Announcement of The Summary Plan for The Separation of The Sharia Unit PT Sompo Insurance Indonesia Through the Establishment of A New Sharia Insurance Company

1. INTRODUCTION

In order to comply with the provisions of:

• Law No. 40 of 2014 on Insurance;
• Law No. 4 of 2023 on the Development and Strengthening of the Financial Services Sector;
• Law No. 40 of 2007 on Limited Liability Companies;
• POJK No. 11 of 2023 concerning Separation of Sharia Units of Insurance and Reinsurance Companies;
• POJK No. 23 of 2023 concerning Business Licensing and Institutional Regulations for Insurance Companies, Sharia Insurance Companies, Reinsurance Companies, and Sharia Reinsurance Companies;
• SEOJK No. 10/SEOJK.05/2024 concerning the Mechanism and Procedure for the Separation of Sharia Units of Insurance and Reinsurance Companies;

PT Sompo Insurance Indonesia, as an insurance company that has a Sharia Unit, will carry out a corporate action in the form of the Separation of the Sharia Unit of PT Sompo Insurance Indonesia through the establishment of a new sharia insurance company, followed by the transfer of the entire participant portfolio to the new Sharia Insurance Company resulting from the Sharia Unit Separation (US).

2. INFORMATION ABOUT PT SOMPO INSURANCE INDONESIA

PT Sompo Insurance Indonesia is a limited liability company established under the laws of the Republic of Indonesia and based in Jakarta, with its head office located at Gedung Mayapada 2, 19th Floor, Jl. Jend. Sudirman Kav. 27, Karet, Setiabudi District, Jakarta, Special Capital Region of Jakarta 12920, Indonesia.

The company was established by the Deed of Establishment No. 280 dated December 16, 1975, before Kartini Muljadi, Bachelor of Law, Notary in Jakarta, and approved by the Minister of Justice in Decree No. Y.A. 5/160/14 dated March 20, 1976, which has been amended several times, most recently by Deed No. 17 dated February 6, 2025, made before Mala Mukti, Bachelor of Law, Lex Legibus Magister, Notary in Jakarta, acknowledged by the Minister of Law and Human Rights under No. AHU-AH.01.09-0063049 dated February 7, 2025, and registered in the Company Register No. AHU-0025760.AH.01.11.TAHUN 2025 dated February 7, 2025.

The company obtained its business license as a general insurance company based on the Decree of the Directorate General of Domestic Monetary Affairs No. KEP 3250/MD/1986 dated May 6, 1986, and as amended under the OJK Board of Commissioners' Decree No. KEP-299/NB.11/2016 dated May 3, 2016, regarding the implementation of a general insurance business license due to the name change to PT Sompo Insurance Indonesia. PT Sompo Insurance Indonesia established its Sharia Unit based on OJK’s Board of Commissioners Decree No. KEP-95/NB.223/2017 dated August 14, 2017, granting the license to establish the Sharia Unit.

3. EXPLANATION OF THE SHARIA UNIT SPIN OFF PLAN

PT Sompo Insurance Indonesia will separate its Sharia Unit by establishing a new Sharia Insurance Company (PAS), followed by the transfer of the entire participant portfolio to the new PAS which will be carried out after the sharia business license already issued by the OJK. After the Sharia Unit Separation becomes effective, PAS will continue the general sharia insurance business currently run by the Sharia Unit. This corporate action has received full approval and support from the shareholders. Furthermore, PT Sompo Insurance Indonesia will no longer conduct general sharia insurance business and will apply for the closure of the Sharia Unit to the OJK in accordance with applicable laws and regulations. It is expected that the PAS resulting from the separation will independently contribute to business performance growth and the development of the sharia insurance industry in Indonesia.

4. PLAN FOR MANAGEMENT AND EMPLOYEES

The separation plan will be carried out while upholding the rights and obligations of employees of PT Sompo Insurance Indonesia, in line with the prevailing laws and regulations.

5. IMPORTANT INFORMATION

1. PT Sompo Insurance Indonesia and the new PAS are committed to ensuring that the transfer of business and portfolios proceeds smoothly and that the company’s operations and services continue without disruption.
2. In addition to transferring the participant portfolio, PT Sompo Insurance Indonesia will also transfer customers' personal data to PAS, in compliance with the prevailing data protection laws.
3. PT Sompo Insurance Indonesia will ensure that this separation process will not have any impact on active sharia insurance policyholders. Their rights and obligations remain unchanged.
4. Pursuant to Article 127 paragraphs (4) and (5) of Law No. 40 of 2007 on Limited Liability Companies, creditors may submit objections within 14 (fourteen) days after this announcement. If no objections are raised within that time, the creditors are deemed to have approved the separation plan via the establishment of the new Sharia Insurance Company.
5. From the effective date of separation, all assets, liabilities, policyholders or participants, branch networks, business activities (including products and operations), sharia employees, and all related parties of sharia unit, all will be transferred to the new PAS.
6. For further information during the Sharia Unit separation process, policyholders may contact PT Sompo Insurance Indonesia at Customer Care service (021) 14051 or via email at customer@sompo.co.id

Jakarta, 15 July 2025

Board of Directors

PT SOMPO INSURANCE INDONESIA