15,126 1.22%	15,126 1.22%	None
Director	Bank of Taiwan Co., Ltd.	360	360	-	-	15,126	15,126	230	230	15,716 1.26%	15,716 1.26%	-	-	-	-	-	-	-	-	15,716 1.26%	15,716 1.26%	None

1. Remuneration to the general directors and independent directors (aggregate disclosure of directors' names and range of remuneration)

Title	Name (Note 1)	Remuneration to directors	Remuneration to directors	Remuneration to directors	Remuneration to directors	Remuneration to directors	Remuneration to directors	Remuneration to directors	Remuneration to directors	Sum of A, B, C, and D & percentage of net income (%)	Sum of A, B, C, and D & percentage of net income (%)	Remuneration from concurr	Remuneration from concurr	Remuneration from concurr	Remuneration from concurr	entlyservings as employees	entlyservings as employees	entlyservings as employees	entlyservings as employees	Sum of A, B, C, D, E, F, and G & percentage of net income(%)	Sum of A, B, C, D, E, F, and G & percentage of net income(%)	Remuneratio n from investees other than subsidiaries, or parent company
		Wages (A)		Pension upon retirement (B)		Directors’ remuneration (C)		Service Expenses (D)				Salary, bonuses, and special allowances,etc.(E)		Pension upon retirement (F)		Employee Compensation (G)
		The Company	All companies included into the consolidated financial statements	The Company	All companies included into the consolidated financial statements	The Company	All companies included into the consolidated financial statements	The Company	All companies included into the consolidated financial statements	The Company	All companies included into the consolidated financial statements	The Company	All companies included into the consolidated financial statements	The Company	All companies included into the consolidated financial statements	The Company		All companies included into the consolidated financial statements		The Company	All companies included into the consolidated financial statements
																Cash	Stock	Cash	Stock
Chairman	Steve Lee	15,943 5,400	15,943 5,400	- -	- -	40,335 -	40,335 -	2,773 780	2,773 780	59,051 4.75% 6,180 0.50%	59,051 4.75% 6,180 0.50%	- -	- -	- -	- -	- -	- -	- -	-	59,051 4.75% 6,180 0.50%	59,051 4.75% 6,180 0.50%	None
Director	Yong-Shin Development Co., Ltd.																					None
Director	Bank of Taiwan Co., Ltd.																					None
Director	Yong-Shin Development Co., Ltd. Representative: Charles Sung																					None
Director	Yong-Shin Development Co., Ltd. Representative: Chung-Chou Chang																					None
Director	Yong-Shin Development Co., Ltd. Representative: Bin-Fu Chen																					None
Director	Shan Yue Industrial Co., Ltd. Representative: Chain-Cheng Lee																					None
Director	Bank of Taiwan Co., Ltd. Representative: Mei-Ling, Wu																					None
Director	Bank of Taiwan Co., Ltd. Representative: Wei-Hsin Wang																					None
Director	Bank of Taiwan Co., Ltd. Representative: Hsiu-Hsiang Liu (Note3)																					None
Director	Bank of Taiwan Co., Ltd. Representative: Yi-Pao Lin (Note 4)																					None
Independent Director	Liang-Chi Chang																					None
Independent Director	Cheng Ching Huang																					None
Independent Director	Nien-Tsu Chiang																					None
For the remuneration to the Company's independent dire Company's operating results, and their contribution to the Co the personal performance achievement rate and contribution t overviewof business and related laws,in order to balance the		ctors, Article 35-1 of the Articles of Incorporation provides that “If the Company sees a profit in the year, it shall contribute 1%~5% of the same as th mpany, and based on the standard prevailing in the same trade. The remuneration shall be defined in accordance with the Company's regulations gove o the Company will also be taken into account. The related performance assessment and reasonableness of salary and remuneration are already review Company's sustainabilityand risk control.										e remuneration to employees, and no more than 5% to the d rning performance assessment on directors. In addition to th ed and approved by Remuneration Committee and Board o				irectors (independent directors)...”, and the reasonable remuneration shall be given subject e Company's entire operating results, the future business risk and development trend for t f Directors. Meanwhile, the remuneration system will be reviewed from time to time subje						to the he industry, ct to the

Note: In 2025, the total amount of the compensations to drivers is NT$2,119 thousand.

• 163 -

Breakdown of remuneration to directors (NT$)		Dire	ctors
	Sumof foregoingfo	ur items (A+B+C+D)	Sumof foregoing seven it	ems (A+B+C+D+E+F+G)
	The Company	All companies included into the consolidated financialstatements	The Company	All companies included into the consolidated financialstatements
Below 1,000,000	Representative of Yong-Shin Development Co., Ltd.: Chung-Chou Chang, Bin-Fu Chen, Charles Sung Representative of Shan Yue Industrial Co., Ltd.: Chien-Cheng Lee Representative of Bank of Taiwan Co., Ltd.: Mei-Ling, Wu, Wei-Hsin Wang, Hsiu-Hsiang Liu,Yi-PaoLin	Representative of Yong-Shin Development Co., Ltd.: Chung-Chou Chang, Bin-Fu Chen, Charles Sung Representative of Shan Yue Industrial Co., Ltd.: Chien-Cheng Lee Representative of Bank of Taiwan Co., Ltd.: Mei-Ling, Wu, Wei-Hsin Wang, Hsiu-Hsiang Liu,Yi-PaoLin	Representative of Yong-Shin Development Co., Ltd.: Chung-Chou Chang, Bin-Fu Chen, Charles Sung Representative of Shan Yue Industrial Co., Ltd.: Chien-Cheng Lee Representative of Bank of Taiwan Co., Ltd.: Mei-Ling, Wu, Wei-Hsin Wang, Hsiu-Hsiang Liu,Yi-PaoLin	Representative of Yong-Shin Development Co., Ltd.: Chung-Chou Chang, Bin-Fu Chen, Charles Sung Representative of Shan Yue Industrial Co., Ltd.: Chien-Cheng Lee Representative of Bank of Taiwan Co., Ltd.: Mei-Ling, Wu, Wei-Hsin Wang, Hsiu-Hsiang Liu,Yi-PaoLin
1,000,000(inclusive)~ 2,000,000(exclusive)	-	-	-	-
2,000,000 (inclusive) ~ 3,500,000 (exclusive)	Independent Director: Liang-Chi Chang, Cheng ChingHuang, Nien-Tsu Chiang	Independent Director: Liang-Chi Chang, Cheng ChingHuang, Nien-Tsu Chiang	Independent Director: Liang-Chi Chang, Cheng ChingHuang, Nien-Tsu Chiang	Independent Director: Liang-Chi Chang, Cheng ChingHuang, Nien-Tsu Chiang
3,500,000 (inclusive)~5,000,000 (exclusive)	-	-	-	-
5,000,000 (inclusive)~ 10,000,000 (exclusive)	Shan YueIndustrialCo.,Ltd.	Shan YueIndustrialCo.,Ltd.	Shan YueIndustrialCo.,Ltd.	Shan YueIndustrialCo.,Ltd.
10,000,000 (inclusive)~ 15,000,000 (exclusive)	-	-	-	-
15,000,000 (inclusive) ~ 30,000,000 (exclusive)	Yong-Shin Development Co., Ltd. Bank of Taiwan Co., Ltd. SteveLee	Yong-Shin Development Co., Ltd. Bank of Taiwan Co., Ltd. SteveLee	Yong-Shin Development Co., Ltd. Bank of Taiwan Co., Ltd. SteveLee	Yong-Shin Development Co., Ltd. Bank of Taiwan Co., Ltd. SteveLee
30,000,000 (inclusive)~50,000,000 (exclusive)	-	-	-	-
50,000,000(inclusive)~ 100,000,000(exclusive)	-	-	-	-
Over 100,000,000	-	-	-	-
Total	15	15	15	15

Note 1: All the companies indicated in the columns of the consolidated statements refer to each remuneration paid to the directors from all companies and the names at each interval.

Note 2: Each payment is disclosed collectively in the table above.

Note 3: Dismissed on February 19, 2025. Note 4: Office taken newly on February 19, 2025.

3. Remuneration to Supervisor (None)

• 164 -

4. Remuneration to President, and Vice President

Unit: NT$ thousand, unless specified otherwise

Title	Name	Salary (A)	Salary (A)	Pension upon retirement (B)	Pension upon retirement (B)	Bonuses and special allowances (C)	Bonuses and special allowances (C)	Employee Compensation (D)	Employee Compensation (D)	Employee Compensation (D)	Employee Compensation (D)	Sum of A, B, C, and D & percentage of net income (%)	Sum of A, B, C, and D & percentage of net income (%)	Remunerati on from investees other than subsidiaries , or parent company
		The Company	All companies included into the consolidated financial statements	The Company	All companies included into the consolidated financial statements	The Company	All companies included into the consolidated financial statements	The Company		All companies included into the consolidated financial statements		The Company	All companies included into the consolidated financial statements
								Cash	Stock	Cash	Stock
President	Chao-Feng Chen	17,545	17,545	633	633	15,006	15,006	2,787	-	2,787	-	35,971 2.89%	35,971 2.89%	None
Vice President and also Chief Risk Officer serving as the chief corporate governance officer concurrently	Nicholas N.C. Sheu (Note 2)													None
General Auditor	Hong-Hsing Chuang (Note 3)													None
SeniorVicePresident	AndrewHsieh													None
SeniorVicePresident	AllenCheng (Note4)													None
Executive VicePresident	Chia-Lin Hsu													None
VicePresident	Yuan-Yi Liao (Note 5)													None
Vice President	Wen-Chin Chu (Note 5)													None
VicePresident	Su-Chen Lin(Note 6)													None
Chief compliance officer of the head office serving as the AML/CFT compliance officer concurrently	Tsui-Jung Chen													None

Note: In 2025, the total amount of the compensations to drivers is NT$954 thousand.

Breakdown of remuneration to President and Senior Vice Presidents (NT$)	President and Seni	orVicePresidents
	The Company	Allcompaniesincludedinto the consolidatedfinancialstatements
Below1,000,000	AllenCheng, Su-Chen Lin	AllenCheng, Su-Chen Lin
1,000,000 (inclusive)~ 2,000,000 (exclusive)	-	-
2,000,000 (inclusive) ~ 3,500,000 (exclusive)	Nicholas N.C. Sheu, Hong-Hsing Chuang, Tsui-Jung Chen, Yuan-Yi Liao, Wen-ChinChu	Nicholas N.C. Sheu, Hong-Hsing Chuang, Tsui-Jung Chen, Yuan-Yi Liao, Wen-ChinChu
3,500,000 (inclusive)~5,000,000 (exclusive)	Chia-Lin Hsu,AndrewHsieh	Chia-Lin Hsu,AndrewHsieh
5,000,000 (inclusive)~ 10,000,000 (exclusive)	-	-
10,000,000 (inclusive)~ 15,000,000 (exclusive)	Chao-Feng Chen	Chao-Feng Chen
15,000,000 (inclusive)~30,000,000 (exclusive)	-	-
30,000,000 (inclusive)~50,000,000 (exclusive)	-	-
50,000,000 (inclusive)~ 100,000,000 (exclusive)	-	-
Over 100,000,000	-	-
Total	10	10

Note 1: All the companies indicated in the columns of the consolidated statements refer to each remuneration paid to the president and senior vice president from all companies and the names at each interval.

Note 2: Dismissed on January 2, 2026.

Note 3: Appointed as General Auditor on May 27, 2025

Note 4: Dismissed on May 7, 2025.

Note 5: Appointed as Vice President on May 1, 2025.

Note 6: Dismissed on July 9, 2025.

• 165 -

5. Managers receiving employee compensation and state of distribution

December 31, 2025

Item	Title	Name	Stock	Cash	Total	The sum and percentage of net income (%)
Managers	President	Chao-Feng Chen	-	6,158	6,158	6,158 0.50%
	Vice President and also Chief Risk Officer serving as the chief corporate governance officer concurrently	Nicholas N.C. Sheu (Note 1)
	General Auditor	Hong-Hsing Chuang (Note 2)
	Chief compliance officer of the head office serving as the AML/CFT compliance officer concurrently	Tsui-Jung Chen
	Executive Vice President	Chia-Lin Hsu
	Senior Vice President	Andrew Hsieh
	Senior Vice President	Allen Cheng (Note 3)
	Vice President	Yuan-Yi Liao (Note 4)
	Vice President	Wen-Chin Chu (Note 4)
	Vice President	Su-Chen Lin (Note 5)
	Senior Assistant Vice President	Chih-Chieh Huang
	Assistant Vice President	Steven Lin
	Senior Manager	Yung-Fu Su
	Senior Manager	Kent Lee
	Senior Manager	Yu-Jen Hsiao
	Senior Manager	Chyi-Shyang Chio
	Senior Manager	Jonathan Tu
	Senior Manager	Chin-Ho Lin
	Senior Manager	Chiu-Shan Chung
	Senior Manager	Chen, Wen
	Senior Manager	Yi-Ping Wang (Note 6)
	Senior Manager	Shang-Jen Tung (Note 6)
	Senior Manager	Chih-Hung Wang (Note 7)
	Manager	Chih-Hui Hsu
	Manager	Wun-Bin, Hou
	Manager	Pen-Chi Yu
	Manager	Feng-Wei Chen
	Manager	Kuan-Yu Chen
	Manager	Ting-Kuo Huang
	Manager	Shih-Ting Hsiao
	Manager	Ching-Tsung Lu
	Manager	Kai-Tsung Hsiao
	Manager	Ming-Ta Tan
	Manager	Chih-Pin Hsu
	Manager	Nan-Chou Liu (Note 8)
	Manager	Yi-Hsin Lin (Note 8)
	Chief of accountant	Pi-Chen Wang

Note 1:Dismissed on January 2, 2026.

Note 2:Appointed as General Auditor on May 27, 2025

Note 3:Dismissed on May 7, 2025.

Note 4:Appointed as Vice President on May 1, 2025.

Note 5:Dismissed on July 9, 2025.

Note 6:Appointed as Senior Manager on May 1, 2025. Note 7:Dismissed on April 11, 2025.

Note 8:Office taken newly on May 1, 2025.

• 166 -

• (II) Any of the Chairman, President, Managers in charge of financial or accounting affairs working in the firm where the CPAs certifying work or its affiliates within the most recent year: None.

• 167 -

(III) Information about Chairmen and presidents rehired as consultant after retiring

Title	Name	Position before retirement	Position before retirement	Date to be rehired as consultant	Purpose of hiring	Responsibility and authority segmentation	Remuneration (Note 1)	The share in the remuneration in the net profit after tax (Note 1, 2)
		Institution and title	Date of retirement
Senior Consultant	Wen-Yung Li	Chairman of Taiwan Fire & Marine Insurance Co., Ltd.	2003/5/31	2003/6/1	Property insurance business development consultation	Consultant	$ 928	0.07%
Senior Consultant	Hung-Pin Yang	President of Taiwan Fire & Marine Insurance Co., Ltd.	2010/4/12	2014/6/7	Property insurance business development consultation	Consultant

Note 1: Should there be the situation indicated in Item 1-2, Subparagraph 2, Article 20 in any insurance enterprise, the remuneration of each consultant shall be disclosed; other remunerations and their shares in the remuneration in the net profit after taxes may be disclosed collectively. Note 2: Net profit after tax refers to the net profit after tax of individual entity or in individual financial report in the latest year.

• 168 -

• III. Information of Relations between laborers and employer

• (I) The current employee benefit measures and the implementation:

  1. Employee benefit measures

The Company has established the Employee Benefits Committee based on the guidelines of employee benefits/welfare subsidy. Periodical meetings are convened to improve the benefits of employees, and each benefit measure is planned as a part of a whole to promote the life quality of employees. Each benefit measure is described as the following:

• (1) Benefit subsidies: bonus for three major holidays; gift allowance for birthday and wedding, and consolation money for funeral.

• (2) Culture and entertainment: birthday parties, year-end party and lotteries, club events, and outings.

• (3) Other subsidies: relief for emergency, group insurance, group insurance for immediate family members, and health check for employees.

In 2025, except the bonus of three major holidays and gift allowance for wedding of the employees, numerous clubs were established based on the guidance for club subsidies, to encourage employees to participate in recreations and improve the interaction among employees. Meanwhile, taking considerations of the efforts made in the daily course, and to promote the welfare of the employees, the health check was provided to all employees; group insurance is also provided to each employee, including life insurance, casualty insurance, health insurance, cancer insurance among other things, to serve as the safety protection for the employees. Implement an EAP (Employee Assistance Program) to help employees address personal challenges that might affect their work performance, including psychological counseling, legal, financial, and medical resources, in order to improve employee mental health and organizational performance and foster a positive and energetic workplace environment.

2. Training and Education

To encourage employees to further enhance their knowledge regarding insurance operations and related professional knowledge, the Company has establish the awarding guidance for the professional insurance certificates. Generous awards and assistance are provided to encourage employees to obtain various professional permits and certificates while working, thus actively

• 169 -

cultivating insurance professionals. Meanwhile, to enhance the professional literacy of insurance, the Company selects outstanding employees as the internal instructors for periodical educational training, focusing the jobs needed for insurance operations, for the purpose of interaction and legacy of the experiences. In addition, the external professional course may be taken for the needs of development for business and personal career, to capture the market know-how.

The annual training of the Company integrates the internal trainings, trainings from external institutions and internal trainings within each department, and four major functions including “operation functions, core business, sales and marketing, and administration and resources” are the focuses. Trainings for different functions and levels are provided based on the performance and tasks-orientations. In total, the average training hours (both internal and external) per person per month were 47.3 hours, amounting to a total of 43,697 hours. The total number of sessions provided was 674, with 29,732 trainees in total, and the training expenses amounted to NT$5,346 thousand in 2025.

1. Pension system

To take care the retired employees, as well as to promote the cooperation between the employer and the employees, the pension system is established. Also, to accommodate the enforcement of the Labor Pension Act from July 1, 2005, the pensions are contributed periodically to the personal pension account of each employee under the new scheme. Based on the No. 19 rule of the IAS, actuaries are delegated to assess and calculate for such pension reserves with actuarial reports. Such reports are the key reference for the adjustment to the ratio of pension reserve contributions for the purpose of guarding the interest of the retired employees.

For 2025, the pension reserves contributed for the old scheme to the Trust Department, Bank of Taiwan was NT$5,041 thousand, and the cumulative amount of the pension in that account by the end of year was NT$74,902 thousand. For the employees under new scheme, 6% of their monthly wages are contributed to their personal accounts in the Labor Insurance Bureau. In 2025, total contributions to the new labor pension was NT$31,896 thousand, which shall be able to guard the retired employees adequately.

• 170 -

• (II) Losses resulted from the disputes between the employer and the employees in the last years: None.

• (III) Breaches to the Labor Standards Act found in the labor inspection in the last 3 years: None.

• IV. Information Security Management

• (I) The information security management framework, information security policy, specific management policy, and resources invested in the information security management:

The Company’s information security regulations follow the “Self-Regulated Information Security Protection Regulations for Insurance Industry” authorized by the competent authority to execute information security protection operations. The Company has also obtained BSI certification and received the ISO 27001 information security management certificate. The Company completed the ISO 27001:2022 revision certification in 2025 to ensure that its information security operations comply with international standards. Meanwhile, the Company improved various EDR, antivirus, and firewall installations, prevented hackers’ cyberattacks, and worked with the ISP to support the DDoS Border Gateway Protocol, ensuring the information security of its customers.

• (II) Losses resulting from major information security incidents: None.

• (III) Effect to the Company’s business and finance posed by the information security risk, and countermeasures:

The Company has implemented ISO 27001 information security management system. It conducts the information security assessment in accordance with ISO 27001 to fix vulnerabilities on a yearly basis, and also reports on the information security operations to the Board of Directors as required on a yearly basis.

• V. Changes of President, Chief Auditor, and Appointed Actuaries in the last 2 years

	2025	2024	2023
President	Chao-Feng Chen	Chao-Feng Chen	Chao-Feng Chen
Chief Auditor	Hong-Hsing Chuang	Su-Chen Lin	Su-Chen Lin
Appointed Actuary	Chin-Ho Lin	Chin-Ho Lin	Chin-Ho Lin

• 171 -

VI. The Changes of the Appropriation of Each Reserves

For the appropriation of each reserves in the year, the amendment to the “Regulations Governing the Preparation of Financial Reports by Insurance Enterprises” issued with the FSC Order Jin-Guan-Bao-Cai-Zi No. 11104953451 and the amendment to the “Regulations Governing Various Reserves of Insurance Enterprises” in Order Jin-Guan-Bao-Cai-Zi No. 10102501561 are complied with, and the appointed actuaries are hired to certify each reserves.

• VII. The insurance enterprise had capital increase/decrease resolved by the general meeting, or the issuance of new shares resolved by the Board of Directors, but such applications (filings) were not approved (or approved to be a reference) by the Financial Supervisory Commission, or the application for changing the registered capital was not approved by the MOEA, in the most recent year: None.

• VIII. The analysis to the claim expenses, refunded reinsurance, and the impact to the finance for these claims over NT$20 million in the last 3 years:

• 2025:

Unit: NT$ Thousand

Insurance type	No. of Claim	Date when losses occurred	Amount of claim	Amount of refund	Retained claims	Financial impact (loss)
One-year Commercial Fire Insurance	001014A00165	2025.07.14	108,956	90,278	18,678	18,678

Note: The aforementioned list of the material claims only lists the claims actually paid in the year.

2024:

Unit: NT$ Thousand

Insurance type	No. of Claim	Date when losses occurred	Amount of claim	Amount of refund	Retained claims	Financial impact (loss)
One-year Commercial Fire Insurance	001011A00042	2022.03.14	45,436	45,436	-	-
Marine Hull Insurance	633112C00004	2023.08.25	24,133	12,066	12,067	12,067

Note: The aforementioned list of the material claims only lists the claims actually paid in the year.

2023:

Unit: NT$ Thousand

Insurance type	No. of Claim	Date when losses occurred	Amount of claim	Amount of refund	Retained claims	Financial impact (loss)
One-year Commercial Fire Insurance	001011A00042	2022.03.14	22,453	22,453	-	-
One-year Commercial Fire Insurance	001011A00071	2022.03.15	20,993	8,397	12,596	12,596
One-year Commercial Fire Insurance	001012A00059	2023.03.09	33,355	15,343	18,012	18,012
Engineering Insurance	669412000004	2022.09.07	129,161	103,329	25,832	25,832

Note: The aforementioned list of the material claims only lists the claims actually paid in the year.

• 172 -

• IX. Names of reinsurance companies whose reinsurance expenses took 1% or more of the total premium incomes, and their credit ratings, in the most recent year

total premium incomes, and their credit ratings, in the most recent	year
Name of Reinsurance Company	Rating agency	Rating
Central Reinsurance Corporation	S&P	A
Swiss Re Asia Pte. Ltd. Hong Kong Branch	S&P	AA-
Partner Reinsurance Europe SE Hong Kong Branch	S&P	A+
Transatlantic Reinsurance Company Singapore Branch	S&P	AA+
Everest Reinsurance Company Singapore Branch	S&P	A+

• X. If any rating agency is delegated, the name of the rating agency, rating date and the rating results.

results.
Rating agency	Rating date	Rating results
Standard & Poor’s Rating	2026/01/09	A-
Taiwan Ratings	2026/01/09	tw AA

• 173 -

TWO. Market Price, Dividend, and Equity Distribution

• I. Market price, net value, earning and dividend per share

Item	Year	Year	2025	2024
Market price per share	Highest (NT$)		54.90	30.4
	Lowest (NT$)		28.15	25.1
	Average (NT$)		35.82	27.85
Net worth per share	Before distribution (NT$)		46.70	33.88
	After distribution (NT$)		Note 1	31.88
Earnings Per Share (EPS)	Weighted average number of shares (thousand shares)		317,843	362,200
	EPS (NT$)		3.91	3.21
Dividends per share	Cash dividend (NT$)		Note 1	2
	Stock dividends	Out of earnings (NT$)	Note 1	-
		Out of additional paid-in capital (NT$)	Note 1	-
	Accumulated, unpaid dividends (NT$)		Note 1	-
ROI analysis	P/E ratio (Note 2) (multiple)		9.16	8.68
	P/D ratio (Note 3)		Note 1	13.93
	Cash dividend yield (Note 4) (%)		Note 1	7.18

Note 1: Dividends per share is stated based on the resolution proposed by the shareholders' meeting in next year. It is not listed as the general meeting as 2026 has not yet been convened.

Note 2: P/E ratio = Average closing price per share for the year / Earnings per share.

Note 3: P/D ratio = Average closing price per share during the current fiscal year / Cash dividend per share.

Note 4: Cash dividend yield = Cash dividend per share / Average closing price per share for the current year.

• 174 -

II. Distribution of equity

• (I) Common Stock: Face value $10 per share

Common Stock

Face value $10 per share

		December 31, 2025	December 31, 2025
Shareholding category	Number of shareholders	Shares held	Shareholding Ratio %
1～ 999	9,154	2,032,367	0.80
1,000～ 5,000	4,300	10,066,641	3.97
5,001～ 10,000	1,056	7,666,904	3.02
10,001～ 15,000	419	5,220,321	2.06
15,001～ 20,000	179	3,118,825	1.23
20,001～ 30,000	221	5,324,591	2.10
30,001～ 40,000	118	4,085,693	1.61
40,001～ 50,000	77	3,420,402	1.35
50,001～ 100,000	173	12,663,861	5.00
100,001～ 200,000	83	11,660,164	4.60
200,001～ 400,000	42	12,474,098	4.92
400,001～ 600,000	17	8,623,100	3.40
600,001～ 800,000	7	4,810,483	1.90
800,001～ 1,000,000 1,000,001 Over (Note)	4	3,784,431	1.49
	24	158,588,399	62.55
Total	15,874	253,540,280	100.00

Note: including the depository accounts.

(II) Preferred Shares: no preferred share is issued by the Company.

• 175 -

III. Changes of the directors, supervisor, managers, and major shareholders.

Title (Note 1)	Name	2025	2025	As at February 28	As at February 28
		Increase (decrease) in shares held	Increase (decrease) in shares pledged	Increase (decrease) in shares held	Increase (decrease) in shares pledged
Chairman Director / Major shareholder Legal Representative Legal Representative Legal Representative Director/juristic person shareholder Legal Representative Director / Major shareholder Legal Representative Legal Representative Legal Representative Legal Representative Independent Director Independent Director Independent Director President Managers Managers Managers Managers Managers Managers Managers Managers Managers Managers Managers Managers Managers Managers Managers Managers Managers Managers Managers Managers Managers Managers Managers	Steve Lee Yong-Shin Development Co., Ltd. Charles Sung Chung-Chou Chang Bin-Fu Chen Shan Yue Industrial Co., Ltd. Chain-Cheng Lee Bank of Taiwan Co., Ltd. Mei-Ling, Wu Wei-Hsin Wang Hsiu-Hsiang Liu (Note 4) Yi-Pao Lin (Note 5) Cheng Ching Huang Nien-Tsu Chiang Liang-Chi Chang Chao-Feng Chen Su-Chen Lin (Note 6) Hong-Hsing Chuang (Note 7) Nicholas N.C. Sheu (Note 8) Tsui-Jung Chen Andrew Hsieh Allen Cheng (Note 9) Chia-Lin Hsu Wen-Chin Chu Yuan-Yi Liao Chih-Chieh Huang Steven Lin Chih-Hung Wang (Note 10) Yung-Fu Su Kent Lee Yu-Jen Hsiao Jonathan Tu Chyi-Shyang Chio Chiu-Shan Chung Pen-Chi Yu Chin-Ho Lin Chih-Hui Hsu Wun-Bin, Hou Yi-Ping Wang	( 2,252,982) ( 7,247,561 ) ( 93,000) ( 1,431,596) - ( 72,000 ) ( 1,811,673) ( 19,382,484 ) - - - - - - - 66,000 ( 24,900) - ( 2,100 ) ( 57,460 ) ( 66,989) - - ( 24,048) - - - ( 369) - ( 2,745) ( 9,040) - - ( 3,000) ( 1,448) - - ( 300) 3,150 ( 4,650) 15,000 ( 4,500)	( 900,000) ( 3,330,000 ) - - - - ( 881,400) - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -	- - - 84,000 - - - - - - - - - - - 10,000 - - - 6,000 - - - - - - - - - - - - - - - - - - -	- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -

• 176 -

(Continued)

Title (Note 1)	Name	2025	2025	As at February 28	As at February 28
		Increase (decrease) in shares held	Increase (decrease) in shares pledged	Increase (decrease) in shares held	Increase (decrease) in shares pledged
Managers Managers Managers Managers Managers Managers Managers Managers Managers Managers Managers Managers Managers	Nan-Chou Liu (Note 11) Shang-Jen Tung Feng-Wei Chen Kuan-Yu Chen Ting-Kuo Huang Shih-Ting Hsiao Ching-Tsung Lu Kai-Tsung Hsiao Chen, Wen Ming-Ta Tan Chih-Pin Hsu Yi-Hsin Lin (Note 11) Pi-Chen Wang	- - - - ( 24) - ( 3,900) - - ( 1,200) ( 300) - ( 13,137)	- - - - - - - - - - - - -	- - - - - - 900 - - - - - -	- - - - - - - - - - - - -

Note 1: Shareholders who hold 10% of the total shares of the Company or more shall be indicated as major

• shareholders, and listed individually.

• Note 2: Shall the counterparty of the share transfer or share pledging is affiliated person, the following form shall be filled.

• Note 3: The decrease in the number of shares held in 2025 was due to the cash refund to shareholders through a capital reduction. In order to strengthen the efficiency of capital utilization and adjust the capital structure by improving the return on shareholders’ equity, the Company’s 2025 annual general meeting resolved to approve a cash refund through a capital reduction. The capital was decreased by NT$1,086,601 thousand, with 108,660 thousand shares canceled. The same has been filed and became effective according to the letter of TWSE under Tai-Zheng-Shang-Yi-Zi No. 1141803293 dated August 1, 2025. Meanwhile, the change registration was approved according to the letter of the Ministry of Economic Affairs under Jin-Shou-Shang-Zi No. 11430132780 dated September 22, 2025.

• Note 4: Dismissed on February 19, 2025.

• Note 5: Office taken newly on February 19, 2025.

• Note 6: Dismissed on July 9, 2025.

• Note 7: Office taken newly on May 27, 2025.

• Note 8: Dismissed on January 2, 2026.

• Note 9: Dismissed on May 7, 2025.

• Note 10:Dismissed on April 11, 2025.

• Note 11:Office taken newly on May 1, 2025.

• 177 -

Equity transfer information

Name (Note 1)	Reason of Share Transfer (Note2)	Date of Transaction	Counterpart of the Transaction	The relationship between the counterpart of the Transaction and the Company, the directors, the supervisor, and the shareholders with 10% or more shares	Share(s)	Transaction price
None	None	None	None	None	-	-

Note 1: To list the name of the directors, the supervisor, managers, and the shareholders with 10% or more shares. Note 2: List if the transaction is acquisition or disposition.

Equity pledge information.

Name (Note 1)	Reason of changes of pledge (Note2)	Date of Change	Counterpart of the Transaction	The relationship between the counterpart of the Transaction and the Company, the directors, the supervisor, and the shareholders with 10% or more shares	Share(s)	% of Ownershi p	% of Pledge	Amount of pledge (redempti on)
None	None	None	None	None	-	-	-	-

Note 1: To list the name of the directors, the supervisor, managers, and the shareholders with 10% or more shares. Note 2: List whether is a pledge or redemption.

IV. Information related to the shelf registration: None.

• 178 -

Three. Material Financial Information

• I. Summary of the Balance Sheet and Statement of Comprehensive Income in the Past Five Years

• (I) Information for the Balance Sheet

Year Item	Year Item		Financial information for the (Note 1)	Financial information for the (Note 1)	past five years	past five years
		2025	2024	2023	2022	2021
Cash and cash equivalents		3,270,250	3,778,443	3,141,324	3,074,610	4,178,338
Receivables		703,709	740,961	730,398	756,442	668,801
Financial assets and loans (Noe 2)		14,727,578	16,323,176	15,402,407	13,635,173	12,433,810
Reinsurance contract asset		3,708,800	2,908,234	2,336,514	2,262,536	2,060,351
Property and Equipment		2,389,880	354,882	364,359	375,278	468,963
Right-of-use assets		46,885	41,768	55,290	40,051	42,588
INTANGIBLE ASSETS		5,755	10,588	12,479	14,864	12,073
Other assets (Noe 2)		766,828	751,784	767,448	732,236	778,051
Total Assets		25,619,685	24,909,836	22,810,219	20,891,190	20,642,975
Payables		1,391,980	1,263,281	1,142,550	1,054,362	902,607
Lease liabilities		49,060	44,598	63,686	51,666	61,741
Insurance liabilities and insurance contract reserves with financial product’s nature		11,670,021	10,825,005	9,793,088	9,281,884	9,047,868
Reserve for liabilities		40,798	40,229	58,234	66,079	83,267
Other liabilities (Noe 2)		626,908	464,676	562,905	491,481	366,201
Total Liabilities	Before distributio n	13,778,767	12,637,789	11,620,463	10,945,472	10,461,684
	After distributio n	（註3）	13,362,190	12,091,324	11,307,673	10,733,335
Capital		2,535,403	3,622,004	3,622,004	3,622,004	3,622,004
Capital surplus		98,964	98,964	98,962	98,962	98,962
Retained Earnings	Before distributio n	8,730,960	8,027,461	7,188,481	6,476,622	5,889,609
	After distributio n	（註3）	7,303,060	6,717,620	6,114,421	5,617,958
Other items under equity		475,591	523,618	280,309	( 251,870)	570,716
Total Stockholders’ Equity	Before distributio n	11,840,918	12,272,047	11,189,756	9,945,718	10,181,291
	After distributio n	（註3）	11,547,646	10,718,895	9,583,517	9,909,640

Note 1: The financial information has been audited and certified by CPAs for the past five years.

• 179 -

• Note 2: (1) The financial assets and loans include financial assets at fair value through profit or loss, financial assets measured at amortized cost, investment under equity method, other financial assets, financial assets at fair value through other comprehensive income, and investment property.

• (2) Other assets include the deferred income tax assets and other assets.

• (3) Other liabilities include the income tax liabilities for the period, deferred income tax liabilities, and other liabilities.

• Note 3: Said figures after distribution are stated based on the resolution proposed by the shareholders' meeting in next year. The figures after distributions for 2025 are not listed as the general meeting for 2026 has not yet been convened.

(II) Statement of Comprehensive Income

Unit: NT$ Thousand

Year Item	Financial information for the past five years (Note)	Financial information for the past five years (Note)	Financial information for the past five years (Note)	Financial information for the past five years (Note)	Financial information for the past five years (Note)
	2025	2024	2023	2022	2021
Operating Revenues	7,274,586	7,340,275	6,768,286	6,056,243	7,506,858
Operating Costs	4,090,476	4,452,504	4,115,988	3,855,335	5,781,623
Operating Expenses	1,647,961	1,507,226	1,471,841	1,350,241	1,317,938
NON-OPERATING INCOME AND EXPENSES	( 2,359 )	( 1,315 )	( 2,203 )	( 244 )	( 3,856 )
Income Before Tax	1,533,790	1,379,230	1,178,254	850,423	403,441
Income After Tax	1,242,577	1,162,329	978,269	671,961	373,208
Other comprehensive income	137,296	397,966	627,970	( 635,883 )	627,947
EPS (NT$)	NT$3.91	NT$3.21	NT$2.70	NT$1.86	NT$1.03

Note: The financial information of the Company has been audited and certified by CPAs for the past five years.

• 180 -

II. Analysis of Key Financial Ratios

Analysis of Key Financial Ratios	Analysis of Key Financial Ratios
Year ( Note 1) Analyzed Items (Note 2)		Analysis of the business benchmarks of finance in the last five years
		2025	2024	2023	2022	2021
Business benchmarks	Change rate of direct premium incomes	6.98	6.74	12.86	( 15.33 )	33.59
	Change rate of direct paid claims	( 2.37 )	7.21	1.03	( 30.07 )	62.38
	Change in Retained Premiums	3.80	4.15	10.33	( 22.79)	44.20
	Net value ratio	46.22	49.27	49.06	47.61	49.32
Indicators of Profitability	Returns on assets (%)	4.92	4.87	4.48	3.24	1.86
	Return on equity (%)	10.31	9.91	9.26	6.68	3.78
	Net return of fund operations	2.50	4.25	2.96	2.75	3.19
	Return on investment (%)	2.30	3.92	2.72	2.54	2.96
	Net Combined Ratio (%)	81.29	88.99	86.68	93.39	98.29
	Self-retained expenses (%)	36.92	35.42	36.27	37.04	34.29
	Net loss ratio (%)	44.37	53.57	50.41	56.35	64.00
Holistic operational indicators	Ratio of self-retained premium to equity (%)	54.72	50.87	53.56	54.62	69.10
	Gross premium to equity (%)	84.34	76.41	78.65	78.87	89.96
	Impact ratio of the net reinsurance commission to equity	2.51	2.16	2.23	2.27	1.51
	Ratio of various insurance liabilities to equity (%)	98.56	88.21	87.52	93.33	88.87
	Rate of changes of equity	( 3.51)	9.67	12.51	( 2.31)	6.27
	Expense ratio	28.42	27.85	28.95	29.73	29.53
Description about the analysis on increase/decrease by more than 20%: 1. The decrease in the variable interest rate on direct paid claims was primarily a result of the decrease in mainly due to the decrease in Residential Earthquake Insurance in 2025. 2. The decrease in the net interest margin from fund utilization and return on investment was primarily a result of the decrease in net investment income in 2025 from 2024. 3. The decrease in the rate of change of equity is primarily due to the cash refund through the capital reduction in 2025, resulting in a decrease in share capital of NT$1,086,601 thousand.

1. The decrease in the variable interest rate on direct paid claims was primarily a result of the decrease in mainly due to the decrease in Residential Earthquake Insurance in 2025.

2. The decrease in the net interest margin from fund utilization and return on investment was primarily a result of the decrease in net investment income in 2025 from 2024.

3. The decrease in the rate of change of equity is primarily due to the cash refund through the capital reduction in 2025, resulting in a decrease in share capital of NT$1,086,601 thousand.

Note 1: The financial statements of the Company has been audited and certified by CPAs

for the past five years.

Note 2: The formula for the item to be analyzed are as the following:

1. Business benchmarks

2. (1) Change rate of direct premium incomes = (the cumulative amount of the direct premium incomes of the period - the cumulative amount of the direct premium incomes of the previous period) / the cumulative amount of the direct premium incomes of the previous period

   • [“Direct premium incomes” refers to the premium incomes from the policies directly written to the insured by the insurer.]

3. (2) Change rate of directly paid claims = (the cumulative amount of directly paid claims of the period - the cumulative amount of directly paid claims of the previous period) / the cumulative amount of directly paid claims of the previous period

4. 181 -

[“Directly paid claims” refers to the claim paid to the insured due to the covered accidents of the policies directly written to the insured by the insurer.]

• (3) Change in Retained Premiums = (the cumulative amount of the self-retained premium of the period - the cumulative amount of the self-retained premium of the previous period) / the cumulative amount of the self-retained premium of the previous period

  • [Self-retained premium = the direct premium incomes + premium incomes from reinsurance - expenses from the reinsurance premium]

• (4) Net value ratio = Equity / Total assets excluding dedicated account book for investment insurance policy

• Indicators of Profitability

• (1) Return on assets = [Net profit after tax + interest expenditure x(1- tax rate)] / average total amount of assets

  • [Average total amount of assets = (assets, beginning + assets, ending) / 2]

• (2) Return on Equity = income aftertax / average equity

  • [Average equity = (equity of the period + equity of the previous period) / 2]

• (3) Net interest margin from fund utilization = (net investment income for the period + income from disposal of equity instrument at fair value through other comprehensive income for the period) / [(available fund, beginning + available fund, ending - net investment income for the period - income from disposal of equity instrument at fair value through other comprehensive income for the period) / 2]

• (4) Net rate of return = (net investment income for the period + income from disposal of equity instrument at fair value through other comprehensive income for the period) / [(assets, beginning + assets, ending - net investment income for the period - income from disposal of equity instrument at fair value through other comprehensive income for the period) / 2]

• (5) Net combined ratio = rate of retained expenses + Net loss ratio

• (6) Rate of retained expenses = self-retained expenses / self-retained premium

• 182 -

[Self-retained premium = the direct premium incomes + premium incomes from reinsurance - expenses from the reinsurance premium]

[Self-retained expenditure = expenditures of commissions and written fee + reinsurance commission expenditure - reinsurance commission incomes + business fee + operation fee + bad debts for depreciation and amortization for personal properties]

• (7) Net loss ratio = retained claims / retained earned premium

• [Retained claims = claims and payment - claim recovered from reinsurer + net change in claims reserves]

[Retained earned premium = direct insurance premium incomes + reinsurance premium incomes - reinsurance premium expenses - net change in unearned premium reserves]

1. Holistic operational indicators

2. (1) Ratio of Self-retained premium to equity = self-retained premium / equity

3. (2) Gross premium to equity =(direct premium incomes + reinsurance premium income) / equity

4. (3) Impact ratio of the net reinsurance commission to equity =(unearned premium reserves / self-retained premium) x reinsurance commission incomes / equity

5. (4) Ratio of various insurance liabilities to equity = various insurance liabilities / equity

[Various insurance liabilities = special reserves + claim reserves + unearned liability reserves + other reserves]

• (5) Rate of changes of equity = (equity of the period - equity of the previous period) / the absolute value for the equity of the previous period

• (6) Expense rate = expenses / (direct premium income + reinsurance premium income)

  • [Expenses = expenditures of commissions and written fee + operational expenses +management expenses + bad debts for depreciation and amortization for personal properties + expenses of reinsurance commissions ]

• III. Other information enhancing the insight to the financial status, operational results, cash flows, or the trend of changes: None.

• 183 -

Four. Review and Analysis for Financial Position and Performance

• I. Comparative Analysis of Financial Conditions

Unit: NT$ Thousand

Year Item	December 31, 2025	December 31, 2024	Difference	Difference
			Amount	％
Cash and cash equivalents	3,270,250	3,778,443	( 508,193 )	( 13.45)
Receivables	703,709	740,961	( 37,252 )	( 5.03)
Financial assets and loans (Note 1)	14,727,578	16,323,176	( 1,595,598 )	( 9.78 )
Reinsurance contract asset	3,708,800	2,908,234	800,566	27.53
Property and Equipment	2,389,880	354,882	2,034,998	573.43
Right-of-use assets	46,885	41,768	5,117	12.25
INTANGIBLE ASSETS	5,755	10,588	( 4,833 )	( 45.65)
Other assets (Note 1)	766,828	751,784	15,044	2.00
Total Assets	25,619,685	24,909,836	709,849	2.85
Payables	1,391,980	1,263,281	128,699	10.19
Lease liabilities	49,060	44,598	4,462	10.00
Insurance liabilities and insurance contract reserves with financial product’s nature	11,670,021	10,825,005	845,016	7.81
Reserve for liabilities	40,798	40,229	569	1.41
Other liabilities (Note 1)	626,908	464,676	162,232	34.91
Total Liabilities	13,778,767	12,637,789	1,140,978	9.03
Capital	2,535,403	3,622,004	( 1,086,601 )	( 30.00)
Capital surplus	98,964	98,964	-	-
Retained Earnings	8,730,960	8,027,461	703,499	8.76
Other items under equity	475,591	523,618	( 48,027 )	( 9.17)
Total Stockholders’Equity	11,840,918	12,272,047	( 431,129 )	( 3.51)

• Note 1: (1) The financial assets and loans include financial assets at fair value through profit or loss, financial assets measured at amortized cost, investment under equity method, other financial assets, financial assets at fair value through other comprehensive income, and investment property.

• (2) Other assets include the deferred income tax assets and other assets.

• (3) Other liabilities include the income tax liabilities for the period, deferred income tax liabilities, and other liabilities.

The analysis is for the changes of 20% or more from before to after the period, with the amount of NT$10 million or more:

• (I) Reinsurance contract asset

• 184 -

The increase in reinsurance contract assets of NT$800,566 thousand this year compared to the previous year was primarily due to the increase in the ceding claims reserve of NT$607,427 thousand and ceding unearned premium reserve of NT$146,571 thousand.

(II) Property and Equipment

The increase in property and equipment of NT$2,034,998 thousand this year compared to the previous year was primarily due to the purchase of the entire building located at No. 210, Section 3, Chengde Road, Datong District, Taipei City, which will be used as owner-occupied real estate, at a price of NT$2,000,000 thousand this year.

(III) Other liabilities

The increase of NT$162,232 thousand this year from the previous year was primarily a result of the increase in current income tax liabilities of NT$105,315 thousand, the decrease in deferred income tax liabilities of NT$17,396 thousand, and the increase in temporary receipts for other liabilities of NT$75,059.

(IV) Capital

The decrease of NT$1,086,601 thousand this year from the previous year was primarily a result of the cash refund through capital reduction, with 108,660 thousand issued shares canceled this year.

II. Analysis of Financial Performance

Unit: NT$ Thousand

Year Item	2025	2024	Increase (decrease) amount	Change %
Operating Revenues	7,274,586	7,340,275	( 65,689 )	( 0.89)
Operating Costs	4,090,476	4,452,504	( 362,028 )	( 8.13)
Operating Expenses	1,647,961	1,507,226	140,735	9.34
Operating Income	1,536,149	1,380,545	155,604	11.27
Non-Operating Income and Expenses	( 2,359 )	( 1,315 )	( 1,044 )	( 79.39 )
Profit Before Income Tax from Continuing Operation	1,533,790	1,379,230	154,560	11.21
Tax Expense	291,213	216,901	74,312	34.26
Net Profit for the Period From Continuing Operations	1,242,577	1,162,329	80,248	6.90

• 185 -

Analysis focusing on the increase/decrease changes for 10% or more

• (I) Operating income and net profit before tax from continuing operations

The increase in operating income and net profit before tax from continuing operations of NT$155,604 thousand and NT$154,560 thousand, respectively, this year compared to the previous year was primarily a result of the decrease in net changes in the insurance liability within operating costs from the same period last year.

• (II) NON-OPERATING INCOME AND EXPENSES

The decrease in non-operating income and expenses of NT$1,044 thousand this year compared to the previous year was primarily due to the reduction in gains from the disposal of property and equipment and compensation for the early termination of the lease.

(III) Tax expense

The increase in income tax expense of NT$74,312 thousand this year compared to the previous year was primarily due to the increase in income before tax.

• 186 -

Five. Information about replacement of CPAs

• I. Information about CPA’s professional fees

					Unit: NT$ Thousand Total Remarks 12,705	Unit: NT$ Thousand Total Remarks 12,705
Name of CPA Firm	Name of accountant	Audit period	Audit Fee	Non-Audit Fees	Total	Remarks
Deloitte & Touche	Cheng-Hsiu Yang	2025.01.01-2025.12.31	6,560	6,145	12,705
	Wen-Ya Hsu	2025.01.01-2025.12.31

Note: The audit fees only include the professional fees for audit, review and re-audit on financial statements and auditing of the financial forecast as referred to in Item 3, Subparagraph 1, Paragraph 1 of Article 24 of the Regulations Governing the Preparation of Financial Reports by Insurance Enterprises.

The non-auditing fees refer to the professional fees for certification services including tax certification, audit on internal control system, examination of capital adequacy ratio and checklist, audit on compulsory liability insurance for cars/motorcycles, review on annual reports, project consulting service fees and sustainability report assurance service fees, etc.

II. CPAs Replacement in the Last Two Years:

In 2024, in response to the internal work adjustment of Deloitte Taiwan, the external auditors, Wang-Sheng Lin, CPA and Wen-Ya Hsu, CPA, were replaced by Cheng-Hsiu Yang, CPA and Wen-Ya Hsu, CPA.

• 187 -