2021 IFRSconsol en

CONSOLIDATED
ANNUAL
RAPPORT
2021
NATIONAL HEAD OFFICE
Rue des Croisiers 24
HEAD OFFICE FOR FLANDERS
Prins-Bisschopssingel 73
HEAD OFFICE FOR THE
GERMAN-SPEAKING REGION
ethias.be
4000 LIÈGE 3500 HASSELT Klötzerbahn 24-26
+ 32 (0)4 220 31 11 + 32 (0)11 28 21 11 4700 EUPEN
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Table of contents
INTRODUCTORY WORD FROM THE CHAIRS.......................5 V.9 Receivables...................................................................83

V.10 Any other assets...........................................................84
I INTRODUCTION...........................................................6 V.11 Cash and cash equivalents...........................................84
I.1 Presentation Ethias.........................................................6 V.12 Available-for-sale assets and liabilities including
I.2 Key figures......................................................................9 assets from discontinued activities..............................85
V.13 Equity............................................................................85
II REPORT OF THE BOARD OF DIRECTORS.....................10
V.14 Insurance and investment contract liabilities...............86
II.1 Key facts of 2021...........................................................10
V.15 Financial debts..............................................................91
II.2 Result of the financial year............................................12
V.16 Employee benefits........................................................93
II.3 Assessment of Internal Control.....................................13
V.17 Provisions.....................................................................97
II.4 Risk Governance...........................................................13
V.18 Trade and other payables..............................................97
II.5 Information regarding environmental
and staffing matters......................................................29 VI NOTES TO THE CONSOLIDATED
II.6 Events subsequent to the date of INCOME STATEMENT.................................................99
the consolidated balance sheet....................................29 VI.1 Income from insurance activities..................................99
II.7 Information on circumstances which may VI.2 Technical expenses for insurance activities..................99
significantly impact the company’s development.........29
VI.3 Net profit (loss) of cessions in reinsurance.................100
II.8 Research & Development..............................................29
VI.4 Net profit (loss) of other activities...............................100
II.9 Other activities of the Group.........................................30
VI.5 Net financial result without finance costs...................101
II.10 Governance report........................................................31
VI.6 Finance costs..............................................................102
III CONSOLIDATED FINANCIAL STATEMENTS.................36 VI.7 Expenses by nature and allocation.............................102
VI.8 Employee benefit expenses........................................102 3
III.1 Consolidated balance sheet..........................................36
VI.9 Income taxes...............................................................103
III.2 Consolidated income statement...................................38
III.3 Statement of consolidated comprehensive income......39 VII NOTES RELATING TO ITEMS NOT INCLUDED
C O N S O L I D AT E D A N N U A L R E P O R T 2 0 2 1
III.4 Consolidated cash flows statement..............................39 IN THE BALANCE SHEET...........................................104
III.5 Consolidated statement of changes in equity...............40
VII.1 Lease contracts...........................................................104
IV GENERAL INFORMATION...........................................42 VII.2 Related parties............................................................104

VII.3 Fees of the Statutory Auditor.......................................107
IV.1 Legal structure..............................................................42
VII.4 Commitments..............................................................107
IV.2 Consolidation scope.....................................................42
VII.5 Contingent liabilities...................................................107
IV.3 Acquisitions and disposals of subsidiaries...................44
VII.6 Events after the reporting period that do not
IV.4 Presentation of the NRB subgroup................................45
give rise to adjustments..............................................107
IV.5 Summary of significant accounting principles..............48
IV.6 Critical accounting estimates and judgements.............60 VIII OTHER INFORMATION...........................................................108
IV.7 Sector information........................................................61 VIII.1 Statutory auditor’s report on the consolidated financial
IV.8 Capital management.....................................................65 statements for the year ended 31 December 2021.....108
V NOTES TO THE CONSOLIDATED BALANCE SHEET.......60 IX ANNUAL ACCOUNTS OF ETHIAS SA.......................... 116
V.1 Goodwill........................................................................60 IX.1 Balance sheet............................................................. 116
V.2 Other intangible assets.................................................67 IX.2 Income statement....................................................... 118
V.3 Tangible fixed assets and investment properties..........68 IX.3 Notes...........................................................................121
V.4 Right-of-use of assets...................................................70 IX.4 Social balance sheet...................................................138
V.5 Investments in associated companies IX.5 Remuneration of the directors.....................................138
and joint ventures.........................................................71 IX.6 Statutory auditor’s report on the financial statements
V.6 Financial investments...................................................72 for the year ended 31 December 2021........................139
V.7 Derivative financial instruments...................................81 IX.7 Note: Declaration on non-financial information..........146
V.8 Deferred tax assets and liabilities................................82
Introductory word from the Chairs
Pandemic, floods, cyber attacks, storms,
war... Shocks follow one another and
tomorrow's reality will not be today’s.
Our role as insurer of the public sector and of
more than 1.2 million private individuals is to
support and protect the population by offering
innovative coverage solutions and services
adapted to the new risks. As you will discover
in this report, all lights are green for Ethias
to accompany this transition and to face the
future in a serene and responsible manner.
Thanks to its capacity for anticipation and resilience, Ethias • As at December 31, 2021, the net result
closed the year 2021 with a satisfactory result, in line with its amounts to 189 million euros.
forecasts despite the complex context of 2021, while giving • The Non-Life operating result amounts
itself the means to solidly support its individual policyholders, to 194 million euros.
4
the public sector, its partners and shareholders. Strategically
• In Life, the operating results stands at 78 million euros.
as a Belgian player, Ethias has wanted to take the lead in
the regional and federal initiatives of the four recovery • Overall income amounts to 2.77 billion euros, i.e.
plans on each occasion. It has helped the sectors most an increase of 47 million euros. This very good
affected by the pandemic, it has ensured a remarkable and result exceeds forecasts and is attributable to
appreciated presence on site during the July floods and it has both Life insurance and Non-Life activities.
compensated, to date, more than 90% of the claims that have • The Solvency II ratio stands at 178%2 after deducting
been expertised. This highly professional yet deeply human the proposed dividend of 105 million euros. A good
approach has earned Ethias a double recognition from the result considering the particularly difficult context
rating company Fitch1 and the title of “Best Brand 2022”. of 2021 with the pandemic and the summer floods.
It should be noted that the ratio is calculated
according to a standard formula without using
transitional measures for technical provisions.
• Subject to the approval of the General Assembly, a
dividend of 105 million euros will be paid to our four
shareholders (the Federal State, the Walloon Region, the
Flemish Region and the cooperative society EthiasCo).
1 In June 2021, the agency Fitch upgraded the IFS rating (Insurer Financial Strength) of Ethias SA from "A-” to “A” and from “stable outlook" to "positive outlook". A double
increase which demonstrates Ethias' financial strength, good profitability and robust business model. The insurer has consolidated its very strong capitalisation, its
low financial debt ratio (leverage), its strong operating performance since the execution of its multi-year action plan in 2018 and its very good solvency level.
2 Annual solvency assessment at December 31, 2021.
Ethias believes that beyond economic performance, a company
must integrate sustainability objectives into all its operations
and activities. This commitment to society, which has been
firmly anchored since the company’s founding over 100 years
5
ago, has been accelerated in 2021 with a new "Sustainability"
strategy. This approach includes numerous initiatives in the
three ESG areas: Environment, Social and Governance. We are
also pleased to present to you our fifth non-financial report,
which may be found in annex. It details what we undertake
on a daily basis in each of these areas.
We are particularly proud of what we have achieved thanks to
our unique business model, our values, the trust of our clients,
the support of our shareholders, but also the unwavering
commitment of the 4,300 employees within the group, whom
we wish to praise for their courage and resilience during this
truly exceptional period.
We wish you a pleasant reading and remain - together with all
our staff - attentive to your needs.
PHILIPPE LALLEMAND MYRIAM VAN VARENBERGH
CHAIR OF THE EXECUTIVE COMMITTEE CHAIR OF THE BOARD OF DIRECTORS

CHIEF EXECUTIVE OFFICER
I INTRODUCTION
The Annual Report of the Ethias Group, hereafter "the Group", I.1.2 Our values, our mission
includes the management report, the consolidated financial and our vision
statements prepared in accordance with the IFRS reference
document (International Financial Reporting Standards)
as adopted by the European Union as well as the financial
statements of Ethias SA prepared in accordance with the legal ❤ #Human
and regulatory dispositions which are applicable in Belgium.
Humanity is at the heart of all our relationships.
These consolidated financial statements were established by We are a true partner for each of our interlocutors.
the Board of Directors of Ethias SA on 31 March 2022.Unless
For us, proximity and solidarity are no empty words.
otherwise specified, the amounts in this report are stated
in thousands of euros. The registered office of the company
Ethias SA is situated in Belgium at the following address: rue
des Croisiers 24 in 4000 Liège.
I.1 Presentation Ethias

✔ #Commitment
I.1.1 A group with a mutual For nearly 100 years, we are daily committed
insurance philosophy to our clients, to our colleagues and to
society. We are reliable, trustworthy and
Just over 100 years ago, on 25 September 1919, a group of purposeful. This commitment also relates to
municipal and provincial authorities founded the "Société ethics, which remains at the root of all our
Mutuelle des Administrations Publiques" (abbreviated as actions, and to our social responsibility.
6 SMAP) for the insurance against fire, lightning and explosions.

A mutual insurance association is created by its members and
operates for its members. While our legal form has evolved
over time, we remain true to our values and our mission to

simplify insurance by providing innovative products and
#ClientSatisfaction
services. We are proud of our 2,000 employees who represent This is the driving force of our activities and
all our actions. Through our mutualist origins,
the proximity partners our 1,200,000 clients can rely on. We
we emphasize on client contact possibilities
want to keep this position for years to come. and on exemplary service quality. Our
accessibility, our efficiency, our flexibility clearly
contribute to the satisfaction of our clients.
#Enthusiasm
Because whatever happens, a heart beats within
Ethias. Every day, we show energy, vitality,
optimism and dynamism. This enthusiasm
leads us to be creative and to undertake
innovative projects in support of clients.
Our values are the foundation of our identity, our culture Public & Corporate Sector
and our personality. In a nutshell, they constitute the DNA Ethias has been the privileged insurance partner of the Public
of Ethias. Sector since 1919. Its insured parties include the Federal
Our values are expressed in daily life (when welcoming our State, Regions and Communities, local public authorities
clients, settling a claim, providing advice on prevention, etc.). (provinces, cities and municipalities, public social welfare
They are also materialized when implementing our dynamic centres ...), public companies as well as thousands of inter-
policy of corporate social responsibility (CSR), listening to community and semi-public bodies, schools, hospitals, public
the concerns of our policyholders, private individuals as well interest organizations and miscellaneous associations ...
as public bodies. Our ambition is to extend our position as a multi-product
Our mission is our raison d'être. In a clear and concise way, it and service insurer in the form of a partnership with public
presents what we do and how we stand out. It gives meaning authorities, where all risks incurred by staff are covered by
to all our actions and makes us work together in the same Ethias: civil liability, health care, work or sports accidents,
direction. Our mission is as follows: motoring, assistance ... Ethias also covers damage to or
Making insurance easier so as to bring you security, peace of possible destruction of equipment, buildings and installations.
mind and freedom of initiative, with innovative services and Furthermore, we have the ambition to be an all-round player
products. As partner of your daily life, we put our expertise in first and second pension pillar management.
and our energy at your service. But being an insurer today is not simply covering a series of
Our vision for the future revolves around 3 pillars, viz. digital, financial risks, it is also about adopting a comprehensive
direct and reinforced partnership with public authorities, prevention risk policy. Ethias has been pursuing a proactive
linked to a constant drive for innovation at the client’s service. and dynamic prevention policy for several years through all
The company has embarked on an ambitious plan for its products and services or through innovative initiatives.
7
technological and organizational transformation.
Companies
For more info: https://www.ethias.be/corporate/fr.html
Since 2000, Ethias has also been accessible to private
I.1.3 Our policyholders and our products businesses, offering them its skills and expertise acquired
in the public sector and non-profit sector. For allowing these
Private Individuals businesses to take a lead in risk management, Ethias offers
Ethias is a direct insurer, offering a complete range of Life and them a range of insurances responding to their specific needs
Non-Life products: and including the protection of:
• In Non-Life, besides its flagship products, namely • Their patrimony: car insurance, property and casualty
car insurance and home insurance, Ethias also insurance, machine breakage, all-risk insurance ...
offers assistance, health care coverage, coverage • Their liabilities: civil liability for businesses,
for civil liability and travel cancellation insurance; civil liability for directors and officers;
• In Life, Ethias mainly sells life insurance policies • Their staff: work accidents insurance, life
with no Life component and branch 23 contracts. accidents insurance, hospitalization insurance,
We continue the work to make insurance easier and accessible guaranteed income insurance, group insurance.
to all, with the strengthening of our position as a direct insurer
while maintaining profitable growth in Belgium.
Our client base is loyal and includes over one million
policyholders with insurances for personal risks.
I.1.4 Partition of premium income I.1.5 Our phygital model
2021 for Ethias SA Ethias is the only major direct insurer in Belgium. Halfway
The premium income stands at 2.8 billion euros by end-2021 between digital and human contact, Ethias offers the best
and is relatively balanced between Life and Non-Life activities. of both worlds with a phygital approach to ensure a unique,
It is split per product as follows: simple, efficient and human experience.
Clients choose the channel that suits them best to contact us:
Premium Collection Non-Life: 1.4 billion € • 37 offices covering the whole of Belgium with
the possibility of making an appointment
• 2 Customers Centers
• 2 “Claims” services
• 76 sales representatives serving public authorities,
the private sector and partner brokers
• 4 websites
• 2 “client zones”
• 1 live chat
• 1 video chat (possibility to make an appointment by
video-conference with one of our client consultants)
• 1 virtual assistant, called “Mathias”
• 1 mobile application for claims reporting
• 6 social networks
With the new “Flora by Ethias” insurance for co-

Premium Collection Life: 1.4 billion € housers, 13 insurance products can be fully
8
taken out online, including payment
The majority of Ethias' activities are focused on the Belgian

market. Ethias is the country's 3rd largest insurer in Non-Life,
with a 10.2% market share, and in Life, with a 8.7% market
share1, and is the country's premier insurer of the public sector
and its agents.
1 Based on Assuralia data 31/12/2020.

I.2 Key figures
I.2.1 Essential data of the consolidated income statement
31 December 31 December Change
In thousands of euros 2021 2020 during the year
Non-Life 1,404,328 1,382,016 1.61%
Public bodies and Companies 808,583 792,510 2.03%

Private Individuals 595,745 589,507 1.06%
Life 1,362,541 1,338,171 1.82%

Public bodies and Companies 1,316,126 1,296,296 1.53%
Private Individuals 46,415 41,874 10.84%
Total premium collection Life and Non-Life 2,766,869 2,720,187 1.72%
Net profit (loss) on current transactions after tax 209,592 223,994 -6.43%
Share of the associated companies in the result (430) (769) -44.12%
Net profit (loss) after tax of the available-for-sale
- - 0.00%
companies and of the discontinued operations
Net consolidated income 209,162 223,225 -6.30%
Group’s share 188,970 207,672 -9.01%

Non-controlling interests 20,192 15,553 29.83%
I.2.2 Essential data of the consolidated financial position

In thousands of euros 2021 2020 during the year 9
Total assets 21,186,346 20,840,431 1.66%
Equity of the Group 3,009,552 3,004,278 0.18%
Non-controlling interests 73,950 69,453 6.48%
I.2.3 Regulatory coefficients

2021 2020 during the year
Solvency ratio of the company Ethias SA 178% 187% -9%
The Solvency II margin at end-December 2021, established according to the standard formula, stands at 178% and takes into
account a dividend of 105 million euros which will be proposed to the General Assembly. At end-2020, the Solvency II margin
stood at 187% and took into account the dividend of 103 million euros.
I.2.4 Other key figures

2021 2020 during the year
Number of employees 4,342 4,142 4.83%
Ethias SA 1,976 1,923 2.76%
NRB Group 2,270 2,137 6.22%
IMA Benelux 96 82 17.07%
II REPORT OF THE BOARD II.1.2 The COVID-19 pandemic
OF DIRECTORS In 2021, Ethias has pursued its four-phase strategy that was
adopted at the beginning of the health crisis, namely the
protection of its employees, its clients, the company and
II.1 Key facts of 2021 society at large.
With regard to employee protection, Ethias has continued to
II.1.1 Market conditions in 2021
take care of the well-being of its employees by implementing
2021 was the year of the rebound of the economy, the financial various initiatives (psychological support, finding solutions
markets and inflation. Many indicators have moved closer for relatives affected by illness or worries about childcare
to their "pre-COVID" level: GDP of developed economies, during school closures, continuous and interactive
unemployment rates, stock market indices, credit spreads and communication...).
commodities. Financial markets were buoyed by the success
Ethias has also continued to take initiatives in favour of its
of the vaccination campaigns (mitigating the effects of the
B2C and B2B clients. In addition to extending coverages and
pandemic), the economic recovery and growth in corporate
granting payment delays, Ethias has also provided free Civil
earnings. Thanks to the measures and aid deployed by the
Liability and Bodily Injury insurance for all vaccination centres
different states and governments, the impact of the health
and has offered psychological support services to students,
crisis has finally remained acceptable in most economic
self-employed and small businesses insured with Ethias.
sectors.
With regard to the protection of society, Ethias is involved
The combined effects of the economy’s reopening (creating
in projects related to the economic recovery at both federal
tensions in supply chains), commodity price increases,
and regional levels and has been able to concretize its
budgetary stimuli and wage increases (especially in the United
participation through the following initiatives:
States) have caused a sharp rise in inflation. This increase
in inflation was considered transitory in Europe and more • granting a loan to SRIW;
structural in the United States so that the accommodative • participating as an expert in sessions related to the
policy of 2021 by central banks was questioned. In particular, organization of project financing at the federal level;
the central banks of England, Brazil and Mexico have initiated • participating in the capital increase
10 an increase in their key rates. of Finance&Invest.Brussels;
In the second half of the year, China saw its economic growth • participating in a private placement for
slowing. It is one of the only countries to have adopted a "zero- the German-speaking region;
COVID" strategy (systematic regional lockdowns) and has had

• an investment of 80 million euros for the 4 public
to deal with the financial difficulties of a large real estate
funds constituted by the Walloon Region, the Flemish
company (Evergrande). The real estate sector represents
Region, the Federal State and the Brussels-Capital
a significant part of the Chinese economy and the risk of
Region. It should be noted that Ethias is the largest
contagion to other sectors is not neutral. In November, the
private contributor to these stimulus funds.
arrival of the Omicron variant, considered contagious but less
It is with the same mindset that Ethias has decided for 2022,
severe than COVID-19, did not worry the markets for long.
beyond the extension of the free insurance for vaccination
Against this backdrop of economic recovery, government
centers in Civil/Professional Liability and in Bodily Injury, on
bond rates experienced volatility but ended the year 2021
a number of additional measures to help the sectors most
with a consistent rise across the curve. As an example, the
affected by the 4th and 5th waves:
Belgian 10-year bond rate ended the year at 0.19% compared
• Education sector: a significant budget has been set
to -0.39% at 31/12/2020.
aside to provide prevention kits to schools, as Ethias
Economic growth, against a backdrop of accommodating
did in 2021 for the culture and sports sectors;
monetary policies by the FED and the ECB, was favourable to
• Culture sector: granting of a 25% reduction on the fire
equity indices: EuroStoxx50 (+20.99%), S&P500 (+26.89%),
insurance premium of the B2B policyholders concerned.
CAC40 (+28.85%), DAX (+15.789%), BEL20 (+19.02%), FTSE
MIB (+23%), NASDAQ (+21.39%). • Sports sector: granting of a 10% reduction on the
sports insurance taken out by the Federations.
More specifically, cyclical sectors performed best: technology
(+37%), banking (+36%), media (+30%), construction (+26%), Ethias' investment in these various projects is important in
automotive (+25%), luxury goods (+24%), and chemicals terms of its values and the meaning it intends to give to its
(+20%). Defensive sectors lagged: real estate (+1.26%), societal role. More than a mere investment in the financial
utilities (+3.56%), distribution (+4.38%). The only sector that sense, it is a willingness to take responsibility for meeting
performed negatively was the leisure sector (-9.28%). the needs of society, a principle rooted in the company's DNA.
II.1.3 Flooding leads the IT division and continues the transformation and
digitization of the company.
In the face of the disaster that shook many regions in July 2021,
Ethias was keen to respond to the needs of its policyholders As Chief Claims & Delight Officer, Luc Kranzen is now entrusted
in distress. Hence, Ethias has: with the development of customer delight in all the Claims
departments.
• Directly provided an advance of 1,500
euros upon opening a claims file; The Executive Committee is also being strengthened in terms
of optimizing management control, expenses and budgets
• Set up "mobile crisis centers" in charge of
with the arrival of Maryline Serafin as Chief Financial Officer.
criss-crossing the most affected cities in order
to go directly to the victims and proceed with Asset management is handled by Joris Laenen, who is also
the first administrative formalities; responsible for the development of the Life business as Chief
Investment & Life Officer.
• Offered numerous meals in several disaster-stricken
cities as well as financial aid to the Red Cross; The function of Chief Risk Officer remains with Benoît-Laurent
Yerna.
• Strengthened its Claims Management Teams
to speed up the processing of claims files
II.1.6 Increase in Fitch rating
and compensate policyholders as quickly as
In June 2021, the agency Fitch upgraded the IFS rating of
possible. As of January 19, 2022, nearly 90%
Ethias SA from "A-, stable outlook" to "A, positive outlook".
of the B2C expertises have been closed.
This double increase demonstrates Ethias' financial strength,
Given the extent of the damage, the insurers and the Regions
good profitability and robust business model. Through the
got together and signed an intervention protocol to share the
upgrade of the insurer's rating, Fitch underlines that Ethias
burden. This protocol stipulates that once the claims payments
has consolidated its very strong capitalization, its low financial
exceed the insurer's double intervention limit, a "loan" is
debt ratio (leverage), its strong operating performance since
recognized as financial asset item per Region. This contains
the execution of its multi-year action plan as from 2018 and
the claims payments attributable to the governments, i.e. the
its very good solvency level. The ratings actions also consider
claims amounts paid beyond the insurer's double intervention
the resilience of these factors during the COVID-19 pandemic.
limit without any counterpart in technical accounting. An
estimate of the amounts borne by the governments that the The positive outlook reflects Fitch’s view that the Ethias Group 11
insurer will have to pay after December 31, 2021 is recorded could achieve a combined ratio sustainably below 95%, while
off-balance sheet. maintaining its very strong capitalisation and low financial
debt ratio (leverage) over the next 12 to 24 months.
II.1.4 Dividend distribution
At the General Assembly of Ethias SA held in May 2021, it
II.1.7 Conclusion of several partnerships
was decided to distribute a dividend of 103 million euros to Ethias continues to strengthen its digital strategy with the
the shareholders. conclusion of two new partnerships with online comparison
platforms, “Voilà” and “Test-Aankoop-Verzekeringen.be”, for
II.1.5 An Executive Committee in the Auto product.
line with its ambitions Furthermore, in order to meet a societal need, Ethias has en-
In December 2021, the Executive Committee was strengthened tered into a partnership with DELA, the funeral care services
and now includes new skills and new members. The Executive specialist. Since October 2021, Ethias has been distributing
Committee saw the departure of two of its members. Benoît the “Dela Funeral Provision Plan”, a Life insurance policy from
Verwilghen, Vice-CEO, has taken over the management of branch 21.
EthiasCo, and Cécile Flandre, having fully accomplished her
mission as CFO, is now taking on other challenges outside the II.1.8 Group strategy
group. Following their departure, Wilfried Neven has become Ethias continues to implement its group strategy, which
the new Vice-CEO and now assumes the key role of Chief consists of further capitalising on the strengths and
Customer Experience Officer. He is in charge of the commercial specificities of its subsidiaries (NRB, IMA Benelux, Ethias
development for all markets. Services, etc.) in order to position the Ethias Group as a value
Nicolas Dumazy, Chief Strategy & Data Officer, is entrusted generator group for all its stakeholders.
with developing the strategy of the Ethias Group as well as This strategy is based, on the one hand, on strengthening
innovation and data. As his mission also includes corporate the dynamics of the Group's entities and, on the other hand,
social responsibility, he strives to strengthen the ESG on a "beyond insurance" approach, i.e. evolving from an
(Environmental, Social & Governance) aspects at all levels insurer's strategy towards a strategy of integrated services
of the Group. for the benefit of clients.
To accelerate the digital transformation, Izabella Molnar has Within this context, Ethias Services SA (a 99.9% owned
been appointed as Chief Digital Transformation Officer. She subsidiary of Ethias SA) has developed and marketed a series
of new services (skills & psychosocial risk management, risk precarious situations. No less than 130 projects were sent in
management, fire risk management, etc.), mainly for B2B by the end of January 2022! Eighteen projects will be selected
customers as a first step. New services will be added as by a professional jury and rewarded in the spring of 2022 with
and when market needs are identified. In addition, digital a 450,000 euros grant from Ethias. This action, co-created with
acceleration, another pillar of Ethias' group strategy, is strongly the Public Social Welfare Centers, aims to strengthen Ethias'
supported by NRB (a 68.39% owned subsidiary), which is societal role, in line with our ESG ambitions.
working on the development of numerous functionalities in
favour of B2C and B2B clients (online opening and follow-up II.1.13 Obtaining the “Top Employer
of claims, e-invoicing, e-documents, etc.). A second 100% Belgium” certification
digital insurance product is also being marketed: the co- Ethias has obtained, for the first time, the “Top Employer
housing insurance through Flora, Ethias' insurtech. Belgium 2022” certification. This title recognizes the
company's policy towards its employees and its HR practices.
II.1.9 Best Brand Awards 2021 It particularly focusses on the company’s initiatives in the
The Best Brands Awards 2021 were presented in April. areas of Well-Being, Work Environment, Organization &
Ethias came out on top in terms of "Share of Soul", i.e. Change and Digitalization.
the insurance brand recognized for creating the strongest
emotional and affective bond. This recognition reflects the II.1.14 Publication of our 4rd CSR
human relationship that Ethias builds every day with and for Report, testimony to Ethias'
its policyholders, which is more essential than ever in the long-standing involvement in
current context. In terms of “Share of Market”, Ethias is ranked
Corporate Social Responsibility
third, just behind AG Insurance and KBC.
Ethias has published its 4th non-financial report since
II.1.10 EcoVadis the transposition of the European Directive 2014/95/EU
into Belgian law. This report shows the extent of Ethias'
EcoVadis, one of the leading CSR rating agencies, conducted
commitment to Belgian society and presents the annual
a non-financial audit of Ethias, i.e. an assessment of the way
overview of its actions within the framework of Corporate
Ethias integrates ESG elements (Environmental, Social and
Social Responsibility (CSR) in three areas: People, Profitability
Governance criteria) into its operations. The scorecard is
12 and Planet. In addition, there is an extensive chapter on its
based on 4 dimensions: environment, social & human rights,
sustainable investment strategy and governance.
ethics and responsible purchasing. With a score of 57, Ethias
was awarded the silver medal, recording an 18% increase over Ethias' approach is anchored in global concerns and its action
last year and ranking in the top 25% of companies, above the plan focuses on 4 of the 17 SDG’s developed by the United
sector average on all four dimensions. Nations: poverty, health, climate and sustainable cities &
communities (SDG 1, 3, 11 & 13).
II.1.11 DECAVI
For the third time, Ethias was recognized for its numerous II.2 Result of the financial year
solidarity initiatives related to the pandemic and for the second
The year 2021 records a consolidated profit (Group’s share)
time for its societal commitment. DECAVI thus underlines the
of 189 million euros, a decrease of 9% compared to the 2020
relevance of its commitments, its willingness to place the
result. This evolution is explained by the deterioration of Non-
Human Being at the center of its concerns, but also its unique
Life business, offset by a good performance of Life business
business model, as the 1st direct insurer standing alongside
and the NRB group.
its private and public customers.
Total income amounts to 2,767 million euros, i.e. an increase
Furthermore, the quality of its products and services was once by 1.7% compared to the 2020 income, resulting from a
again rewarded as Ethias won 5 DEVACI Trophies in Non-Life 1.6% increase in Non-Life income and a 1.8% increase in
insurance in the following areas: Life income. The operating combined ratio is 92%.
• Tenant Insurance; The result of Non-Life business amounts to 95 million euros
• Family Insurance; and is strongly impacted by the floods. This impact has been
• Workers’ Compensation Insurance; mitigated by good financial results and the absence of a major
• Innovation - Ethias Mobility & More; storm in 2021.
• Prevention. The result of Life business amounts to 111 million euros. The
good performance of the Life business in 2021 is explained in
II.1.12 Youth Solidarity Awards particular by the growth in operating results (mortality gains)
To fight poverty among young people, Ethias launched and non-recurring financial income. These good results made
the Youth Solidarity Awards at end-2021. Through this it possible to endow the provision for profit-sharing (net of
action, Ethias encourages the Public Social Welfare Centers taxes) with 42 million euros, mainly for ring-fenced funds
to introduce a project aimed at helping young people in from the 1st pillar.
The result of the other activities amounts to 13 million euros, of the internal control (shareholders, analysts,
including -28 million euros from Ethias SA and 41 million regulators, clients, suppliers, associations, etc.).
euros from the NRB group. In terms of steering, Ethias:
Tax expenses for the financial year amount to 30 million euros. • realizes permanent and/or punctual assessments
Point 7 of Chapter IV. General information contains more to check if the internal control components
information on the result of the financial year. have been developed and are operable;
• communicates, in due time, an assessment of the
II.3 Assessment of internal control's deficiencies to the persons responsible
Internal Control for corrective measures, in particular to the Executive
Committee and the Audit and Risk Committee.
The preparation of the report on the assessment of the internal
control system is in conformity with the NBB circular 2015_21 The internal control system is constantly evolving and has
on internal control as well as with the COSO 2013 standards. been strengthened by the recruitment of specific skills and
the creation of an internal control department. In 2021, an
In terms of control environment, Ethias:
internal control policy was developed.
• pays attention to the respect of the integrity
and the ethical values it enshrines; II.4 Risk Governance
• aims at reaching its objectives through a clear
definition of its organizational structure and of the II.4.1 Introduction
appropriate competences and responsibilities;
Besides its business activity of managing the risks underwritten
• shows its commitment to attract, train and by its clients, an insurance company, like any company, is itself
hold competent co-workers in accordance confronted with various categories of risks. In such circumstances,
with the objectives of its multi-year plan; it is a matter of managing the uncertainty as satisfactorily as
• reinforces for each of its employees the duty to give possible, by identifying, assessing and effectively dealing with
account of his internal control responsibilities. the risks the company is confronted with, in order to control
In terms of risk assessment, Ethias: them. The purpose is to strike the best possible balance between
the objectives and the associated risks, with an excessive risk 13
• ensures a clear definition of the objectives
aversion itself posing a risk, and keeping in mind that, alongside
assuring the identification and assessment
each threat, opportunities do exist.
of risks linked to its objectives;
Therefore, the general risk management process aims at
• identifies the risks linked to the achievement of its
"offering a reasonable security with regard to achieving the
objectives within the scope of its responsibilities and
objectives of the organization by maintaining the risk expo-
regularly analyses these risks in order to determine
sure within the limits of risk appetite".
the appropriate management modalities for its risks;
As a result, Ethias has adopted a coherent approach of risk
• integrates the internal and external fraud risk in
management with regard to all material risks it is confronted
the assessment of risks that can compromise
with and which is rendered in the individual risk management
the achievement of its objectives;
policies.
• identifies and regularly assesses the changes that could
have a significant impact on its internal control system. II.4.2 Governance with regard
In terms of controlling activities, Ethias: to risk management
• develops and/or reviews its controlling activities by Good governance of an insurance company requires the
means of guidelines which specify the objectives setting-up of the following functions: Internal Audit,
and procedures implementing these directives; Compliance, Risk Management, Internal Control and Actuarial
• selects and develops the controlling activities - including Function. These are not only independent monitoring
information technology general controls - that contribute functions but also governance functions. Their conclusions
to the maintenance or decrease of risks linked to the and advices are translated into measures to reinforce the
achievement of its objectives at acceptable levels. management structure, the organization and the internal
control system. These functions are structured in such a way
In terms of information and communication, Ethias:
that they constitute three "defence lines":
• communicates internally the information which
First defence line - Daily risk monitoring
is required for proper functioning of the other
internal control components, more specifically by The first defence line is provided by operational lines and
obtaining relevant and qualitative information; support functions (Accounting, Asset Management, IT, Human
Resources, etc.). It is their responsibility to identify the risks
• communicates with third parties on the points that
posed by each operation and to respect the procedures and
may affect the functioning of other components
limits set.
Ethias sees to it that every employee has a suitable the 1st and 2nd lines is to be highlighted, especially on files
understanding of the risks that are likely to threaten the regarding underwriting (review of underwriting guides,
correct fulfilment of the activities he/she is responsible for. Non-Life commercial strategy, monitoring of UFRs/CFRs,
Hence, each employee is responsible for the identification and commercial dispensations, review of underwriting policies,
the assessment of the risks that are incurred on an ongoing provisioning and pricing, S/P balance, POG, risk appetite, etc.)
basis. The Assets and Liabilities Committee (ALCO) has the task
Furthermore, a network of "risk" correspondents within the of contributing to the protection of Ethias SA in its liquidity,
operational lines and the support functions permits to benefit profitability and solvency aspects, through the alignment of
from the technical skills of the experts in the field, including the company's assets and liabilities.
complaints, operational incidents and GDPR. The Risk Management Forum (RMF) is responsible for
Second defence line - Risk supervision discussing risks, which are presented to the Audit and Risk
The second defence line includes the control functions of the Committee (and beforehand to the Executive Committee)
Risk Management function, the Internal Control function, the in detail, so as to have a specific view of all the risks borne
Actuarial Function and the Compliance function, which are by the company. It is the forum for analysis of specific risks
responsible for ensuring that the risks have been identified highlighted in the context of projects or activities in order to
and managed by the first line, according to the rules and identify priorities, relevant mitigation measures and action
procedures envisaged. plans as well as their target risk and to monitor their evolution
in accordance with the Risk Appetite policy. It ensures:
These four functions depend on the CRO, who ensures the
transversal coordination of the work and the adequate • an efficient and transparent reporting of risks;
exchange of relevant information. • the selection of the most important risks;
The CRO, who is a member of the Executive Committee, has • the definition of action plans;
to make sure that the structure of Ethias' risk management • The monitoring of already identified risks, especially
is operational and has to improve its effectiveness and in case of modification (deterioration) of these risks;
efficiency. The entities that are hierarchically answerable to
• to propose to the management bodies
the CRO assist him in his assessment of the company's risk
practical and pragmatic business guidelines
profile, of its alignment with its strategy and risk appetite as
14 in accordance with the risk appetite;
well as in the identification of future risks.
• to recommend to the Executive Committee the
This second defence line, which is independent of the first
validation of the company's risk profile.
one, maintains a methodological framework and underlying
processes that allow the control and the supervision of the This body does not replace the Local Risk Forums, which are
implemented risk management structure. In the event of organized at the operational level and which enable action
exceeding the risk profile wanted by Ethias, it can intervene plans to be drawn up at team level.
at the operational level to initiate changes and to help the Each committee is chaired by a member of the Executive
first defence line in resolving the problems. Committee. The CRO is present in each committee dedicated
Finally, in order to reinforce risk governance, Ethias’ to risk management. It was the willingness of the Executive
Executive Committee relies on committees dedicated to Committee and of the Board of Directors to create "strong
risk management: These committees are advisory and their committees", so as to set up an effective risk governance
recommendations are validated by the Executive Committee. within the company. It is also with this aim in view that
the responsibilities of each committee have been clearly
The role of the Model Coordination Committee (MCC) is to
established by means of internal regulations.
monitor and contribute to the compliance, within the risk
framework defined by the Board of Directors, of all internal Third defence line - Independent assessment
and regulatory standards for the development and use of The third defence line is provided by the Internal Audit, which
internal quantitative models used by Ethias for, in particular, assesses, among other things, compliance with procedures
the management of its technical and financial risks and its by the first and second lines of defence and, more generally,
asset / liability management. the effectiveness of the internal control system. To ensure its
The mission of the Insurance-Reinsurance Committee (IRC) independence, this entity reports hierarchically to the CEO
- in terms of insurance techniques, insurance contract directly and functionally to the Audit and Risk Committee.
management and reinsurance coverage - is to ensure that With regard to risk management, the Board of Directors of
the business lines comply with the technical and commercial Ethias SA assumes ultimate responsibility for the effectiveness
objectives and with the risk framework defined by Ethias’ of the risk management system. To carry out its missions, it
Executive Committee and Board of Directors. Hence, the IRC relies on the Audit and Risk Committee. The Audit and Risk
monitors the technical risks (profitability, reservation, risks) Committee advises the Board of Directors on Risk Appetite
of the existing products, analyses the mitigation actions of and risk tolerance issues, analyses risk reporting, challenges
the technical risks, analyses the modifications to existing the implementation of the risk management system by the
products or the proposals for new ones and supervises the Executive Committee, and verifies its proper application.
reinsurance programme. Efficient collaboration between
II.4.3 Typology of risks • relies on the modules of the standard formula used
to calculate regulatory capital requirements in the
Ethias has drawn up a cartography of the different risks in
Solvency II framework (in blue in the diagram)
order to ensure a common and shared comprehension of the
risks managed by the company. • is completed by the risks not covered by the
standard formula (in orange in the diagram).
The typology adopted by Ethias is presented in the diagrams
below and
Insurance risks Financial risks

Life underwriting Non-Life
risk underwriting risk SLT Health Non-SLT Health Market risk Counterparty risk Liquidity risk
Premium and
Mortality risk Catastrophe risk Interest rate risk Downgrade risk Market liquidity risk
reserve risk
Premium and Risk of funding
Longevity risk Catastrophe risk Mortality risk Stock (price) risk Default risk
reserve risk liquidity
Disability/ Termination risk
Expense risk Longevity risk Real estate assets risk
morbidity risk (redemption)
Disability/
Expense risk Spread risk
morbidity risk
Foreign currency
Revision risk Expense risk
exchange risk
Termination risk Revision risk Concentration risk
Termination risk
Catastrophe risk
(redemption)
15
Non-financial risks External and environmental risks (*)
Other
Operational risks non-financial risks Strategic and reputational risk
Business disruption Model risk
Workforce and active management Concentration risk
Violation of legal and regulatory obligations (Compliance)
Internal and external client satisfaction
Subcontracting consultancy and supply
Information security
Data privacy (GDPR)
Insurance fraud
Project
(*) This category includes external risks such as cyber attacks, ESG-related risks and pandemics.
II.4.4 Risk management policy II.4.5.1 Non-Life
Risk management within Ethias is materialized through II.4.5.1.1 Nature and extent of the risks
the setting up of various monitoring processes allowing
Non-Life underwriting risk
the identification, the monitoring and the reporting of the
The Non-Life underwriting risk is the risk ensuing from
different endured risks.
insurance liabilities in Non-Life, considering the covered risks
II.4.4.1 Risk appetite and the processes applied in the exercise of this activity.
The clear and definite expression of the organization's objectives • Premium and reserve risk
constitutes a prerequisite for all risk management and the The premium and reserve risk is the risk of loss or of adverse
company's objectives have to be formally listed up to the level change in the value of insurance liabilities, resulting from
of granularity that corresponds to the aimed risk analysis. changes in the triggering date, the frequency and the gravity
The company's risk appetite and its strategic objectives have of the insured events as well as the date of payment and the
to be consistent with each other. Risk appetite falls within total of the claim settlements. The definition also includes
the competence of the Board of Directors. In practice, it is the risk of loss or of adverse change in the value of insurance
proposed by the Chief Risk Officer, validated by the Executive liabilities, resulting from changes in the level, trend or
Committee and approved by the Board of Directors. The risk volatility of the expenses incurred in servicing insurance or
policies are the direct translation of the Board of Directors' reinsurance contracts. This risk takes the inflation and the
view in terms of risk appetite. Similar to the strategic objectives hyperinflation into account.
that are translated into operational objectives, risk appetite, • Catastrophe risk
as it has been approved by the Board of Directors, is equally The catastrophe risk is the risk of loss or of adverse change in
due to translate itself, through policies into operational the value of insurance liabilities, resulting from the significant
terms. Ethias' Risk Appetite, adapted to Solvency II, has been uncertainty related to the extreme or exceptional events
approved by the Board of Directors and it is based on six main and carrying some weight on the pricing and provisioning
axes: solvency, profitability, liquidity, operational excellence, assumptions.
client satisfaction and sustainability.
Special health underwriting risk
16 II.4.4.2 Stress testing and capital planning process The underwriting risk in Health is the risk ensuing from
Within the framework of the planning exercise, the company the underwriting of health insurance liabilities, whether it
regularly carries out an evaluation of its solvency (i.e. the is exerted or not on a technical basis similar to that of Life
adequacy of its internal equity to face its global risk profile). insurance, considering the covered risks and the processes
The exercise takes the specific risk profile into account: it applied in the exercise of this activity.
integrates the main risks and their interactions during the SLT Health (Similar to Life Techniques) underwriting risk
carrying out of stress tests. Stress tests are in themselves tools The SLT Health underwriting risk results from the underwriting of
for measuring specific risks. On a quarterly basis, spot stress health insurance liabilities pursued on a technical basis similar
tests are performed on the coverage ratio of the SCR. These to that of Life insurance. This module also includes the annuities
stress tests are either standardized sensitivity tests or impact resulting from Non-SLT Health (Non-Similar to Life Techniques)
tests adapted to the specific risk profile of the company. This contracts such as the workers' compensation contracts or
process also is a promotion tool and a means of spreading Accident contracts. The risks in this category are the same as
the "Risk Management" culture within all the departments of those under "Life Underwriting Risk", except Catastrophe Risk.
the company.
• Mortality risk
II.4.5 Insurance risks The mortality risk is the risk of loss or of adverse change in
the value of insurance liabilities, resulting from changes in the
All insurance companies are subject to risks arising from
level, trend or volatility of mortality rates, where an increase in
insurance contracts taken out. Those risks, gathered under
the mortality rate leads to an increase in the value of insurance
the name "Insurance risks" come either from the guarantees
liabilities.
offered by the different insurance products, or from the
very process of the insurance activity. Nevertheless, the • Longevity risk
risks relating to the various processes will be reclassified The longevity risk is the risk of loss or of adverse change in the
in strategic, business or operational risks according to the value of insurance liabilities, resulting from changes in the
various factors causing them. level, trend or volatility of mortality rates, where a decrease in
The insurance risks are mainly borne and managed at the the mortality rate leads to an increase in the value of insurance
level of Ethias SA. The other companies of the Group do not liabilities.
undertake insurance activities. Consequently, the sensitivity • Disability/morbidity risk
analyses in Life and Non-Life hereafter, are only carried out The disability/morbidity risk is the risk of loss or of adverse
on the level of Ethias SA. change in the value of insurance liabilities, resulting from
fluctuations in the level, trend or volatility of claims due to
In thousands of euros; 31 December 31 December
changes in sickness, disability, recovery, revalidation and 2021 2020
solely Ethias SA
morbidity rates.
• Expense risk
(13,968) (13,482)
The expense risk is the risk of loss or of adverse change in the Increase in internal claims
value of insurance liabilities, resulting from changes in the handling costs by 10%
level, trend or volatility of the expenses incurred in servicing
insurance or reinsurance SLT Health contracts. Increase by 5% in claims (54,460) (42,328)
• Revision risk
The revision risk, applicable to annuities, is the risk of loss
or of adverse change in the value of insurance liabilities,
II.4.5.2 Life
resulting from fluctuations in the level, trend or volatility of
the inflation rate, a change in the legal environment or in the II.4.5.2.1 Nature and extent of the risks
state of health of the individual. The revision risk applied to Life underwriting risk
annuities resulting from Non-SLT Health (Non-Similar to Life
The life underwriting risk is the risk ensuing from insurance
Techniques) contracts, is also classified under this risk.
liabilities in Life, considering the covered risks and the
• Termination risk processes applied in the exercise of this activity.
The termination risk is the risk of loss or of adverse change in • Mortality risk
the value of insurance liabilities, resulting from fluctuations
The mortality risk is the risk of loss or of adverse change in
in the level or volatility of the termination, maturity or renewal
rates for policies.
level, trend or volatility of mortality rates, where an increase in
Non-SLT Health (Non-Similar to Life Techniques) the mortality rate leads to an increase in the value of insurance
• Premium and reserve risk liabilities.
The premium and reserve risk is the risk of loss or of adverse • Longevity risk
change in the value of insurance liabilities, resulting from The longevity risk is the risk of loss or of adverse change in the 17
changes in the triggering date, the frequency and the gravity value of insurance liabilities, resulting from changes in the
of the insured events as well as the date of payment and the level, trend or volatility of mortality rates, where a decrease in
total of the claim settlements. The definition also includes the mortality rate leads to an increase in the value of insurance
the risk of loss or of adverse change in the value of insurance liabilities.
liabilities, resulting from changes in the level, trend or
• Disability/morbidity risk
volatility of the expenses incurred in servicing insurance or
reinsurance contracts. The disability/morbidity risk is the risk of loss or of adverse
change in the value of insurance liabilities, resulting from
• Termination risk
changes in the level, trend or volatility of disability, sickness,
The termination risk is the risk of loss or of adverse change in recovery, revalidation and morbidity rates.
the value of insurance liabilities, resulting from fluctuations
• Expense risk
in the level or volatility of the termination, maturity or renewal
rates for policies. The expense risk is the risk of loss or of adverse change in the
value of insurance liabilities, resulting from changes in the
• Catastrophe risk
level, trend or volatility of the expenses incurred in servicing
The catastrophe risk is the risk of loss or unfavourable change insurance (or reinsurance) SLT Health contracts.
in the value of the insurance liabilities, resulting from the
• Revision risk
considerable uncertainty, related to the unusual accumulation
of risks under such extreme circumstances. The revision risk is the risk of loss or of adverse change in the
value of insurance liabilities, resulting from a change in the
II.4.5.1.2 Sensitivity analysis legal environment or in the state of health of the individual.
The table hereafter shows the gross impact, excluding • Termination risk
reinsurance, of the sensitivity analyses on the income
The termination risk is the risk of loss or of adverse change in
statement. These estimates represent the effect resulting from
an increase in management costs or in claims frequency on
level, trend or volatility of the reduction, maturity, redemption
the evaluation of the Non-Life insurance contracts within the
rates and renewal rates of the policies.
framework of IFRS 4 (phase 1).
• Catastrophe risk
The catastrophe risk in Life is the risk of loss or adverse change
in the value of insurance liabilities resulting from the significant
uncertainty associated with extreme or irregular events.
II.4.5.2.2 Sensitivity analysis
The table below shows the gross impact of the sensitivity analyses on own funds. These estimates represent the effect induced
by the modification of various valuation assumptions on the evaluation of Life insurance and investment contracts within the
framework of IFRS 4 (phase 1). The shocks considered are those used by the company's management as part of the assessment
of Life insurance risks. The orders of magnitude used are similar to those identified within the framework of the Solvency II
standard.
In thousands of euros; includes impact on the ring-fenced funds 31 December 2021 31 December 2020
Mortality risk
Increase by 15 % in mortality 32,536 30,888
Longevity risk
Increase by 20 % in longevity (51,822) (58,977)
Expense risk
Increase in internal claims handling costs by 10% (42,587) (40,546)
Doubling of inflation relating to the base-case inflation vector (108,013) (51,714)
II.4.5.3 Concentration risk

The management team analyses the insurance activities of the Group and distinguishes two major segments of policy holders:
Public Bodies & Companies on the one hand, and Private Individuals, on the other hand.
• Public Bodies and Companies
Ethias is the privileged insurer of the Public Sector thanks to the exceptional knowhow it has developed during more than 100
years of partnership. Its insured parties include the Federal State, Regions and Communities, local public authorities (provinces,
cities and municipalities, public social welfare centres ...), public companies as well as thousands of intercommunity and semi-
public bodies, schools, hospitals, public interest organizations ...
18 For several years now, Ethias has also been making its competence and its expertise available to companies.
Ethias' positioning towards this category of policy holders explains the high concentration of premium income with regard to
Public Bodies and Companies.
• Private Individuals
Ethias, as a direct insurer, also offers a complete product range via a wide range of distribution channels to Private Individuals.
31 December 2021 31 December 2020
In thousands of euros Income Part of the income Income Part of the income
Non-Life insurance
Public bodies and Companies 808,583 30% 792,510 30%
Private Individuals 595,745 22% 589,507 22%
Gross premiums 1,404,328 52% 1,382,016 52%
Public bodies and Companies (31,852) -1% (30,905) -1%
Private Individuals (7,343) 0% (6,930) 0%
Premiums ceded to reinsurers (39,195) -1% (37,835) -1%
Public bodies and Companies 776,731 28% 761,605 28%
Net premiums 1,365,133 50% 1,344,182 50%
Life insurance
Public bodies and Companies 1,316,126 48% 1,296,296 48%
Gross premiums 1,362,541 50% 1,338,171 50%
Public bodies and Companies (1,362) 0% (1,506) 0%
Private Individuals - 0% - 0%
Premiums ceded to reinsurers (1,362) 0% (1,506) 0%
Public bodies and Companies 1,314,764 48% 1,294,791 48%
Net premiums 1,361,179 50% 1,336,665 50%
Total amount Life and
Non-Life insurance 2,726,312 100% 2,680,846 100% 19
II.4.5.4 Reinsurance
Reinsurance lies within the control process of the insurance risks.
It also contributes to the improvement of the solvency ratio.
Ethias SA’s main insurance risks concern non-life insurances, liability insurances (miscellaneous and motor vehicle), life/health
insurances and (natural or human-caused) catastrophe risks on people and/or goods.
These risks are covered by means of reinsurance treaties and facultative reinsurance contracts for the risks outside the treaties'
scope. The majority of these contracts are concluded on a non-proportional basis.
The reinsurance programmes are divided into three major parts: non-life insurances, liability insurances (miscellaneous &
motor vehicle) and life/health insurances (occupational accidents and death/disability insurances).
Each year, they are reassessed to meet the needs of production taking into account the reinsurance market and to hedge the
capacities required in the frame of Solvency II.
The price of reinsurance capacities was again on a downward trend, given the large capacities available.
There has been little change in reinsurance programmes between 2020 and 2021. Overall, the volume of premiums ceded by
Ethias SA has remained stable over the last few years.
II.4.6 Financial risks

Financial risk includes all the risks relating to the performance and the value of the financial assets. It holds:
• the counterparty risk which materializes itself in case of default of one of the counterparties of the company;
• the market risk which reflects the impact of the fluctuations and of the volatility
of the market prices of the company's assets and liabilities;
• the liquidity risk which measures the company's capacity to satisfy its
cash flow needs without prejudicing its daily activities.
II.4.6.1 Counterparty risk
II.4.6.1.1 Nature and extent of the risks
The counterparty risk reflects possible losses due to unexpected default or deterioration in the credit rating, of the insurance
company’s counterparties and debtors. The definition covers risk-mitigating contracts, such as reinsurance arrangements,
securitizations and derivatives, and receivables from intermediaries, as well as any other credit exposures which are not
covered in the spread risk module.
The counterparty risk can be subdivided into:
• Downgrade risk: downgrade risk is the risk of exposure to financial losses related to the downgrade
of a country or of a company in which the company has invested (directly or via a debt security),
of a counterparty of a financial transaction, (e.g. OTC contracts) or of a reinsurer.
• Default risk: default risk is the risk of exposure to financial losses related to the default of a country
or of a company in which the company has invested (directly or via a debt security), to the default of a
counterparty of a financial transaction, (e.g. loans or OTC contracts) or to the default of a reinsurer.
II.4.6.1.2 Maximum exposure and mitigation of credit risk

The table hereafter shows the credit risk to which the Group is exposed. It mentions the market value of the main categories
of financial assets.
Besides diversification and measures to avoid concentrations, credit risk can be reduced by coverages or by obtaining collaterals
or guarantees. The value of the collateral is determined by a cautious approach, based on several criteria including the nature
and the specific type of collateral as well as its liquidity and the volatility of its value. The breakdown of these collaterals and
guarantees obtained to cover the financial assets of the Group can also be found hereafter.
31 December 2021
Maximum Total amount
Real estate Unsecured
In thousands of euros, in market exposure to Cash Securities of received
properties exposure
value, at the Group's level credit risk guarantees
20 Available for sale 1,148,052 - - - - 1,148,052
Designated at fair value through profit or loss 147,267 - - - - 147,267
Held for trading 14,974 - - - - 14,974
Participating interests, shares

1,310,293 - - - - 1,310,293
and investment funds
Available for sale 14,811,752 - 167,593 - 167,593 14,644,159
Designated at fair value through profit or loss 286,665 - - - - 286,665
Bonds 15,098,417 - 167,593 - 167,593 14,930,825
Loans and deposits recognized
899,346 - - 231,068 231,068 668,278
at amortized cost
Other investments 899,346 - - 231,068 231,068 668,278
Held for trading 4 - - - - 4
Held for hedging purposes 288,276 1,020,000 - - 1,020,000 (731,724)
Derivative financial instruments 288,280 1,020,000 - - 1,020,000 (731,720)
Receivables arising from insurance
198,641 - - - - 198,641
operations or accepted reinsurance
Receivables arising from ceded
113,722 - 70,002 - 70,002 43,719
reinsurance operations
Other receivables 225,042 - 2,222 - 2,222 222,820
Cash and cash equivalents 455,300 - - - - 455,300
Total amount of exposure to credit risk 18,589,041 1,020,000 239,817 231,068 1,490,885 17,098,156
31 December 2020
Maximum Total amount

Real estate Unsecured
In thousands of euros, in market exposure to Cash Securities of received
properties exposure
value, at the Group's level credit risk guarantees
Available for sale 950,999 - 950,999

Designated at fair value through profit or loss 120,075 - 120,075
Held for trading 8,526 - - - - 8,526
Participating interests, shares
1,079,599 - - - - 1,079,599
and investment funds
Available for sale 15,195,536 342,773 342,773 14,852,762
Designated at fair value through profit or loss 310,143 - 310,143
Bonds 15,505,679 - 342,773 - 342,773 15,162,905
Loans and deposits recognized
669,275 266,088 266,088 403,187
at amortized cost
Other investments 669,275 - - 266,088 266,088 403,187
Held for trading 327 - - 327
Held for hedging purposes 28,411 28,721 28,721 (310)
Derivative financial instruments 28,738 28,721 - - 28,721 17
Receivables arising from insurance
217,848 3,322 3,322 214,526
operations or accepted reinsurance
124,132 111,104 111,104 13,028
Other receivables 171,669 3,916 3,916 167,752
Cash and cash equivalents 531,744 - 531,744
21
Total amount of exposure to credit risk 18,328,683 28,721 461,115 266,088 755,925 17,572,758
Assets held for hedging purposes are considered at their net risk position by issuer. Derivatives vis-à-vis a counterparty whose
net value is negative are therefore not included here because they have no credit risk exposure.
Participating interests, shares and investment funds
The breakdown of the Group's exposure towards price risk on shares can be found in chapter II. Report of the Board of Directors,
point 4.6.4.3.
Bonds
The bond portfolio of the Group contains a certain number of securities backed by various types of assets. It consists of covered
bonds, among other things.
Covered bonds are debt securities issued by a credit institution and whereof the payment is guaranteed by specifically dedicated
(or "hedging assets") assets. The holders of covered bonds have, in the event of insolvency of the issuer, a "dual recourse" on
the issuer's general assets on the one hand, and on the specifically dedicated assets, on the other hand. They represent 167.6
million euros on 31/12/2021 and 342.8 million euros on 31/12/2020.
Loans and deposits
The received guarantees linked with mortgages are limited to the outstanding balance in order to take the fair credit risk into
account.
As far as loans and deposits are concerned, up to now, there has been no revaluation of the guarantee.
Loans are granted in accordance with a well-defined credit investment policy.
Derivative financial assets
In 2021, the amount of collateral received relating to derivative products amounts to 1 million euros. The derivative financial
instruments at end-2021 are therefore fully covered by the collateral received.
Receivables
The breakdown of guarantees relating to the account receivables can be found in chapter VII. Notes relating to items not
included in the balance sheet, point 4.1.
The credit quality of the receivables is set out in Chapter V. Notes to the consolidated balance sheet, point 9.3.
II.4.6.2 Concentration risk
The concentration risk on the market risks includes the risk of additional losses borne by the company as a result of either, the
lack of diversification in its assets portfolio (losses increased by the concentration of investments in a geographical zone or
activity sector) or an important exposure to the default risk of one and only issuer of securities or of a group of related issuers.
II.4.6.2.1 Sectoral distribution

In order to manage the concentration at sectoral level of the financial assets, the financial limits system groups the assets
together per distinct asset class and defines an asset allocation strategy which allows a sound diversification.
In 2020 and 2021, the sectoral distribution of the shares and investment funds as well as of the bonds and similar securities
invested appears as follows:
Bonds and similar securities:
31 December 2021 - Breakdown by market value 31 December 2020 - Breakdown by market value
n Raw n Cyclical n Raw n Cyclical

materials 2% materials 2%
n Mortgage 0% n Mortgage 0%
securities n Real estate securities n Real estate
0% 4% 0% 4%
n Energy n Funds n Energy n Funds
63+34+2115 64+14+4321
1% 3% 1% 2%
n Others n Others
n Non-cyclical 0% n Non-cyclical 1%
3% 3%
n Communications n Communications
2% 2%
n Industry n Industry
3% 3%
n Public Services n Public Services

4% 4%
22
n Governmental n Governmental
n Financial n Financial
63% 64%
15% 14%
Shares, participating interests and investment funds:
31 December 2021 - Breakdown by market value 31 December 2020 - Breakdown by market value
n Others n Technology
n Funds n Governmental n Funds n Others
0% 5%
15% 8% 4% 9%
n Technology
8+10+221618354715 13+26+192761549
n Diversified n Governmental
7% 1% 0%
n Non-cyclical
10% n Cyclical n Non-cyclical
n Diversified 13%
0% 6%
n Cyclical
4%
n Public Services
n Public Services 6%
5%
n Raw materials
n Raw materials n Real estate
n Real estate 2%
3% 26%
22%
n Energy n Energy
1% 0%
n Industry
n Industry 7%
8%
n Financial
n Financial n Communications
n Communications 19%
16% 2%
1%
II.4.6.2.2 Exposure to sovereign risk
At end-December 2021, the part invested in sovereign or supranational debt amounts to 68% of the total amount of the fair
value of all the bonds (i.e. 10,202.2 million euros on a total of 15,098.4 million euros). End-2020, this part amounted to 67%
(i.e. 10,426.4 million euros on a total of 15,505.7 million euros).
The table hereafter shows the exposure relating to debts issued or guaranteed by governments, in fair value, per geographical
zone.
In thousands of euros, in market value 31 December 2021 31 December 2020
Germany 687,135 403,191
Austria 182,849 174,182
Belgium 3,164,039 3,981,258
Spain 874,069 966,220
Central and Eastern Europe 559,857 565,218
France 1,383,082 1,519,345
Ireland 551,890 559,948
Italy 777,451 434,799
The Netherlands 13,820 20,677
Scandinavia 99,958 46,547
Portugal 806,847 847,423
Supranational securities 830,249 691,969
Others 266,467 215,598
Total 10,202,248 10,426,376

23
Within the framework of credit risk management, the details of sovereign risk exposure as mentioned above are analysed
whilst including all debts issued or guaranteed by governments without limitation to their activity sector. By way of example,
securities of companies active in public services but guaranteed by the Belgian state are considered as government and similar
debts. This explains why the total amount of sovereign risk exposure, 10,202.2 million euros per December 31, 2021 (against
10,426.4 million euros per December 31, 2020), is higher than the amount mentioned under the sector "Governmental", i.e.
9,462.3 million euros (against 9,935.9 million euros per December 31, 2020).
II.4.6.3 Liquidity risk

II.4.6.3.1 Nature and extent of the risks
We consider that the liquidity risk to which the Company is subject can be analysed in two distinct ways:
• Risk of market (il)liquidity: the risk of loss resulting from the fact that the company cannot easily compensate
or eliminate a position at market price because of inadequate market depth or market disruptions.
• Risk of funding (il)liquidity: the risk of loss resulting from the fact that the company
is not able to satisfy the need for present and future, expected and unexpected cash
flows, without affecting its day-to-day operations or its financial position.
On the whole, the liquidity risk is the risk of not being able to meet the demands, expected or not, issued by the insurants or
by other counterparties, without significantly burdening the profitability of the company.
This risk is analysed and monitored on a quarterly basis through comparisons between the contractual maturities of assets and
liabilities, making it possible to measure the impact of a change in repayment profiles mainly in liabilities.
II.4.6.3.2 ALM risks

A quarterly ALM report allows to diagnose the asset-liability management and the liquidity situation and to propose the
necessary corrective measures. This report is analysed by the ALCO committee. The conclusions are presented to the Executive
Committee which takes, if necessary, the corrective measures required and which determines the specific steering of certain
identified risks. A summary report is transmitted to the Board of Directors.
The ALCO Committee's mission is to contribute to the protection of Ethias in its aspects relating to profitability, liquidity and
Solvency II positioning. This committee is responsible for validating the strategies regarding ALM, investment, the investment
risk and for assuring their follow-up, for validating the strategic asset allocation (SAA), for ensuring the consistency with the
Risk Appetite.
II.4.6.3.3 Analysis of contractual maturities

The liquidity risk is analysed essentially within the company Ethias SA, which concentrates the majority of the Group's cash
flows and on the basis of which the liquidity risk is analysed and monitored by the management. The table below shows the
contractual cash flows expected by Ethias SA per category of financial assets and liabilities, grouped per maturity date.
31 December 2021
Expected cash flows (undiscounted)
Book Total amount

Between Between Between
value of undis- More than
Up to 1 year 1 and 5 6 and 10 11 and
counted 20 years
years years 20 years
In thousands of euros, only Ethias SA flows
Assets
Bonds and similar securities 15,087,818 16,601,190 2,158,587 4,360,645 3,622,365 3,876,708 2,582,884
Participating interests,
shares, investment funds 1,989,341 2,752,752 25,666 597,823 574,763 761,333 793,167
and investment property
Loans and deposits 1,033,766 872,403 30,800 56,875 71,094 311,086 402,548
Cash and cash equivalents 373,837 491,533 491,533 - - - -
Investments belonging to unit-

1,778,054 1,866,957 1,866,957 - - - -
linked insurance contracts
Derivatives 25,852 - - - - - -
Total assets 20,288,668 22,584,835 4,573,544 5,015,343 4,268,222 4,949,128 3,778,599

24
Liabilities
Insurance and investment

14,041,577 14,910,428 929,992 3,214,217 2,795,244 4,340,185 3,630,791
contract liabilities
Liabilities belonging to unit-

1,778,054 1,778,054 1,778,054 - - - -
Subordinated debts 494,777 596,884 22,783 541,236 1,310 2,619 28,936
Other financial debts 726,327 728,430 630,127 98,303 - - -
Derivatives 123,259 - - - - - -
Total liabilities 17,163,994 18,013,797 3,360,957 3,853,755 2,796,553 4,342,805 3,659,727

31 December 2020
Expected cash flows (undiscounted)
Book Total amount

Between Between
value of undis- Between 1 More than
Up to 1 year 6 and 10 11 and 20
counted and 5 years 20 years
years years
In thousands of euros, only Ethias SA flows
Assets
Bonds and similar securities 15,491,365 16,731,606 1,986,109 5,408,001 2,906,894 3,614,959 2,815,644
Participating interests,
shares, investment funds 1,709,147 2,368,767 45,380 257,124 745,544 729,778 590,941
and investment property
Loans and deposits 805,630 1,088,735 126,779 380,573 271,680 232,639 77,065
Cash and cash equivalents 479,793 479,793 479,793 - - - -

1,491,140 1,565,697 1,565,697 - - - -
Derivatives 29,376 - - - - - -
Total assets 20,006,452 22,234,599 4,203,759 6,045,698 3,924,117 4,577,376 3,483,649
Liabilities

14,224,094 14,635,822 2,221,627 3,655,001 2,484,084 3,528,841 2,746,269
Liabilities belonging to unit-

1,491,140 1,491,140 1,491,140 - - - -
Subordinated debts 491,364 614,441 23,271 160,618 424,234 3,014 3,304 25
Other financial debts 622,201 618,959 416,055 202,904 - - -
Derivatives 925 - - - - - -
Total liabilities 16,829,724 17,360,362 4,152,093 4,018,523 2,908,318 3,531,855 2,749,573
The projection of cash flows is based on several assumptions. These have been changed between 2020 and 2021, no longer
taking into account in the methodology of planned reinvestments. The differences between the two tables can be explained
by this change in methodology.
Financial assets
The portfolios are projected in run-off and by asset class in order to reproduce more realistically the liquidity flows actually
expected. Term assets such as bonds and loans have their cash flows calculated according to their maturities and coupon rates.
Cash and Branch 23 are considered as flows below one year.
In addition, for the majority of assets in the following classes: equities - participating interests - bond funds - investment
properties, cash flows have been projected assuming that these asset classes would follow an extinction profile similar to
that of insurance and investment contracts. Hence, a decreasing profile is applied to these assets similar to the profile of the
liabilities to which they are backed. By internal conventions, these assets are only liquid from the second year of projection
and a recurring income rate of 3% is incorporated in their extinction profile.
We also note that actual maturities may differ from contractual maturities because certain assets are accompanied by early
redemption clauses, with or without penalties, or maturity extension clauses.
Liabilities
Only contractual future premiums are taken into account, including for the Non-Life activities, and the expected cash flows on
insurance contracts are based on the repurchase assumptions defined internally.
Repos
In 2020 and 2021, the repo margin strategy was put in place to anticipate investments and the reimbursement plan depends
mainly on bond maturities.
Derivative instruments
Only hedges giving rise to an exchange of cash at maturity have been taken into account in our analyses.
II.4.6.4 Market risk
The market risk reflects the risk related to the volatility level in the market value of the financial instruments which have an
impact on the value of assets and liabilities of the company concerned.
It covers interest rate risk (sensitivity to changes in the interest rate curve), stock price risk (sensitivity to changes in the level
or volatility of the stock market value), risk on real estate assets (sensitivity to changes in the level or volatility of the market
value of real estate assets), spread risk (sensitivity to changes in the level or volatility of credit spreads related to the risk-free
interest rate curve), foreign exchange risk (sensitivity to changes in the level or volatility of exchange rates), as well as the
concentration risk.
Furthermore, the market risk reflects in principle the structural mismatch between assets and liabilities, in particular with
regard to their duration.
The market risk on financial investments related to unit-linked contracts is assumed by the policyholder. Financial investments
are not included in the different analyses below.
II.4.6.4.1 Interest rate risk

The interest rate risk is the risk associated with the sensitivity of the value of assets, liabilities and financial instruments to the
changes affecting the interest rate curve (including the slope) or the volatility of the interest rates.
Interest rate fluctuations can have an impact on the products marketed by the company, such as guarantees and bonuses, as
well as on the value of the company’s investments. This risk arises from the difference in sensitivity of assets and liabilities to
changes in interest rates.
The monitoring of the market risk is realized in two ways:
• At the asset level, monthly monitoring of the duration of the portfolio's bond positions;
• in terms of asset-liability management: systematic analysis of the duration and sensitivity gap between
assets and liabilities in order to reduce it as much as possible or, if necessary, to cover part of this risk.
II.4.6.4.2 Credit spread risk
26 The spread risk is the risk associated with the sensitivity of the value of assets and financial instruments to changes which
affect the level or volatility of credit spreads towards the risk-free interest rate curve.
The spread risk is managed through limits which take into account the type of exposure to the credit risk, and the quality of the
credit as well as through regular supervision of all portfolios. Concentration risk management also helps mitigate the spread risk.
The financial assets to which the spread risk relates are broken down below per credit rating. The amounts proposed are adjusted
with the amount of transactions between the companies of the Group.
We consider as reference rating the second best rating available from Moody's, Fitch and Standard & Poor's on the closing date.
31 December 2021
In thousands of euros
AAA AA A BBB BB and below No rating Total
In market value
Bonds and similar

981,789 5,619,720 2,763,415 4,762,042 172,261 799,188 15,098,417
securities
Loans and deposits - 20,088 121,483 - - 743,250 884,820
Receivables - - 513 - - 550,124 550,636
Cash and cash equivalents - 836 396,448 4 191 57,821 455,300
Total 981,789 5,640,644 3,281,859 4,762,046 172,453 2,150,382 16,989,174
31 December 2020
In thousands of euros
AAA AA A BBB BB and below No rating Total
In market value
Bonds and similar

816,637 6,444,242 2,721,842 4,637,957 174,425 710,577 15,505,679
securities
Loans and deposits - 14,506 68,158 - - 586,610 669,275
Receivables - - 47 - - 513,601 513,648
Cash and cash equivalents 207 52 489,657 - 323 41,505 531,744
Total 816,844 6,458,801 3,279,705 4,637,957 174,747 1,852,293 17,220,346
For "Bonds and similar securities", very few changes in rating are observed in 2021. The evolutions are due to reinvestments
(for example in AAA govies) and to the variation of the market values of investments.
II.4.6.4.3 Stock price risk

The share risk is the risk associated with the sensitivity of the value of financial instruments to changes which affect the level
of the market value of the shares.
The price risk relates to the overall position in the market value of the share in participating interests, shares and investment
funds. The overall position of the Ethias Group is shown in the below table.

% of the value % of the value
In thousands of euros, in market value Fair value Fair value
in the balance in the balance
Participating interests 133,831 0.63% 128,659 0.62%
Equities 728,625 3.44% 639,478 3.07%
Investment funds 447,837 2.12% 311,461 1.49%
Total 1,310,293 6.19% 1,079,599 5.18%
II.4.6.4.4 Price risk on investment properties

The risk on real estate is the risk associated with the sensitivity of the value of financial instruments to changes which affect
the level of the real estate assets’ market value.
In 2021, the market value of the Group's investment properties amounts to 643 million euros (i.e. 3.04% of total assets) against
645 million euros (i.e. 3.10% of total assets) in 2020.
II.4.6.4.5 Foreign currency exchange risk

The exchange risk (or currency risk) is the risk associated with the sensitivity of the value of financial instruments denominated
in foreign currencies to changes which affect the level of the currency exchange rates. The foreign currency exchange risk is
limited for the Group. 27
II.4.6.5 Analysis of sensitivity to financial risks

The measurement and monitoring of each risk results in sensitivity analyses allowing to estimate the gross impact of stress
tests on the overall result as well as on the company's solvency.
The table hereafter shows the shocks taken into account when assessing the different types of risk as well as their impact on
the income statement and on other items of comprehensive income. The shocks considered are those used by the company's
management as part of market risk assessment. The orders of magnitude used are similar to those identified within the
framework of the Solvency II standard. The sensitivity analysis proposed is based on the portfolio of shares and bonds held by
Ethias SA. In the case of shares, the impact on the SICAV "Ethias Sustainable Investment Fund" (E.S.I.F), formerly "RTD Ethias
High Yield", is also taken into account. The amounts do not include the effects of the application of shadow accounting, nor
of the adequacy test for the technical provision.
31 December 2021
In thousands of euros; only Ethias SA (and plus Estimated impact on the Estimated impact on other
Ethias S.I.F. in the case of shares) income statement comprehensive income items
Interest rate risk (excluding derivatives)
Increase in the yield curve by 100 basis points (3,254) (1,404,333)
Decrease in the yield curve by 100 basis points 3,254 1,404,333
Credit spread risk
Increase in the credit spread by 100 basis points (7,968) (1,401,482)
Decrease in the credit spread by 100 basis points 7,968 1,401,482
Stock price risk
Stock price decrease by 39 % (87,308) (344,811)
Stock price increase by 39 % 51,906 378,938
31 December 2020
In thousands of euros; only Ethias SA (and plus Estimated impact on the Estimated impact on other
Ethias S.I.F. in the case of shares) income statement comprehensive income items
Interest rate risk (excluding derivatives)
Increase in the yield curve by 100 basis points (5,905) (1,404,559)
Decrease in the yield curve by 100 basis points 5,905 1,404,559
Credit spread risk
Increase in the credit spread by 100 basis points (5,836) (1,402,925)
Decrease in the credit spread by 100 basis points 5,836 1,402,925
Risque de prix sur actions
Stock price decrease by 39 % (100,772) (245,686)
Stock price increase by 39 % 42,141 304,985
Sensitivities to interest rates and credit spreads are stable II.4.7 Operational risks
compared to end-2020. In terms of equity risk: we are seeing,
The operational risk is described as “the risk of direct
in the event of a decline in equity levels, an increase in
or indirect loss resulting from an inadequacy or failure
sensitivities between other items of comprehensive income
attributable to procedures, processes, and people as well
(OCI) and P&L as equity exposure has increased in 2021. The
internal as external and to systems within the organization,
P&L impact in the event of an increase in stock prices is higher
or resulting from external events”.
at end-2021 compared to end-2020 because 2021 gave rise
External events are for instance natural disasters (fire,
to more impairments than in 2020.
flooding...), legal changes, strikers preventing access to the
Derivative hedging strategies are used in order to mitigate
workplace, etc.
Ethias' exposure to the risk of widening credit spreads on
The definition includes legal risk, but excludes strategic and
28 Belgian government bonds (bond futures contracts). Those
reputational risks.
relating to protection against the risk of falling interest rates
(swap futures contracts) expired in 2021. The estimated With regard to operational risks, Ethias carries out different
impact of these hedging derivatives at 31/12/2021 on types of risk assessment, namely:
the sensitivity of other items of comprehensive income is • operational risk assessment on activities
presented below. • operational risk assessment on projects
Impact related to forward bonds: • operational risk assessment on new products
• Increase in the credit spread by 100 • operational risk assessment on organizational changes
basis points: +129 million euros
• analysis of transversal operational risks impacting the
• Decrease in the credit spread by 100 achievement of the company's strategic objectives
basis points: -129 million euros
• analysis of information security risks and cyber risks.
These different impact levels have significantly increased
The Executive Committee directly monitors the operational
compared to 2020 following the new protections purchased
risk. It analyses and proposes guidelines for the corresponding
in 2021 also on Spain in addition to Belgium and France.
mitigation/management measures in accordance with Ethias'
The amounts included in this chapter do not include the effect risk management policy.
of the application of shadow accounting, nor of the adequacy
test for the technical provisions. The application of these two
accounting adjustments strongly offsets the sensitivity of the
result and of the OCI to market risks. Indeed, the application
of shadow accounting to these various shocks would imply
residual impacts on own funds that are much lower than the
amounts in the table. It should be noted that for the interest
rate effect or the spread effect on bonds, there would only be
a net impact on own funds of -394 million euros. It should also
be noted that the residual impact on own funds of the equity
shock on shares would be in the range of -121 million euros
(for the equity downward shock) and +131 million euros (for
the equity upward shock).
II.5 Information regarding recorded in the city of Ostend. For these regions, it is one of
the most violent of the last 20 years. A third storm arrived
environmental and on February 20, called “Franklin”, with heavy showers and
staffing matters gusty winds, also causing several damages and disruptions
Information relating to environmental and staffing matters in transportation.
is dealt with in the annual reports of Ethias SA (as well as The impact of these three successive storms is currently
in Ethias SA’s non-financial report that is appended to the estimated at 35 million euros before reinsurance.
annual report) and of its various subsidiaries. The Ethias group
would be nothing without the strength and commitment of II.7 Information on
its employees. circumstances which may
II.6 Events subsequent to the significantly impact the
date of the consolidated company's development
balance sheet II.7.1 Regulatory developments
- Solvency II
II.6.1 Dividend
A revision, on a broader scale than previously known, of
The Board of Directors of Ethias SA will propose to the General
the parameters used in the calculation of the solvency
Assembly of May 2022 the payment of a dividend of 105
requirement is envisaged for 2025. The European Insurance
million euros.
and Occupational Pensions Authority (EIOPA) had launched a
II.6.2 Ukraine-Russia war consultation with stakeholders in the course of 2019 in order
to identify the adjustments to be made in the calibration of
On February 24, 2022, Russia launched a massive military
the SCR in standard formula. These proposals aim at adapting
offensive against Ukraine. This worst-case scenario was
the Solvency II regime to the market developments and to
underestimated by the financial markets and is now affecting
incorporate the practical experience gained during the
risky assets in an increasing but differentiated way. At this
first years of its application. A Stress Testing exercise was
stage, it is difficult to say what the outcome of this conflict
organized by EIOPA in 2020 to assess the impact of certain 29
will be as the situation is evolving day by day.
developments on companies. Based on these results, EIOPA
According to our current estimates, our investment portfolio has proposed to the European Commission in 2021 the
is very resilient and the direct impact of the conflict in Ukraine transcription of certain measures into regulation.
on this portfolio should be relatively limited. Unrealized gains
Nevertheless, in order to best anticipate the impact of future
in equities should suffer in a differentiated way across sectors
regulatory changes on our ratio, Ethias participates in the
and issuers without changing our positioning on the issuers
working group of the Professional Union of Belgian Insurance
concerned. It should be noted that due to our exclusion policy,
Companies (Assuralia). In addition, Ethias carefully analyses
Ethias has little exposure to the energy sector. In corporate
the European Commission’s proposals in order to assess the
bonds, only one or two issuers active in gas transportation or
financial and organizational impacts.
distribution could be durably affected by this crisis, although
a default risk has not been clearly identified at this stage.
Finally, the credit spreads on bonds issued by countries
bordering Russia are widening, but our exposure to these II.8 Research & Development
countries is limited and European financial solidarity rules
out any risk of default on these countries. II.8.1 Innovation and product
To conclude, it is possible that this crisis will have indirect development
impacts on a number of positions. If this conflict becomes
II.8.1.1 Flora
entrenched, it will have an impact on growth as well as on
consumer and investor confidence within an increasingly After a successful launch in September 2020
inflationary environment. These indirect effects are currently and an initial Tenant Insurance offering, Flora
being further analysed. has distinguished itself by offering an innovative solution for
co-housers in the fall of 2021. Flora, the first 100% digital
II.6.3 Storms Insurtech covering the entire insurance value chain in
Belgium was heavily affected by storms during February 2022. Belgium, is positioned as a complementary distribution
After the storm “Dudley” passed over Belgium on February channel for Ethias by targeting digital seekers.
16, 2022 creating significant damage, Northern Europe was II.8.1.2 Development of products and services
again hit by a storm even more intense on Friday, February 18,
Ethias continues its commitment to innovation in both
named “Eunice”. It was particularly severe in the west of our
products and services to best meet the needs of its clients
country and along the coast line, with a gust of 133.3 km/h
and the general public. In addition to Flora (mentioned above), to meet their legal obligations.
Ethias has also developed several innovative services by • All of these services are now available on a
capitalizing on the complementary nature of the skills within marketplace (https://solutions.ethias.be/
its IT subsidiary NRB, its subsidiary IMA Benelux specialized fr/) that was launched in September 2021. The
in assistance services or its subsidiary Ethias Services: projects can be seen and are explained within our
• Home Services by Ethias: digital platform that enables Ethi'hub showcase (https://ethihub.be/fr/).
users (Ethias clients and non-clients) to order services
for making small repairs or doing work in their house II.8.1.3 Data Technology investments
(various services relating to heating, locksmithing, Ethias is strengthening its Data programme initiated in 2021
sanitary fittings and plumbing, electricity, woodwork ...). through developments aimed at centralizing data in a single,
• Sharonomy: a downloadable smartphone solution governed environment to support the company's strategic
that allows the client to send photos of their used data ambitions.
vehicle and thus avoid the physical presentation of the
vehicle before taking out property damage insurance;
II.8.2 Technological developments
Ethias continues to strengthen its position as the n° 1 Direct
• Assist On Demand: possibility of using a digital
insurer, the n° 1 Digital insurer and the n° 1 insurer for Public
pathway to call for a breakdown mechanic when
Bodies. In this context, we are pursuing our IT transformation
one does not have road assistance coverage;
programmes:
• LibertyRider: a guardian angel application
• Ethias' IT services are reinforced by a centralization
for motorcyclists, which is offered to all
at group level at our subsidiary NRB, with a new
motorcycle insurance holders;
multi-year contract that allows us to establish a
• Improvements to the customer experience long-term vision with control of IT expenses while
(additional functionalities in the Client Zone maintaining ambitious investments to support
and in Ethias Connect, a digital space dedicated our strategic vision. An agile approach is being
respectively to B2C and B2B clients); launched to increase our overall agility.
• In Health: • The "Century” programme has enabled the production
30 - Ethias has started, in collaboration with Masana of the new tool for managing Car and Fire claims.
and several hospitals, a test programme • The “Digital” programme, which aims to offer Ethias'
of accompaniment and follow-up at home clients online services and innovative applications, has
for patients with various pathologies.
resulted in the creation of a new and modernized “Client

- Ethias is also partner of MoveUp in the Zone” that can be accessed via mobile platforms.
development of its follow-up programme • Several partnerships have been materialized
for bariatric surgery patients. through standardized interfaces (API).
- Ethias tested the service “Abi”, on a sample • In order to gain agility and responsiveness to the
of several thousand people, a solution of first needs of our markets, we have started a programme
medical orientation by text message. to modernize all existing legacy applications.
• For B2B clients, Ethias Services now offers: • Ethias has deployed an action plan on data
- a web and mobile mapping software, management, focusing on data quality, data governance
dedicated to the inventory and maintenance and data exploitation to create value for our clients.
of playground spaces and equipment; Through our innovation initiatives, Ethias also follows the
- the EAP, an employee assistant programme latest technological developments in the market, with Flora
that provides telephone access to a variety as a flagship achievement.
of services (professional and private); Certain developments have been the subject of deductions
- individual psychological support, which was in the context of tax incentive measures for research and
specifically aimed at students (during the development.
lockdown) or the victims of the July floods, but
which is also relevant in the context of work-related II.9 Other activities of the Group
accidents or guaranteed income insurances;
The net profit (loss) of the other activities of the Group is
- a professional reintegration service following an
mainly generated by the NRB Group, by the company “Ethias
accident or a long-term illness or burn-outs;
Sustainable Investment Fund SA” (ESIF) and by the real estate
- a cybersecurity service that allows companies to subsidiaries.
remedy a low level of protection against cyber risks;
In March 2021, NRB pursued its growth strategy in pillar
- fire risk audits and prevention measures 3 with the acquisition of SDP, a company developing the
to enable companies and public services “Actalibra” software package for notaries in the field of
accounting and document management. In March, the NRB The consolidated operating result amounts to 63.9 million
Group also acquired the minority shares of Computerland and euros as at December 31, 2021, i.e. an increase by 42%
became the sole shareholder of the SME pillar. In May, NRB compared to the previous year. This variation (+19 million
expanded its service offering within pillar 1 with the Salesforce euros) is mainly explained by (1) the impact of COVID-19 on
solution by founding the company Together Services with the reduction of external costs (fuel, representation costs,
Cronos. In October, Zorgi expanded its competencies with the etc.) and on the decrease in absenteeism, (2) the reversal of
“Nurseflow” application thanks to the transfer of Mobitrace provisions for risks and charges on "Microfocus" and on clients
activities. In January 2022, pillar 1 strengthened the Salesforce projects, accentuated by the absence of problems identified
business and developed a new “Change Management” service on the 2021 projects, (3) the increase in other operating
offering with the acquisition of Ink Consulting. income with an amount of 4 million euros recognized for a
As part of the reorganization of the NRB group, the merger higher recovery of expenses, (4) organic growth and (5) by the
of Ucon with NRB was carried out on January 1, 2021, as well acquisitions made (+3.4 million euros). This growth is partially
as the transfer of universality (followed by the liquidation) of offset by a delay in turnover and a provision for additional
Trasys International GEIE. Furthermore, Trasys Luxembourg costs on the “S/4 HANA” migration project (-1.5 million euros)
and NRB have merged with effect from 1 January 2022 with for hospitals.
the establishment of a Luxembourg branch. The NRB Group’s net result, in BGAAP, amounts to 40.8 million
The NRB group's turnover (including work in progress) reached euros (i.e. an increase by 42% compared to the previous year).
501.6 million euros and increased by 88.1 million euros The NRB sub-group contributes 51.5 million euros to the
(+21.3%) compared with 2020. Organic growth is up 10.8% consolidated result, including 19.7 million euros in third-
(+44.8 million euros) compared to 2020, while growth due party interests.
to new acquisitions amounts to 10.5% (+43.3 million euros). Regarding the real estate subsidiaries and ESIF, there were
no major events during 2021.
II.10 Governance report1

II.10.1 Composition of the bodies 31
II.10.1.1 The Executive Committee
Name Function
Philippe Lallemand Chairman - Chief Executive Officer
Benoît Verwilghen[1] Vice-President - Chief Operating Officer Life
Cécile Flandre[2] Member - Chief Financial Officer
Wilfried Neven[3] Vice-President- Chief Customer Experience Officer
Nicolas Dumazy[3] Member - Chief Strategy & Data Officer
Maryline Serafin [3]

Member - Chief Financial Officer
Benoît-Laurent Yerna Member - Chief Risk Officer
Luc Kranzen Member - Chief Claims & Delight Officer
Joris Laenen[3] Member - Chief Investment & Life Officer
Izabella Molnar [4]

Member - Chief Digital & Transformation Officer
[1] Until 30/11/2021 • [2] Until 25/11/2021 • [3] As from 01/12/2021 • [4] As from 15/12/2021
1 Situation as of 31/12/2021
II.10.1.2 The Board of Directors
Name Function
Myriam Van Varenbergh Chair
Jacques Braggaar Director
Marc Descheemaecker Director
Kathleen Desmedt Director
Philippe Donnay[5] (Independent) Director
Olivier Henin Director
Ingrid Loos (Independent) Director
Claude Melen[6] (Independent) Director
Marc Meurant Director
Philip Neyt Director
Anne-Marie Seeuws (Independent) Director
Karl Van Borm Director
Bruno van Lierde (Independent) Director
Philippe Lallemand Director
Benoît Verwilghen[1] Director
Cécile Flandre [2]
Director
Wilfried Neven[3] Director
Maryline Serafin [3]
Director
Benoît-Laurent Yerna Director
[1] Until 30/11/2021 • [2] Until 25/11/2021 • [3] As from 01/12/2021 • [5] Until 22/10/2021 • [6] As from 25/11/2021
II.10.1.3 The Audit and Risk Committee

32 Name Function
Bruno van Lierde Chairman
Marc Descheemaecker Member
Philippe Donnay[5] Member

Ingrid Loos Member
Claude Melen [6]
Member
Marc Meurant Member
[5] Until 22/10/2021 • [6] As from 25/11/2021
II.10.1.4 The Appointments and Remuneration Committee
Name Function
Myriam Van Varenbergh Chair
Jacques Braggaar Member
Olivier Henin Member
Anne-Marie Seeuws Member
II.10.1.5 The Statutory Auditor

PwC – Réviseurs d’entreprises SRL – Culliganlaan 5 – B-1831 Machelen
Represented by T. Meuleman, Accredited Auditor A01894 - Appointed for fiscal years 2020, 2021 and 2022.
II.10.2 External offices exercised by the leaders of the Group

In accordance with the CBFA circular PPB-2006-13-CPB-CPA on the exercise of external functions by the leaders of insurance
companies, we publish a list with the external offices exercised by the directors and the members of the Executive Committee
of Ethias SA in other companies than those with which Ethias SA establishes a close relationship.
Are not included in the list of external offices exercised in collective investment undertakings: asset-holding companies and
so-called "management companies".
II.10.2.1 Directors of Ethias SA
Name Company Registered office Field of activity Office exercised
Braggaar Jacques Mutualité Solidaris Mons- rue du Fort 48 Health insurance fund Director
Wallonie picarde 7800 Ath
Descheemaecker Marc GIMV Karel Oomsstraat 37 Investments Director and member of the
(listed bonds and stocks) 2018 Antwerpen Audit & Risk Committee
De Lijn Motstraat 20 Public transport Chairman of the Board of
2800 Mechelen Directors, member of the
Audit & Risk Committee and
member of the Appointments
& Remuneration Committee
European Investment Bank 98-100 boulevard Investments and credits Director
Konrad Adenauer
(listed bonds) L-2950 Luxembourg
European Investment Fund 37b avenue J.F. Kennedy Investments and credits Director
L-2968 Luxembourg
Henin Olivier Fedimmo Chaussée de Wavre 1945 Property management Chairman of the Board of Directors
1160 Bruxelles
Sabena Aerospace Avenue E. Mounier 2 Aeronautical and space Director and CFO
1200 Bruxelles maintenance
Blueberry Avenue E. Mounier 2 Financial holding Director and CFO
1200 Bruxelles
SABCA Chaussée de Haecht 1470 Engeneering Director
1130 Bruxelles
Dôme Invest Rue des Olympiades 2 Financial holding Independent director
6000 Charleroi
Stemme Belgium Rue Capt. Aviateur Jacquet 44 Aeronautics Independent director
5020 Namur
Loos Ingrid Universiteit Antwerpen Prinsstraat 13 Education Director
2000 Antwerpen
Meurant Marc Smart Plan Rue de Linthout 120 Insurance intermediation Chairman of the Board of Directors
1040 Bruxelles and brokerage
M.M.H. Boulevard A. de Fontaine 15 Insurance Executive Director
6000 Charleroi
Bessonnat Rue Jean Piret 1B Financial holding Chairman of the Board of Directors 33
L-2350 Luxembourg
Scottish Widows Europe Avenue du Bois 1 Insurance Director, chairman of the
L-1251 Luxembourg Audit & Risk Committee
AMIFOR Galerie du Centre Insurance Chairman of the Board of Directors
1000 Bruxelles
CPH Life Rue Perdue 7 Insurance Director
7500 Tournai
The Ring Ring Company Culliganlaan 2/F Communication Director
1831 Diegem
Neyt Philip Curalia Rue Archimède 61 Insurance Director
1000 Bruxelles
Ghelamco Invest Zwaanhofweg 10 Real estate investments Director
(listed bonds) 8900 Ieper
Van Lierde Bruno Sopartec Place de l’université 1 Investments Chairman of the Board
1348 Louvain-la-Neuve of Directors, chairman
of the Appointments &
Remuneration Committee
Tempora Rue des Anciens Etangs 44-46 Design and management of Chairman of the Board of Directors
1170 Bruxelles exhibitions and cultural sites
Buy Way Rue de l’Evêque 26 Credits Chairman of the Board
1000 Bruxelles of Directors, chairman
Cliniques de l’Europe Avenue Defré 2016 Hospitals Chairman of the Board
1180 Bruxelles of Directors, chairman
Univercells Rue Auguste Piccard Pharmaceuticals Chairman of the Strategy
48, 6041 Charleroi Committee
VIVES Inter University Fund Place de l’université 1 Investments Director
1348 Louvain-la-Neuve
Lloyd’s Insurance Company Bastion Tower Insurance Chairman of the Board of
Etages 13&14 Directors, member of the
Audit & Risk Committee and
chairman ofthe Appointments
& Remuneration Committee
Melen Claude Brussels South Rue des Frères Wright 8 Airport Director, chairman of the
Charleroi Airport 6041 Charleroi Audit & Risk Committee
II.10.2.2 Effective leaders of Ethias SA
Name Company Registered office Field of activity Office exercised
Lallemand Philippe Safran Aero Boosters route de Liers 121 Aircraft and space construction Director
(listed bonds and stocks) 4041 Herstal
Assuralia Square de Meeûs 29 Insurance Member of the Executive
1000 Bruxelles Committee and Director
Neven Wilfried Xior Student Housing Mechelsesteenweg 34 Real estate Independent director
(listed stocks) 2018 Antwerpen
Euresa Rue Royale 151 Insurance Director
1210 Bruxelles
Dumazy Nicolas Noshaq Rue Lambert Lombard 3 Investments Director
4000 Liège
Kranzen Luc Euresa Rue Royale 151 Insurance Director
1210 Bruxelles
Laenen Joris GIMV Health & Care Karel Oomsstraat 37 Investments Director
2018 Antwerpen
Molnar Izabella IME Services & Consulting Everbergstraat 72 Services and advice Statutory manager
3071 Erps-Kwerps to businesses
II.10.3 Justification for the independence corporate governance issues. Ms. Loos is also an independent
and competence of the member of the audit committee of the "Groep Stad Antwerpen"
(City of Antwerp) and a director of the University of Antwerp.
members of the Audit and Risk
She also meets the independence criteria set out in article 15,
Committee of Ethias SA 94° of the law of March 13, 2016 on the status and supervision
The Audit and Risk Committee is composed of five non- of insurance or reinsurance undertakings.
executive directors, amongst whom three independent
Mr. Descheemaecker has a degree in applied economics and a
directors.
post-graduate degree in European Economic Studies. He was
34 The Audit and Risk Committee is chaired by Bruno van Lierde executive vice-president of the ISS Group, managing director of
and is also composed of Ingrid Loos, Marc Descheemaecker, ISS Belgium, Director of Vitrufin (liquidated on 25/10/2019),
Marc Meurant and Claude Melen. chairman of the board of directors of Brussels Airport Company
Mr. van Lierde is a graduate in law and economics (UC and managing director, director and chairman of the SNCB/
Louvain), and has completed the Stanford Executive NMBS Audit Committee. He is currently chairman of the board
Programme. He has extensive experience in financial services, of directors of De Lijn and director of the EIB, EIF and GIMV.
having advised, as Senior Partner and Managing Director of Mr. Meurant is a civil engineer in applied mathematics and
the Boston Consulting Group, the general management of has a degree in actuarial sciences. He has acquired a solid
banks and insurance companies on strategy, mergers and experience in the insurance world, having been a member of
acquisitions, organization, major change and performance the executive committee and then CEO of Winterthur-Europe
improvement programmes. He is chairman of the Board of Assurances for Belgium and Luxembourg. He was then CEO of
Directors of Buy Way, Inventures II SDG Growth Fund, Lloyd's CPH Life where he led, among other things, the implementation
Insurance Company, Sopartec, Tempora, as well as the non- of the SII regulation. He was also a director of BBL Life and BBL
profit organizations “Cliniques de l'Europe”, “H. Uni” and Insurance, Touring Assurances, Atelia, Verheyen, Winterhur
“SOS Children's Village” (Belgium). He is also a board member Czech Republic and a member of the Executive Committee
of NRB, Ring Ring and Vives Inter University Fund, managing of Assuralia. Mr. Meurant is also currently chairman of the
director of SMA and chairman of the Strategic Committee of Board of Directors of Amifor, Smart Plan and Bessonnat, risk
Univercells. He is Professor of Strategy at the Solvay Brussels manager and executive director of M.M.H., director of CPH
School of Economics and Management. Mr. Van Lierde also Life and The Ring Ring Company, and director and chairman
meets the independence criteria set out in article 15 §1 of of the Audit and Risk Committee of Scottish Widows Europe.
the law of March 13, 2016 on the status and supervision of
Ms. Melen holds a licentiate in management sciences and
insurance or reinsurance undertakings.
has completed additional training in Analysis, Controlling
Ms. Loos holds a degree in applied economics, a master and Auditing. She is currently director and chairman of the
in economics and a master in change management (Sioo - Audit Committee of Brussels South Charleroi Airport and first
University of Utrecht-Amsterdam). She has made a career in the auditor of the Belgian Court of Audit. She also meets the
financial sector by holding senior positions in credit granting, independence criteria set out in article 15, 94° of the law of
financial engineering, risk management and internal audit. March 13, 2016 on the status and supervision of insurance
She was Secretary-General of the Fortis Group. She was also or reinsurance undertakings.
a director at PwC Belgium Advisory, where she was involved in
II.10.4 Justification for the competence Mr. Braggaar holds a bachelor’s degree in law and master's
of the members of the degree in criminology. He held the position of Head of HR-
Budget in various ministerial offices. He was Deputy Secretary
Appointments and Remuneration
General, member of the French-speaking and National
Committee of Ethias SA Management Committee of UNMS, where he was in charge
The Appointments and Remuneration Committee is composed of human resources management of the Directorate-General,
of four non-executive directors. It is chaired by Myriam Van and director of several non-profit associations linked to
Varenbergh, Chair of the Board of Directors, and is also mutual organizations. He was also a director and member
composed of Anne-Marie Seeuws, Jacques Braggaar and of Sowaer's Nomination and Remuneration Committee. He
Olivier Henin. held the position of Secretary General of Fonsoc PS and was
Ms. Van Varenbergh holds a law degree, a specialization in Government Commissioner for Wallimage SA and Wallimage
tax law and an additional degree in corporate law, as well as a Entreprises. He is currently Political Secretary of the PS group
degree in forensic medicine. She also briefly followed studies in the Senate and is a director of Solidaris. Mr. Braggaar has
in the United States. Ms. Van Varenbergh has been a Board a thorough knowledge of Ethias, having been a director of
member of NRB NV and the LUCA School of Arts for several SMAP, then of Ethias Droit Commun (now EthiasCo) and of
years. She was a member of the Superior Council of Justice, Vitrufin (liquidated on 25/10/2019).
of the Notary Nomination Commission and of the Flemish Mr. Henin is licensed in law and holds a DEA in economic law.
Council for Electoral Disputes. She was chair of the Council He was Cabinet Director of various Ministers, director of the
for Equal Opportunities between Men and Women, a board European Investment Bank, representative of the Minister
member of the Flemish Regulator for the Media, of Fluidda of Finance on the NBB’s Council of Regency, government
NV, of Vandenbussche NV, etc. She was also a board member commissioner on the Board of Directors of the Deposit and
/ member of the executive committee of Vitrufin (liquidated Financial Instrument Protection Fund, CFO of the SNCB/NMBS,
on 25/10/2019). director of Thi Factory, Eurogare, Lineas and Brussels Airport
Ms. Seeuws has a degree in applied economics. She has Company. He is currently chairman of the board of Fedimmo,
acquired solid experience in the insurance world, having vice-chairman of the SFPI, director and CFO of Sabena
been a director-member of the executive committee of Baloise Aerospace and of Blueberry, director of SABCA independent
Insurance, a director of Euromex Insurance, a director-member director of Dôme Invest and of Stemme Belgium. Mr. Henin is 35
and then chair of the executive committee of Nateus Life also chairman of the board of directors of EthiasCo.
Insurance, Nateus Insurance, Audi Insurance and a director
of Nateus Netherlands and Korfina Insurance. She also meets
the independence criteria set out in article 15, 94° of the law
of March 13, 2016 on the status and supervision of insurance
or reinsurance undertakings.
III CONSOLIDATED FINANCIAL STATEMENTS
III.1 Consolidated balance sheet
31 December 31 December
In thousands of euros Note 2021 2020
Goodwill V.1 74,079 71,593
Other intangible assets V.2 111,764 114,046
Operational buildings and other tangible fixed assets V.3 43,403 80,947
Right-of-use of assets V.4 62,341 34,873
Investments in associated companies V.5 57,494 26,156
Investment properties V.3 459,477 490,742
Financial assets available for sale 15,959,804 16,146,534
Financial assets at fair value through profit and loss 448,907 438,743
Loans, deposits and other financial investments recognized at amortized cost 884,905 646,262
Derivative financial instruments V.7 25,852 29,663
Investments belonging to unit-linked insurance contracts 1,778,054 1,491,140
Financial investments V.6 19,097,522 18,752,343
Reinsurers' share of technical provisions V.14 225,730 157,602
Deferred tax assets V.8 234 234
Receivables arising from insurance operations or accepted reinsurance V.9 198,641 217,848
36
Receivables arising from ceded reinsurance operations V.9 113,722 124,132
Other receivables V.9 238,274 171,669

Any other assets V.10 48,366 47,633
Cash and cash equivalents V.11 455,300 531,744
Assets available for sale including assets from discontinued operations V.12 - 18,868
Total assets 21,186,346 20,840,431

In thousands of euros Note 2021 2020
Share capital 1,000,000 1,000,000
Reserves and retained earnings 1,296,346 1,197,489
Net profit (loss) of the period 188,970 207,672
Other items of comprehensive income 524,236 599,117
Equity of the Group 3,009,552 3,004,278
Non-controlling interests 73,950 69,453
Total equity V.13 3,083,503 3,073,731
Insurance contract liabilities 9,038,974 9,067,276
Investment contract liabilities with discretionary participation features 4,899,693 4,997,580
Investment contract liabilities without discretionary participation features 3,244 3,227
Liabilities belonging to unit-linked insurance contracts 1,778,054 1,491,140
Profit sharing liabilities 43,099 39,666
Insurance and investment contract liabilities V.14 15,763,065 15,598,890
Subordinated debts V.15 491,107 487,694

37
Lease obligations due in more than one year V.15 42,680 21,794
Lease obligations due in less than one year V.15 18,832 13,285
Other financial debts V.15 771,577 685,061
Employee benefits V.16 243,268 285,032
Provisions V.17 24,401 27,967
Derivative financial instruments V.7 123,259 925
Tax liabilities payable V.18 56,051 32,589
Deferred tax liabilities V.8 37,730 87,295
Liabilities from operating activities V.18 257,593 283,426
Other payables V.18 273,283 242,742
Liabilities related to assets available for sale and discontinued operations V.12 - -
Total other liabilities 18,102,844 17,766,700
Total liabilities 21,186,346 20,840,431
The statements and notes of chapters III. to VI. form an integral part of the consolidated financial IFRS statements as at 31
December 2021.
III.2 Consolidated income statement
In thousands of euros Notes 2021 2020
Gross premiums VI.1 2,766,869 2,720,187
Premiums ceded to reinsurers VI.3 (40,556) (39,340)
Change in the provision for unearned premiums and outstanding risks (a) 230 (3,498)
Other income from insurance activities 4,404 5,307
Revenues from insurance activities (a) VI.1 2,730,947 2,682,655
Revenues from other activities VI.4 522,519 347,846
Net income from investments 395,005 387,108
Net realized gains or losses on investments 83,679 22,036
Change in fair value of investments through profit and loss (b) 143,296 29,456
Net financial income VI.5 621,980 438,600
NET REVENUES 3,875,445 3,469,101
Claims and insurance benefits 2,867,394 2,505,959

Net expenses or revenues ceded to reinsurers VI.3 (116,688) (23,975)
Management costs (c) 326,181 314,557
Technical expenses for insurance activities VI.2 3,076,887 2,796,541
Expenses for other activities VI.4 494,225 324,818
Change in depreciation and amortization on investments (net) VI.5 13,246 7,560
Other investment financial expenses VI.5 18,363 16,289
Finance costs VI.6 27,810 28,854
38
Financial and financing expenses 59,419 52,702
NET EXPENSES 3,630,532 3,174,061
Goodwill impairment - -
NET PROFIT (LOSS) BEFORE TAX 244,914 295,040
Income taxes VI.9 (35,322) (71,046)

NET PROFIT (LOSS) AFTER TAX 209,592 223,994
Share of the associated companies in the result (430) (769)
Net profit (loss) from discontinued operations - -
Net consolidated profit (loss) 209,162 223,225
Group’s share 188,970 207,672
a) Net of reinsurance
b) Including change in fair value of investments of which the financial risk is supported by the insured
c) Including contract acquisition costs, administration costs, internal claim handling costs and other technical expenses
III.3 Statement of consolidated comprehensive income
In thousands of euros 31 December 2021 31 December 2020
NET CONSOLIDATED PROFIT (LOSS) 209,162 223,225
Actuarial gains and losses on defined benefit pension liabilities 34,601 (25,029)
Tax (8,650) 6,257
Items that will not be reclassified to the income statement 25,951 (18,772)
Change in fair value of financial assets available for sale (128,893) 200,242
Change in fair value of derivative instruments
(30,925) (28,656)
designated as cash flow hedges
Tax 58,985 (44,221)
Items likely to be reclassified to the income statement (100,833) 127,366
TOTAL OF OTHER ITEMS OF COMPREHENSIVE INCOME OF THE FINANCIAL YEAR (74,882) 108,594
NET CONSOLIDATED COMPREHENSIVE INCOME ATTRIBUTABLE TO: 134,280 331,819

Group’s share 114,089 316,266
III.4 Consolidated cash flows statement

Net profit (loss) before tax (Total 1) 244,914 295,040
Depreciations and impairments on intangible and tangible assets V.2, V.3, V.4 50,596 55,976
39
Change in depreciations on financial instruments and investment properties V.3, V.6, VI.5 13,246 7,560
Change in fair value on investments through profit or loss V.6, VI.5 (143,296) (29,456)
Provisions for risks and expenses, and other liabilities V.17, VI.7 5,446 (15,264)
Change in provisions of insurance and investments contracts V.14 538,081 182,667
Deduction of amounts included in the current result
(404,165) (344,945)
before tax for inclusion in the actual cash flows
Corrections of the amounts that do not impact cash flows (Total 2) 59,907 (143,461)
Dividends and instalments on earned dividends 40,303 21,030
Earned financial income VI.5 366,371 388,444
Use of provision for employee benefits (15,205) (20,786)
Change in current receivables and debts V.9, V.18 23,440 (34,210)
Change in liabilities from insurance and investments contracts V.14 5,298 (308)
Tax paid (46,258) (31,384)
Other changes (Total 3) 373,949 322,785
Net cash flows from operating activities (Total 1+2+3) 678,770 474,364
Shares in subsidiaries, net of acquired cash in hand IV.3.1 (53,254) (32,100)
Acquisitions of financial assets and investment properties V.3, V.6 (4,588,799) (3,703,852)
Acquisitions of intangible and tangible fixed assets V.2, V.3, V.4 (66,221) (41,393)
Disposals of shares in subsidiaries, net of transferred cash IV.3.2 20,860 675
Disposals of financial assets and investment properties V.3, V.6 3,921,908 3,021,387
Disposals of intangible and tangible fixed assets V.2, V.3, V.4 40,493 3,812
Net cash flows from investing activities (725,012) (751,472)
Subscription to capital increase 4 -
Capital refund - -
Dividends paid by the parent company (103,000) -
Dividends paid to third parties (7,365) (5,775)
Issues of financial liabilities V.15 97 8,347
Refund of financial liabilities V.15 (17,245) (13,708)
Interests paid on financial liabilities VI.6 (25,071) (26,438)
Issuance of lease obligations V.15 37,078 15,151
Reimbursement of lease obligations V.15 (19,591) (16,029)
Interest paid on lease obligations VI.6 (408) (699)
Net cash flows from financing activities (135,501) (39,150)
Total cash flows (181,743) (316,258)
Cash or cash equivalents at the beginning of the period V.11 (90,464) 216,982
Cash or cash equivalents at the end of the period V.11 (271,027) (90,464)
Change in the cash accounts (181,743) (316,258)
Impacts of exchange rate differences of foreign
(10) 6,873
currency and of other transactions
Changes in accrued interests not yet due on cash equivalents 1,190 1,939
Change in cash (180,563) (307,446)
The line "Deduction of amounts included in the current result before tax for inclusion in the actual cash flows" mainly includes
40
dividends and financial income received that are recognized in the income statement.
III.5 Consolidated statement of changes in equity

2021
Unrealized Non-
Subscribed Result carried Equity of
gains and Others controlling Total equity
capital forward the Group
In thousands of euros losses interests
Equity as of 1 January 1,000,000 1,405,161 602,804 (3,686) 3,004,278 69,453 3,073,731
Net consolidated profit (loss) - 188,970 - - 188,970 20,192 209,162
Total of other items of comprehensive

- - (77,789) 2,907 (74,882) - (74,882)
income of the financial year
Other movements - - - - - - -
Net consolidated
comprehensive income - 188,970 (77,789) 2,907 114,089 20,192 134,280
Capital movements - - - - - 4 4
Dividends - (103,000) - - (103,000) (7,365) (110,365)
Change in the consolidation scope - (6,156) - - (6,156) (7,991) (14,148)
Other movements - 342 - - 342 (342) -
Equity as of 31 December 1,000,000 1,485,317 525,014 (779) 3,009,552 73,950 3,083,503

2020
Unrealized Non-
Subscribed Result carried Equity of
gains and Others controlling Total equity
capital forward the Group
In thousands of euros losses interests
Equity as of 1 January 1,000,000 1,197,212 464,881 25,642 2,687,735 65,374 2,753,109
Net consolidated profit (loss) - 207,672 - - 207,672 15,553 223,225
Total of other items of comprehensive

- - 137,923 (29,329) 108,594 - 108,594
income of the financial year
Net consolidated
comprehensive income - 207,672 137,923 (29,329) 316,266 15,553 331,819
Capital movements - - - - - - -
Dividends - - - - - (5,775) (5,775)
Change in the consolidation scope - 277 - - 277 (5,700) (5,423)
Equity as of 31 December 1,000,000 1,405,161 602,804 (3,686) 3,004,278 69,453 3,073,731
The column "Unrealized gains and losses” shows, after application of shadow accounting, the net change in unrealized gain
or loss recognized on available-for-sale assets, as well as the related deferred taxes.
The column "Others" mainly includes the reserve for actuarial gains and losses on pension obligations, net of taxes, and the
revaluations of the derivative hedging instruments.
The dividends distributed in 2021 are mainly composed of the dividend paid by Ethias SA to its shareholders (103 million euros)
and the dividends distributed outside the Group (7.4 million euros), mainly by the NRB sub-group.
41
In 2021, the line "Change in scope" includes a decrease in the Group’s equity as a result of changes in percentage of Computerland
and Air Properties. Minority interests are also impacted by these changes as well as by the integration of PDP and SDP in the
consolidation. In 2020, the line "Change in scope" includes an increase in the Group’s equity following the change in Xperthis
SA’s percentage resulting from the intra-group transfer of participating interests in the latter. Minority interests are also impacted
by this change as well as by the integration of People & Technology, the Computerland group, Infohos, the Prodata group and
Trigone in the consolidation.
IV GENERAL INFORMATION
IV.1 Legal structure
Its legal structure is as follows:
Federal State Walloon Region

Flemish Region EthiasCo
Through SFPI/FPIM Through SRIW
31,66% 31,66% 31,66% 5%
Ethias SA
68,39%
Subgroup NRB Real estate participations Other participations
Ethias SA centralizes all Life and Non-Life insurance activities.

Ethias SA is held by the Federal State through SFPI-FPIM, by the Walloon Region through SRIW, by the Flemish Region and by
EthiasCo (historical shareholder).
It is also the shareholder of several companies in the group, including Ethias Services (a service company specializing in pension
insurance in particular), NRB (IT company), IMA Benelux (service company specializing in assistance), Green4You (installation
42 and maintenance of renewable energy production equipment) and various real estate subsidiaries.
The main purpose of EthiasCo is the holding and management of participating interests. Among these, the most important
ones are Ethias SA, Socofe and VEH (both active in the energy sector).
IV.2 Consolidation scope

IV.2.1 List of the consolidated subsidiaries
Integration Control Integration Control
Country Sector Currency Change in scope
percentage percentage percentage percentage
Consolidating company :
Ethias S.A. Belgium Insurance EUR 100.00% 100.00% 100.00% 100.00%
Consolidated companies with 100 % consolidation :
Real estate subsidiaries
Change in
Air Properties Luxembourg Real estate EUR 64.56% 64.56% 51.00% 51.00%
percentage
Ankaret Invest Belgium Real estate EUR 100.00% 100.00% 100.00% 100.00%
Ariane Real Estate Belgium Real estate EUR 100.00% 100.00% 100.00% 100.00%
Bora Belgium Real estate EUR 100.00% 100.00% 100.00% 100.00%
Archeion Belgium Real estate EUR 100.00% 100.00% 100.00% 100.00%
Dockx Jan Belgium Real estate EUR 100.00% 100.00% 100.00% 100.00%
Ethias Patrimoine Belgium Real estate EUR 100.00% 100.00% 100.00% 100.00%
Foncière du Berlaymont Belgium Real estate EUR 100.00% 100.00% 100.00% 100.00%
Real Goed Invest Belgium Real estate EUR 100.00% 100.00% 100.00% 100.00%
Het Gehucht Belgium Real estate EUR 100.00% 100.00% 100.00% 100.00%
Immo Hofveld Belgium Real estate EUR 100.00% 100.00% 100.00% 100.00%
Immovivegnis Belgium Real estate EUR 100.00% 100.00% 100.00% 100.00%
Koala Belgium Real estate EUR 100.00% 100.00% 100.00% 100.00%

Les Hauts prés Belgium Real estate EUR 0.00% 0.00% 100.00% 100.00% Cession
Lothian Developments IV Belgium Real estate EUR 100.00% 100.00% 100.00% 100.00%
Naos Luxembourg Real estate EUR 67.00% 67.00% 67.00% 67.00%
Sagitta Belgium Real estate EUR 100.00% 100.00% 100.00% 100.00%
UP 38 Belgium Real estate EUR 100.00% 100.00% 100.00% 100.00%
Veran Real Estate Belgium Real estate EUR 100.00% 100.00% 100.00% 100.00%
NRB Group
Adinfo Belgium IT EUR 34.88% 51.00% 34.88% 51.00%
Afelio Belgium IT EUR 68.39% 100.00% 68.37% 100.00%
Change in
Altair Belgium IT EUR 68.39% 100.00% 53.39% 100.00%
percentage
Change in
Athena Informatic Belgium IT EUR 68.39% 100.00% 53.39% 100.00%
percentage
B-data Belgium IT EUR 34.88% 51.00% 34.88% 51.00%

Cevi Belgium IT EUR 34.88% 100.00% 34.88% 100.00%
Change in
Computerland Belgium IT EUR 68.39% 100.00% 53.38% 78.06%
percentage
Civadis Belgium IT EUR 34.88% 100.00% 34.88% 100.00%

Infohos Belgium IT EUR 49.24% 90.00% 49.24% 90.00%
Logins Belgium IT EUR 34.88% 100.00% 34.88% 100.00%
NRB Belgium IT EUR 68.39% 68.39% 68.39% 68.39%
Change in 43
Orda's Belgium IT EUR 68.39% 100.00% 53.39% 100.00%
percentage
Acquisition
PDP Belgium IT EUR 34.88% 100.00% 0.00% 0.00%
by Cevi
People & Technology Belgium IT EUR 68.39% 100.00% 68.39% 100.00%
Prodata Systems Belgium IT EUR 34.88% 100.00% 34.88% 100.00%
Absorbed by
Prodata Xpert Belgium IT EUR 0.00% 0.00% 34.88% 100.00%
Prodata Systems
Acquisition
SDP Belgium IT EUR 34.88% 100.00% 0.00% 0.00%
via PDP
Change in
SLM Belgium IT EUR 68.39% 100.00% 53.39% 100.00%
percentage
Siggis Belgium IT EUR 34.88% 100.00% 34.88% 100.00%

Trasys International G.E.I.E. Belgium IT EUR 0.00% 0.00% 68.39% 100.00% Absorbed by NRB
Trasys Luxembourg Luxembourg IT EUR 68.39% 100.00% 68.39% 100.00%

Trigone Informatique France IT EUR 68.39% 100.00% 68.39% 100.00%
Ucon Belgium IT EUR 0.00% 0.00% 68.39% 100.00% Absorbed by NRB
Xperthis Belgium IT EUR 49.24% 100.00% 49.24% 100.00%

Xperthis Group Belgium IT EUR 54.71% 80.00% 54.71% 80.00%
Others
Ethias Sustainable Invest.
Belgium Other EUR 100.00% 100.00% 100.00% 100.00%
Fund - Global Equities
Ethias Sustainable Invest.
Belgium Other EUR 100.00% 100.00% 100.00% 100.00%
Fund - High Yield
Ethias Services Belgium Other EUR 99.90% 99.90% 99.90% 99.90%
Associates and equity method :

Real estate subsidiaries
WLP Holding Belgium Real estate EUR 50.00% 50.00% 50.00% 50.00%
WLP I Germany Real estate EUR 25.00% 25.00% 25.00% 25.00%
WLP II Belgium Real estate EUR 50.00% 50.00% 50.00% 50.00%
WLP III Belgium Real estate EUR 50.00% 50.00% 50.00% 50.00%
Acquisition
WLP IV Belgium Real estate EUR 50.00% 50.00% 0.00% 0.00%
via WLP CVH
Acquisition
WLP VII Belgium Real estate EUR 50.00% 50.00% 0.00% 0.00%
via WLP CVH
WLP VIII Belgium Real estate EUR 50.00% 50.00% 50.00% 50.00%
Acquisition
WLP XI England Real estate GBP 50.00% 50.00% 0.00% 0.00%
via WLP CVH
Acquisition by
WLP CVH Belgium Real estate EUR 50.00% 50.00% 0.00% 0.00%
WLP Holding
Acquisition
WLP CV Belgium Real estate EUR 50.00% 50.00% 0.00% 0.00%
via WLP CVH
NRB Group
BelgiumDC Belgium IT EUR 34.19% 50.00% 34.19% 50.00%
Together Services Belgium IT EUR 34.19% 50.00% 0.00% 0.00% Creation by NRB
Others
IMA Benelux Belgium Other EUR 33.00% 33.00% 33.00% 33.00%
Creation by
Green4You Belgium Other EUR 26.00% 26.00% 0.00% 0.00%
44 Ethias SA
IV.3 Acquisitions and disposals of subsidiaries

IV.3.1 Assets and liabilities of companies acquired

Goodwill and other intangible assets 2,869 17,714
Investment properties 1,243 -
Financial investments - -
Reinsurers' share of technical provisions - -
Other assets and tangible fixed assets 7,187 35,141
Cash and cash equivalents 870 4,329
Insurance and investment contract liabilities - -
Financial debts (705) (15,350)
Provisions for risks and expenses - (102)
Other liabilities (3,254) (37,769)
Participating interests accounted for using the equity method 31,768 26,331
Changes in equity following acquisitions 6,156 (277)
Net assets acquired 54,124 35,718
Less: Acquired cash in hand (870) (4,339)
Less: Badwill - 722
Cash used for acquisitions 53,254 32,100
In 2020, Ethias SA acquired 33 % of the shares of IMA Benelux and 50% of the shares of WLP Holding. For its part, NRB, which
is continuing its expansion and growth strategy, acquired 100 % of the shares in People & Technology, 78 % of the shares
in Computerland, 90 % of the parts in Infohos, 51 % of the shares in B-data and 100% of the shares in Trigone. The net cash
flow relating to the acquisitions of 2020 amounts to -1 million euros for IMA Benelux, -26 million euros for WLP Holding, -3.5
million euros for People & Technology, -3.9 million euros for Computerland, 1,4 million euros for Infohos, 1.4 million euros for
B-data and -0.4 million euros for Trigone.
In 2021, NRB acquired an additional 22% of Computerland's shares, bringing its stake to 100%, and contributed 50% of Together
Services' capital. In addition, NRB participated in the capital increase of Belgium DC. For its part, Cevi acquired 100% of the
shares of PDP. For its part, Ethias contributed 26% of the capital of Green4You, acquired an additional 14% of the shares of
Air Properties (bringing its stake to 65%), and paid an additional price relating to the acquisition of 67% of the shares of Naos
in 2019. Finally, WLP Holding acquired 100% of the shares in WLP CVH. The net cash flow relating to the acquisitions of 2021
amounts -1.1 million euros for Computerland, -10.7 million euros for PDP, -0.1 million euros for Together Services, -0.3 million
euros for Belgium DC, -0.1 million euros for Green4You, -8.4 million euros for Air Properties, -1.2 million euros for Naos and
-31.3 million euros for WLP CVH.
IV.3.2 Assets and liabilities of divested companies

Intangible assets - -
Financial investments 16,984 2,843
Any other assets 1,580 5
Cash and cash equivalents 590 245
Financial debts (11,918) -
Provisions for risks and expenses - -
Other liabilities (1,077) (36)
Net assets divested 6,159 3,057
Gain/(loss) on disposals, net of tax 15,291 (2,137) 45
Net cash received related to disposals without loss of control - -
Transferred cash (590) (245)
Cash received for disposals 20,860 675
The amounts presented above correspond to the disposals of Les Hauts Prés in December 2021 and of Vecquim in January 2020.
IV.4 Presentation of the NRB subgroup

The NRB sub-group, of which 68% is owned by Ethias, is as follows:
* Including branches in Greece, UK, Luxembourg and Spain

The tables below present the consolidated statement of financial position, income statement and statement of comprehensive
income of the NRB sub-group, considered at 100%, in application of the IFRS standards.
The amounts shown under the heading "non-controlling interests" relate to the holders of interests in subsidiaries of the NRB
subgroup that do not give control to NRB. They received a dividend of 3.9 million euros in 2021 and of 2.6 million euros in
2020. In addition, the holders of NRB interests not giving control to Ethias received a dividend of 3.2 million euros in both
2021 and 2020.
IV.4.1 Consolidated balance sheet

Goodwill 80,127 76,492
Other intangible assets 14,461 16,593
Operational buildings and other tangible fixed assets 19,329 21,727
Right-of-use of assets 24,556 17,562
Investments in associated companies 998 628
Investment properties - -
Financial assets available for sale 50 210
Financial assets at fair value through profit and loss 23,587 22,938
Loans, deposits and other financial investments recognized at amortized cost 5,105 8,158
Financial investments 28,742 31,305
Deferred tax assets - -
Receivables arising from insurance operations or accepted reinsurance - -
Receivables arising from ceded reinsurance operations - -
Other receivables 111,933 100,851
Any other assets 47,245 45,349
46
Cash and cash equivalents 63,304 37,552
Assets available for sale including assets from discontinued operations - -
Total assets 390,695 348,061
Share capital 16,837 16,837

Reserves and retained earnings 122,800 98,793
Net profit (loss) of the period 46,455 31,635
Other items of comprehensive income 2 2
Equity of the Group 186,093 147,267
Total equity 200,923 168,052

Subordinated debts - -
Lease obligations due in more than one year 14,943 8,115
Lease obligations due in less than one year 9,728 9,640
Other financial debts 23,629 35,355
Employee benefits 2,175 1,693
Provisions 4,978 7,804
Derivative financial instruments - -
Tax liabilities payable 12,526 10,047
Deferred tax liabilities 610 662
Liabilities from operating activities - -
Other payables 121,183 106,693
Liabilities related to assets available for sale and discontinued operations - -
Total other liabilities 165,101 162,254
Total liabilities 390,695 348,061
IV.4.2 Consolidated income statement
Revenues from insurance activities - -
Revenues from other activities 530,349 435,508
Net income from investments 817 983
Net realized gains or losses on investments 1,646 1,065
Change in fair value of investments through profit and loss (a) (302) (2,166)
Net financial income 2,161 (117)
NET REVENUES 532,511 435,391
Technical expenses for insurance activities - -

Expenses for other activities 465,003 388,940
Change in depreciation and amortization on investments (net) 160 -
Other investment financial expenses 826 725
Finance costs 602 959
Financial and financing expenses 1,588 1,684
NET EXPENSES 466,592 390,624
Goodwill impairment - -
NET PROFIT (LOSS) BEFORE TAX 65,919 44,767
Income taxes (14,532) (8,471)

NET PROFIT (LOSS) AFTER TAX 51,387 36,296
Share of the associated companies in the result 55 34
47
Net consolidated profit (loss) 51,442 36,330
Group’s share 46,455 31,635
a) Including change in fair value of investments of which the financial risk is supported by the insured.
IV.4.3 Statement of consolidated comprehensive income

NET CONSOLIDATED PROFIT (LOSS) 51,442 36,330
Actuarial gains and losses on defined benefit pension liabilities - -
Tax - -
Items that will not be reclassified to the income statement - -
Change in fair value of financial assets available for sale - -
Change in fair value of derivative instruments designated as cash flow hedges - -
Tax - -
Items likely to be reclassified to the income statement - -
TOTAL OF OTHER ITEMS OF COMPREHENSIVE INCOME OF THE FINANCIAL YEAR - -
NET CONSOLIDATED COMPREHENSIVE INCOME ATTRIBUTABLE TO: 51,442 36,330

Group’s share 46,455 31,635
IV.5 Summary of significant was applied. In fact, the activities of Ethias and its subsidiaries
meet the criteria of paragraph 20B of the amendment to IFRS 4
accounting principles because they are mainly related to insurance. In this respect,
management has assessed that the Group has not applied any
IV.5.1 Basis of preparation of the previous version of IFRS 9 and, in accordance with paragraph
consolidated financial statements 20D of the amendment to IFRS 4, the total book value of the
Group's insurance-related liabilities for the year ended 31
IV.5.1.1 General principles
December 2015, as required by the standard for a year ending
The consolidated financial statements of the Group are before 01/04/2016, in relation to the total book value of all
established on the basis of the IFRS reference document its liabilities amounts to 95%, which is more than 90%. In
(International Financial Reporting Standards), as definitive, accordance with paragraph 20G of the amendment to IFRS 4,
in force on 31 December 2021, and adopted by the European there has been no change in the Group's activities that would
Union with effect as of that date. justify a revaluation.
The Group's consolidated financial statements are prepared Currently, the projects to implement IFRS 9 and IFRS 17 are
on a going concern basis, with the Solvency II margin ongoing.
remaining relatively stable despite the COVID-19 crisis (178%
To conclude, the Group follows the elaboration by the IASB
at 31 December 2021 compared to 187% at 31 December
of the main standards and interpretations that can have a
2020). They give an accurate image of the financial situation,
significant impact on the accounts.
the financial performances and the cash flows of the Group,
based on relevant, reliable, comparable and understandable IFRS 17 - Insurance Contracts
information. The accounts are presented in thousands of euros On 17 March 2020, the Board of IASB decided to postpone
and are rounded to the nearest thousand. the effective date to 1 January 2023. Earlier application is
The financial statements are established on the basis of a permitted for entities that, at the date of first-time adoption
historical cost approach, except for, in particular, insurance of IFRS 17, already apply or begin to apply IFRS 9 Financial
contract assets and liabilities, which are estimated according Instruments and IFRS 15 Revenue from Contracts with
to methods already applied by the Group in Belgian standards, Customers. Ethias will not make use of this early application
and for financial instruments estimated at fair value (financial option and will apply IFRS 9 and IFRS 17 as from financial years
48
instruments at fair value through profit or loss and available- beginning on or after 1 January 2023. The process of adopting
for-sale financial instruments). IFRS 17 is underway in the European Union. The version of the
IFRS standard currently being adopted is the one that follows
IV.5.1.2 New standards, amendments and the IASB's of amendments of June 2020.
interpretations published and IFRS 17 will fundamentally change the accounting for all
adopted since 1 January 2021 entities that issue insurance contracts and investment
The following new standards and interpretations, applicable contracts with discretionary participation features (currently
as from 1 January 2021, had no major incidence on the only Ethias SA).
consolidated accounts of the Group: The main change brought about by IFRS 17 is the introduction
• Amendments to IFRS 4; of a general model for measuring the profitability of insurance
contracts called BBA, “Building Block Approach”. This model
• Amendments to IFRS 7;
is based on a discounted estimate of future profits at the
• Amendments to IFRS 9. The “deferral option”,
time of subscription of the insurance contracts grouped in
which allows the deferred application at the same
annual cohorts. This estimate includes a risk adjustment to
time as IFRS 17, was used (see point IV.5.1.3);
incorporate the uncertainty of future flows.
• Amendments to IFRS 16;
In the case of profitable contracts, this method is used to
• Amendments to IAS 39. determine the Contractual Service Margin (CSM), which
The impact of these amendments to IFRS on our consolidated represents the estimate of future profits. This estimate of
financial statements at December 31, 2021 is not material. future profits will subsequently be taken into account in
the income statement over time. In the case of unprofitable
IV.5.1.3 Future standards and interpretations contracts, the expected loss will be taken into account at the
The Group has chosen to apply none of the new, revised or time of subscription.
amended standards for which the IFRS leave the choice to The IFRS 17 regulation also provides for 2 other valuation
anticipate or not their coming into force. models for insurance contracts: a simplified model (PAA,
Furthermore, the Group has made an analysis of the standards Premium Allocation Approach) which can be used under
and interpretations that will come into effect from January certain conditions, among others for contracts with a term of
1, 2022 onwards. The “deferral option”, which allows the one year or less, and a VFA model (Variable Fee Approach) for
deferred application of IFRS 9, at the same time as IFRS 17, contracts with profit-sharing.
Through the application of the BBA and VFA valuation models, IFRS 17 is a significant development in accounting valuation
the recognition of current insurance income (premium) will be rules that will have a fundamental impact on the Group's
replaced by a recognition of income as the service is rendered. methodology, processes, systems and reporting.
As a corollary to the introduction of IFRS 17, the standard for The IFRS 17 implementation project is still ongoing. The
the presentation of financial statements (IAS 1) will also be calculation tool acquired in 2020 has been implemented and
amended. This standard will change the way in which financial end-to-end tests are being finalized.
statements are presented by distinguishing insurance results IFRS 9 - Financial instruments
(Insurance Revenue and Insurance Expense) from financial
As noted above, the group meets the specific criteria for
results related to insurance contracts.
the temporary exemption offered to insurers to defer the
IFRS 17 also provides for retrospective application of the application of IFRS 9.
standard to insurance contracts in force and to obligations
In this context, IFRS 4 requires the presentation of certain
arising from insurance contracts. The transition method
information relating to assets classified as SPPI (“solely
depends on the availability of data and may influence the
payments of principal and interest”).
determination of the CSM of the current contracts (and
Changes in the fair value of financial instruments classified
therefore future insurance results) as well as the financial
as "SPPI" with respect to all the financial assets presented
expense of the insurance contracts (and therefore future
in point 6.2 of Chapter V. Notes to the consolidated balance
financial results).
sheet are set out below:
2021
Fair value through
other items of
Amortized cost Total
comprehensive
In thousands of euros income
Opening balance on 1 January 884,766 14,980,347 15,865,113
Acquisitions 792,040 1,569,696 2,361,736
Profits and losses realized on hedging instruments
- (24,280) (24,280) 49
not yet transferred to profit or loss
Disposals and reimbursements (109,498) (1,725,931) (1,835,429)
Foreign currency translation differences on monetary assets - - -
Adjustment at fair value (94,495) (623,860) (718,356)
Amortizations (6,674) (25,734) (32,408)
Changes in accrued interests not yet due 4,026 (121,424) (117,398)
Impairments 80 - 80
Other changes 2,114,572 (2,114,572) -
Net book value on 31 December 3,584,817 11,914,241 15,499,058
2020
Fair value through
other items of
Amortized cost Total
comprehensive
Opening balance on 1 January 744,743 13,882,226 14,626,969
Acquisitions 60,900 2,245,478 2,306,378
- (59,102) (59,102)
Disposals and reimbursements (49,816) (1,590,784) (1,640,600)
Foreign currency translation differences on monetary assets - 1 1
Adjustment at fair value 1,829 557,414 559,243
Amortizations - (48,797) (48,797)
Changes in accrued interests not yet due 127,066 (5,639) 121,427
Impairments 44 (450) (406)
Other changes - - -
Net book value on 31 December 884,766 14,980,347 15,865,113
The fair value of financial assets classified as "SPPI" in accordance with IFRS 9 that are neither held for trading nor recognized
on the basis of fair value (i.e. assets related to branch 23 contracts) amounts to 15,499 million euros at 31 December 2021
compared to 15,865 million euros at 31 December 2020. The increase is mainly due to reinvestments and the increase in fair
value.
The item "Other changes" corresponds to the alignment carried out for the opening of the transitional year under IFRS9 on
January 1, 2022 for the majority of first pillar contracts which will be accounted for at “amortized cost” (for the purpose of
aligning the liabilities which will be treated under IFRS9).
In addition to this information, the bonds classified as SPPI, listed under the heading "Bonds and similar securities" in the
table 4.6.4.2 of Chapter II. Report of the Board of Directors, are detailed in the table below:
31 December 2021
In thousands of euros AAA AA A BBB BB and below No rating Total
Bonds and similar
981,789 5,616,176 2,687,049 4,744,602 167,049 30,340 14,227,004
securities
31 December 2020
In thousands of euros AAA AA A BBB BB and below No rating Total
Bonds and similar
816,637 6,413,136 2,486,237 4,384,930 93,955 413,467 14,608,361
securities
The fair value of financial assets that meet the SPPI criteria, the power to direct the financial and operational policies. The
which are not recognized in FVTPL and whose credit risk is investor has to evaluate if he has or not the rights allowing
not low, represents a maximum exposure of 197 million to direct the relevant activities of the other entity. Even if
euros at 31/12/2021 under IFRS 9 (against 168 million the exposure to risks and advantages is a control indicator,
euros at 31/12/2020) due to the downgrading of a number this is not the only element that is taken into account for the
50
of securities. consolidation of all kinds of entities.
This amount includes only bonds that are below “investment An investor controls an issuing entity if and only if all the
grade” or have no rating. elements below are combined:
The rating used in this analysis is now an IFRS compliant rating (a) The investor has authority over the issuing entity.
that also takes into account our own internal rating changes. (b) He is exposed or is entitled to variable yields because of
It should be noted that the other SPPI assets not incorporated his links with the issuing entity.
in the above table, which include mortgage loans as well (c) He has the capacity to exert his authority over the issuing
as cash accounts, are assumed to have a low credit risk at entity so as to influence the amount of the yields which
31/12/2021. he obtains.
The accounts of a subsidiary are integrated into the
IV.5.2 Sector information
consolidated accounts of the Group as of the date on which
IFRS 8 - Operating Segments - requires the presentation of data
the parent company acquires control over the subsidiary until
relating to the Group's operating segments taken from internal
the date on which it ceases to have this control.
reporting and used by the Management in its investment
Intragroup transactions, balances and gains and losses on
decisions and performance assessment. For the Group, the
transactions between the companies of the Group have been
operating segments that meet the criteria of the standard
eliminated. Investments without control over the net assets
correspond to the following segments: Individuals - Non-life,
and net income are shown separately in the balance sheet
Individuals - Life, Public Bodies & Companies - Non-Life, Public
and the income statement. After the acquisition date, non-
Bodies & Companies - Life and Others.
controlling investments include the amount estimated at the
IV.5.3 Consolidation principles acquisition date and the share in equity changes since the
and methods acquisition date attributable to non-controlling investments.
The Group consolidates the entities of its scope by using the A joint venture is a contractual arrangement whereby two or
consolidation method according to the type of control it has more parties undertake an economic activity that is subject
on the entity. to joint control. Interests in joint ventures are recognized in
the consolidated accounts via the equity method.
The subsidiaries are the entities controlled by the Group.
Associated companies are entities over which the Group exerts
The definition of control implies that an investor can have
a significant influence on the financial and operational policies
authority over another entity in various ways, not only through
without having control over these policies. The consolidated assumed are measured at book value such as existing in the
accounts incorporate the Group's share of the results of such accounts of the subsidiary prior to the business combination.
companies using the equity method from the date on which the On the basis of the contractual rights and obligations of the
parent company acquires a significant influence until the date parties involved, the Group has concluded that there are no
on which it ceases to have such influence. When the Group's joint undertakings as defined in IFRS 11 and that all the joint
share in losses of an associate equals or exceeds its interest in agreements concluded by the Group can be classified as joint
the associate, the Group's book value is reduced to nil and the ventures.
Group's recognition of further losses is discontinued, except
to the extent that the Group has incurred legal or constructive IV.5.5 Foreign currency translation
obligations or made payments on behalf of the associate. and transactions
The amount of the Group's interests in associated companies
includes any goodwill (net of accumulated impairment) IV.5.5.1 Functional and reporting currency
identified at the time of the acquisition. The functional currency of the majority of the consolidated
companies within the Group is the euro. The euro is also the
IV.5.4 Business combinations Group's reporting currency.
Business acquisitions are accounted for using the acquisition For companies whose functional currency is not the euro, assets
method. The cost of an acquisition is measured as the fair value and liabilities are translated at the exchange rate applicable
of the assets given, equity instruments issued and liabilities at the date of the statement of financial position, and the
incurred or assumed (including contingent liabilities) at the income statement is translated at the average exchange rate
date of transaction. The excess of the cost of acquisition over of the ongoing financial year. Exchange differences resulting
the fair value of the Group's share in the identifiable net assets from these translations are recognized through other items of
acquired is recognized as goodwill. Acquisition-related costs comprehensive income.
are generally recognized through profit or loss when incurred.
The identifiable assets acquired and liabilities assumed are IV.5.5.2 Translations of foreign currency transactions
recognized at fair value at the acquisition date. Foreign currency transactions are translated into the functional
Non-controlling interests can be initially measured either currency using the exchange rates prevailing at the dates of
at fair value or at the proportionate share of the minority the transactions. Foreign exchange gains and losses resulting 51
interest in the acquiree’s identifiable net assets. The choice of from such transactions and from the translation at year-end
measurement is made on a transaction-by-transaction basis. exchange rates of monetary assets and liabilities denominated
The equity and net income attributable to the non-controlling in foreign currencies are recognized through profit or loss.
interests are shown separately in the balance sheet and Translation differences on non-monetary items measured at
income statement respectively. fair value through profit and loss are reported as part of the fair
When the consideration which the Group transfers in exchange value gain or loss. Non-monetary items are translated when
for the acquiree includes a variable part, the consideration their fair value is determined. Translation differences on non-
is measured at fair value at the date of acquisition and is monetary items measured at fair value through the revaluation
included as part of the consideration transferred in exchange reserve are included in the revaluation reserve in equity.
for the acquiree within the frame of a business combination.
Subsequent changes in the value of the consideration, if any,
IV.5.6 Intangible assets
are recognized in profit or loss.
IV.5.6.1 Goodwill
For associated companies, the goodwill is not separately
recognized but integrated into the amount of investments IV.5.6.1.1 Measurement
in the associated companies. If the acquisition price is less The goodwill, initially estimated at purchase price, represents
than the fair value of the Group's share in the net assets of the surplus part of the fair value of the consideration
the subsidiary acquired, the difference is directly recognized transferred with regard to:
through profit or loss. • the Group's share in the identifiable net assets
When a business combination is achieved in stages, the acquired and liabilities assumed, and
Group’s previously held equity interest in the acquiree is • the fair value of each interest previously
re-measured to fair value at the acquisition date and the held by the acquiree.
resulting gain or loss, if any, is recognized in profit or loss. A negative revaluation (negative goodwill) is recognized
Amounts arising from interests in the acquiree that prior to directly through profit or loss.
the acquisition date have been recognized in the equity are
Variations in the percentage of ownership in fully-consolidated
reclassified to profit or loss where such treatment would be
companies are considered as transactions with shareholders.
appropriate if that interest were disposed of.
Therefore neither fair value adjustments nor goodwill
When the Group conducts a business combination involving adjustments are made whenever the percentage increases or
entities under joint control, the assets acquired and liabilities
decreases take place without any change in the consolidation IV.5.7 Property and investment property
method.
The Group recognizes property (held for investment or
IV.5.6.1.2 Impairment operating purposes) in accordance with the cost method.
The carrying amount of goodwill is systematically reviewed Land and properties are recorded at acquisition value
each year. For this purpose, the Group allocates goodwill to including purchase costs and taxes. This value is increased
cash generating units or groups of such units with further capitalizable expenses, net of depreciation and
Goodwill is written down for impairment when the recoverable any impairment losses.
amount of the cash generating unit or group to which it has The properties and their various components are depreciated
been allocated is lower than the book value. separately over their estimated useful life. The depreciable
The recoverable amount is the highest amount between the amount is net of their residual value if it can be reliably
fair value net of the selling costs and the value in use. estimated.
The value in use is the sum of the future cash flows that are When a building is made up of components with different
expected to be derived from a cash generating unit. The useful lives, each component is depreciated separately over
expected future cash flows which the Group takes into account its estimated useful life. The Group has adopted the following
are derived from the financial multi-annual plan approved by components:
the management. Components Useful life
The calculation of the value in use shall also reflect the time Land Unrestricted
value of money (current market risk-free rate of interest) Structural work Between 80 and 100 years
adjusted for the price for bearing the uncertainty inherent in
Roof 25 years
the asset. This is reflected in the discount rate. The discount
External woodwork Between 30 and 40 years
rate which the Group takes into account is the average cost
Special techniques 20 years
of capital.
Finishing Between 10 and 15 years
IV.5.6.2 Other intangible assets
Software and development costs are capitalized if they The average useful life can be different depending on the
52 are related to investment projects, i.e. major projects that type of property, the degree of completion or the construction
introduce or replace an important commercial objective or period. The Group defines useful lives that generally should
model. be used depending on the category to which the building
belongs.
Computer software and licences that have been purchased or

internally generated for own use are stated at historical cost, Borrowing costs directly attributable to the acquisition or
less depreciation and any impairment losses. construction of a property qualified under IAS 23 are part of
the cost of that asset.
Internally generated software and licence developments are
only recognized as intangible fixed assets when the following
IV.5.8 Other tangible fixed assets
conditions are met: identifiability criterion for the asset,
Tangible fixed assets include facilities, machinery and
control over the resource, likelihood of future economic profits
equipment, computer equipment, furniture and office
and ability to reliably measure the cost.
equipment, as well as rolling stock. They are capitalized at
Software developed by third parties, as well as internal and
their purchase or cost price, including incidental expenses.
external development costs related to investment projects, are
Depreciation is calculated on a straight line basis over their
amortized on a straight-line basis over 5 years from the time
estimated useful lives, i.e. between 2 and 10 years. Furniture
the software or developments are available, while for central
and office equipment whose acquisition value is negligible
systems with a longer useful life, the period is 10 years.
are supported.
Internal and external research expenses for these projects and
all expenses for ICT projects other than investment projects are IV.5.9 Financial investments
charged directly to the income statement. The acquisition of
an insurance contract in a business combination or portfolio IV.5.9.1 Classification
transfer is performed in accordance with paragraphs 31, 32 Financial instruments are classified into the following
and 33 of IFRS4. categories:
Other intangible assets with a finite useful life are amortised • Financial assets available for sale at fair value,
over their expected economic life. with changes in fair value recognized in equity.
Intangible fixed assets with an indefinite life are not amortized This category includes by default all other fixed
and are assessed for impairment in the same way as goodwill. maturity investments, shares, loans and receivables,
which are not included in another class;
• Financial assets at fair value with changes in fair value
recorded through profit or loss. These assets are of two Financial assets are initially designated at fair value plus,
types: (i) investments held for trading are investments in the case of an asset that is not designated at fair value
for which the management intention is to earn short-term through profit or loss, transaction costs directly attributable
profits; and (ii) financial assets designated optionally. to the acquisition. However, transaction costs are not included
• Loans, deposits and receivables carried at amortized in the acquisition cost of financial assets since they are not
cost. This relates to assets for fixed or determinable significant.
payments that are not quoted in an active market; and Securities given under repurchases are maintained in assets
• Financial assets held to maturity, recorded at in the balance sheet. Hence, the Group conducts repurchase
amortized cost. These assets include fixed-term transactions and securities lending.
investments for which the company has the explicit These correspond to disposals of financial assets to a
intention and capacity to hold them to maturity. counterparty, accompanied by a simultaneous repurchase
The fair value option of designating, upon entry, financial commitment for these financial assets on a set date and at a
assets and liabilities at their fair value with changes in fair set price. To the extent that virtually all the risks and benefits
value through profit or loss, is used by the Group primarily in related to financial assets are retained by the Group over the
the following cases: life of the transaction, the Group will continue to recognize
the financial assets. The cash consideration received for the
• financial assets for which the choice of the fair value
sale is recorded separately. Interest expense on repurchase
option allows to reduce the accounting disparity;
agreements and securities lending transactions is recognized
• managed groups of financial assets whose over the term of the contracts.
performance is evaluated on a fair value basis; and
• hybrid instruments, for which the Group IV.5.9.4 Measurement
has opted not to separate the embedded Financial assets available for sale, those held for trading,
derivative from the host contract. assets optionally designated at fair value through profit or
loss and all derivative instruments are measured at fair value.
IV.5.9.2 Reclassifications
The fair value is the price at which an asset could be exchanged
Only the following reclassifications are allowed: between knowledgeable negotiators against competitive
• A financial asset may, in exceptional market conditions. The Group applies the hierarchy for 53
circumstances, be reclassified out of the determining fair value under IAS 39 as explained in more detail
category of investments held for trading. in the note relating to the determination of the fair value of
• A financial asset classified as available for sale may be financial instruments.
reclassified out of the category of assets available for Assets available for sale are carried at fair value and unrealized
sale to: (i) the category of investments held to maturity gains and losses are recorded under a separate heading of
when the intent or ability has changed or when the equity (through other items of comprehensive income), except
entity no longer has a reliable measurement of fair the following elements which are recorded directly through
value; and (ii) the category of loans and receivables profit or loss: interest calculated using the effective interest
when the financial asset meets the definition of loans rate method, currency differences on monetary financial
and receivables at the date of reclassification and assets and impairment losses.
when the entity has the intention and ability to hold the Financial assets held to maturity, unlisted shares for which fair
financial asset for a foreseeable period or until maturity. value cannot be measured reliably, and loans and receivables
• A financial asset classified as investments held to are recorded at amortized cost or at historical cost. Amortized
maturity may be reclassified as available for sale if cost is the amount at which the asset was valued at initial
the intention or ability of the entity has changed. recognition net of principal repayments, plus or minus
If, within the two preceding years, the Group has accumulated amortization (depending on the effective
reclassified or sold a substantial portion of its interest rate) of differences between the initial amount and
investment portfolio originally held to maturity, the maturity amount and adjusted for any impairment losses.
the Group can no longer classify investment into The effective interest rate is the rate that exactly discounts
instruments held to maturity. Furthermore, in the expected future cash flows over the expected lifetime or,
the case of sale or reclassification of a portion of where more appropriate, over a shorter period to obtain the
these investments, the entire category of financial net book value of the asset or financial liability. The value of
instruments held to maturity must be reclassified. financial assets includes accrued interest not yet due at the
balance sheet date.
IV.5.9.3 Initial recognition
The Group recognizes financial assets when the contractual IV.5.9.5 Impairment
obligations of the contract are met. Purchases and sales of At each date of the financial statements, the Group looks for
financial assets are recorded on the trade date. the existence of objective evidence of impairment among its
investments available for sale or measured at amortized cost. • Significant financial difficulties;
By their accounting, financial assets at fair value through profit • A failure to pay interests or principal;
or loss are not subject to an impairment test.
• The disappearance of an active market for that
A financial asset or group of financial assets has undergone financial asset because of financial difficulties;
an other-than-temporary impairment when there is objective
• A significant decrease in the value of
evidence of impairment due to one or more events whose
collateral or underlying assets.
impact on the estimated future cash flows of the asset(s) can
be measured reliably. Revaluation reserve
For available-for-sale assets, a significant or prolonged decline If any such situation exists for financial assets available
in the fair value of the security below its carrying value is an for sale, the cumulative loss determined as the difference
indication of impairment. between the acquisition cost and the current fair value is taken
from the equity and is subject to an impairment through profit
IV.5.9.5.1 Financial assets available for sale or loss. Losses in value on shares recorded through profit or
Equities loss are only included through profit or loss when the asset
A significant or prolonged decline in the fair value of the is sold or de-recognized.
security is applied when: IV.5.9.5.2 Financial liabilities valued at amortized cost
• the security had already been impaired For investments valued at amortized cost, the amount of
from a previous closing; or the impairment is equal to the difference between the net
• a loss in value of 50 % compared to the acquisition value book value of the asset and the present value of expected
is observed on the closing date of the accounts; or future cash flows, determined using the original effective
• the stock was in a constant state of unrealized interest rate of the financial instrument and corrected for any
loss in relation to its acquisition value over provisions. The amount of the impairment is included in the
the last 12 months preceding the close. net income of the accounting year. The impairment can be
taken over in the result.
Bonds
For assets recognized at amortized cost, including loans and
Impairments are systematically applied to the bonds in order
investments classified as "assets held to maturity" or assets
54 to reflect the risk that the counterparties of such securities and
under the category "loans and receivables", the impairment
receivables do not fully or partially honour their commitments
test is first performed on a unitary basis. A collective test is
relating thereto, including, but not limited to, the probability
then carried out for groups of assets with similar risks.
that the reimbursement of these securities and receivables
is in whole or partly uncertain or compromised. When these Some assets are subject to impairment given the economic
securities' market value is permanently lower than their net circumstances, but without corresponding to any of
book value, this circumstance is, unless proved otherwise, the situations mentioned above. Thus, if under the risk
presumed to be an other-than-temporary impairment which management policy, a durable loss in value is identified, an
is to be considered for the application of this provision. impairment will be recognized according to the above terms.
The application of the above rules and the decision to IV.5.9.6 De-recognition
recognize an impairment or not is subject to an analysis at
Financial assets are no longer recognized when the contractual
each balance sheet closing date. In that analysis, we take
rights expire or when the Group disposes the financial asset.
into account the following criteria to identify durable losses in
Gains or losses on the disposal of financial investments are
value, on the one hand, and to assess whether the recognition
determined using the weighted average cost method.
of an impairment is required:
In case of the disposal of securities, the realized gain or loss
Criteria for determining durable losses in value
is recognized through profit or loss on the date of completion
• The insurance portfolio / separate and represents the difference between the sales price and the
management relating thereto; net book value of the asset.
• The ability of the company to hold
these securities to maturity; IV.5.10 Derivative financial instruments
• The duration of the unrealized loss observed. Derivative financial instruments are initially recognized at
Criteria taken into account to determine whether an fair value at the date of the contract's conclusion and are
impairment should be recognized subsequently measured at fair value. All derivative financial
instruments are recorded on the balance sheet (as assets
• A significant increase in credit spreads for listed issuers;
when their fair value is positive and as liabilities when their
• A significant deterioration in credit rating; fair value is negative). Unrealized gains and losses are
• A voluntary or imposed restructuring of the debt; recognized through profit or loss. In the case of derivative
• The occurrence of a credit event under ISDA rules; financial instruments held by the Group which are subject
to a qualification as hedge accounting, the details of the
accounting are mentioned below. The reinsurers' share of technical provisions is subject to an
Embedded derivatives are components of compound impairment test at each balance. If there is objective evidence,
instruments that meet the definition of a derivative. Depending as a result of an event that occurred after the initial recognition,
on the choice for the fair value option, they are not separated that the provision for the reinsurer must be impaired, the
from the host contract. Thus, the hybrid instrument, consisting Group reduces the book value of this asset accordingly and
of the host instrument and the derivative embedded in the recognizes the resulting loss through profit or loss. When
contract, is measured at fair value with changes in fair value the reinsurance asset is guaranteed by securities received as
through profit or loss. collateral, the present value of future cash flows of the asset
reflects the cash flows that may result from the realisation of
Hedge accounting
pledged assets after deducting the costs of implementing this
The Group designates certain derivative financial instruments guarantee, whether the realisation is probable or not.
as cash flow hedges.
At the time of establishing the hedge relationship, the IV.5.11.2 Acceptances
entity prepares a documentation describing the relationship The rules for reinsurance acceptance contracts are included in
between the hedging instrument and the hedged item as the section "Insurance and investment contracts liabilities".
well as its objectives of risk management and its strategy for
undertaking various hedging transactions. Moreover, at the IV.5.12 Receivables
establishment of the hedging and periodically thereafter, the Receivables more and less than one year are recognized
Group indicates whether the hedging instrument is highly initially at fair value and are subsequently measured at
effective in offsetting changes in cash flows of the hedged amortized cost net of any impairment. An impairment is
item attributable to the hedged risk. recognized when the age of the receivable exceeds one year
The effective portion of changes in fair value of derivative or when there is objective evidence that the Group will not be
financial instruments that are designated as cash flow hedges able to collect all amounts due in accordance with the original
is recognized in other items of comprehensive income and terms of the receivable.
accumulated in the reserve for the hedging of cash flows. The When the settlement of a portion of the receivable cash
gain or loss relating to the ineffective portion is recognized flows is deferred, the amounts receivable in the future are
immediately in the net income. discounted to their present value. 55
The amounts previously recognized in other items of
comprehensive income and accumulated in equity are IV.5.13 Cash and cash equivalents
reclassified to the net income in the periods when the hedged Cash includes cash on hand and demand deposits. Cash
item affects the net income, under the same position as that equivalents include short-term, highly liquid investments
of the hedged item. that are readily convertible to known amounts of cash and
Under IAS 39, there is a cessation of the hedging relationships which are subject to an insignificant risk of changes in value.
when: Regarding the cash flow table, cash and cash equivalents
are presented net of bank overdrafts, debts incurred on
• the hedging instrument expires or is
repurchase operations and other financial debts.
sold, terminated or exercised;
• the hedged forecast transaction, for cash flow IV.5.14 Equity
hedging, is no longer highly probable; Equity includes, in addition to share capital and retained
• the hedge no longer meets the accounting earnings in reserve, the portion of unrealized gains and
criteria for hedging transactions; losses on investments, net of tax, and the impact of shadow
• the entity alters or revokes the designation. accounting, of which the change in fair value is not recognized
in the income as well as other items of comprehensive income.
Any gain or loss recognized in other items of comprehensive
income and accumulated in equity at that time is reclassified Ordinary shares are classified as equity when there is no
to the net income when the forecast transaction is ultimately contractual obligation to transfer cash or other assets to the
recognized. When a forecast transaction is no longer expected holders. Additional costs, net of tax, directly attributable to
to occur, the cumulative gain or loss in equity is recognized the issue of an equity instrument are deducted from the value
immediately in the net income. of the equity instrument.
Financial instruments issued by the Group are classified as
IV.5.11 Reinsurance equity instruments if their consideration clauses provide the
issuer with control over the interest payment date and if the
IV.5.11.1 Disposals
instrument includes no contractual obligation to deliver cash
Premiums, claims and technical reserves are stated before or another financial asset to another entity.
ceded reinsurance. The transferred quota share is included
Any financial instrument issued by the Group, comprising both
in the reinsurance result.
an equity component and a debt instrument, is recognized
separately in liabilities in the balance sheet, in which the • of which the amount and/or expiry date is
equity component is reported as equity of the Group. Gains contractually at the discretion of the Group;
and losses associated with redemptions or refinancing of the • that are contractually based on the performance
equity component are presented as variations in equity. of a set of contracts, the investment returns of a
When the Group buys back its own equity instruments, the portfolio of assets or the income of the Company,
amount paid, including any directly attributable incremental of a fund or other entity that issues the contract.
costs (net of taxes) is deducted from equity attributable to If a contract was initially recognized as an insurance contract,
shareholders of the company until the shares are cancelled it cannot be reclassified as an investment contract even if the
or "reissued". risk attached thereto becomes insignificant. Conversely, an
Dividends and other distributions to shareholders are investment contract whose characteristics change during the
recognized directly in equity, net of tax. A debt corresponding term of the contract, may, if the changes induce a significant
to the amount of dividend not yet paid is not recognized as insurance risk, be reclassified as insurance contracts.
long as the dividend has not been declared and approved.
IV.5.15.2 Measurement and recognition
IV.5.15 Insurance and investment In accordance with IFRS 4, the rules regarding recognition
contract liabilities and de-recognition as described below are based on the
accounting principles used by the Group prior to the adoption
IV.5.15.1 Classification of the IFRS, with as main exception the elimination of the
The Group issues contracts that cede an insurance risk or flashing-light provision and the equalization and catastrophe
financial risk or both. Based on a review of each contract, provisions.
the Group classifies its insurance and investment contract The accounting principles applicable prior to the IFRS and
liabilities in four categories: which are still in force after the conversion have the following
• Insurance contract liabilities main characteristics:
• Investment contract liabilities with • provisions must be sufficient;
discretionary participation features • provisions are calculated with caution;
• Investment contract liabilities without • Life insurance provisions may not be discounted
56
discretionary participation features using an interest rate higher than the
• Investment or insurance contract liabilities of prudently estimated return of the assets;
which the financial risk is borne by the insured, • acquisition costs are deferred to the extent they are
i.e. corresponding to unit-linked contracts. recoverable, and amortized on the basis of estimated
Insurance contracts, investment contracts with discretionary gross profits over the lifetime of the contracts;
participation and reinsurance contracts are covered by • reserves for claims represent the ultimate estimated cost.
IFRS 4 "Insurance Contracts", while investment contracts
without discretionary participation are covered by IAS 39 IV.5.15.2.1 Non-Life insurance contracts
"Financial instruments". Contracts that transfer neither an The assessment of provisions for claims is based on the
insurance risk nor a significant investment risk are covered estimated value of foreseeable expenses net of any recoveries.
by IFRS 15 "Revenue from Contracts with Customers", which The provision for claims outstanding includes the claims and
calls for revenue recognition. capital due remaining to be paid at the end of the period. The
Insurance contracts, including reinsurance acceptances, are provisions related to claims are generally not discounted,
contracts with a significant insurance risk. These contracts except in limited cases.
can also cede a financial risk from the insured to the insurer. Claims settlement and readjustment costs are recognized
Investment contracts are contracts that carry a financial risk through profit or loss when incurred. Unsettled claims and
with no significant insurance risk. readjustment expenses include estimates for reported claims
IFRS 4 allows the separation of the deposit component and provisions for claims that are incurred but not reported.
("savings") and the risk component ("insurance") of the Claims management costs are provisioned.
contract. This separation or "unbundling" is permitted if the Mathematical provisions are also established to cover
deposit component can be exploited regardless of the risk constituted annuities.
component.
Premium provisions are calculated pro rata temporis.
Some insurance and investment contracts contain a Additional premium provisions can be made if a group of
discretionary participation clause. This element entitles the homogeneous products proves to be unprofitable.
contract holder to receive additional benefits as a supplement
to the guaranteed benefits: IV.5.15.2.2 Insurance contracts Life
• that normally account for a significant Provisions for Life insurances include the mathematical
share of the contractual benefits; provisions that represent the difference between the current
values of the commitments made by the insurer and those in assets/liabilities that is artificially generated by different
made by the insured. Provisions are calculated according to valuation methods for assets and liabilities. When the
the technical bases in force at the time of signing the contract. measurement of liabilities is directly affected by the
Adjustments can be made later following any changes made implementation of gains or losses of assets, a provision
to the contracts. for deferred profit sharing is recognized in consideration of
Liabilities are discounted applying a rate that is at the most unrealized gains or losses in investments.
equal to the rate of the policy concerned, and using regulatory The provision for deferred profit sharing is determined by
mortality tables. As for annuities, there is also provided a applying fair value readjustments of assets participation
longevity provision to reflect the increase in life expectancy. rates estimated on the basis of contractual obligations
For contracts with risk coverage deaths, the constituted associated with each portfolio. The estimated participation
provision contains the portion of premiums written but not rate also takes into account the following elements: the
earned during the period concerned. regulatory and contractual terms of profit sharing, the
programme of realization of gains and losses and the insurer's
IV.5.15.2.3 Investment contracts with discretionary dividend policy. The determination of the share in gains and
participation features losses attributable to policyholders is determined by the
The provision for profit sharing corresponds to the interests characteristics of the contracts that are likely to benefit from
of policyholders in technical and financial profits made by the these gains or losses.
companies. They are intended to be paid to the policyholders Finally, when, following the liability adequacy tests (LAT - see
and to increase their guarantees after incorporation into below), the inadequacy found is related to the interest rates'
mathematical provisions. weakness, shadow accounting allows to allocate an additional
The discretionary participation elements are a conditional share in unrealized gains recognized on investments within
promise related to unrealized gains and losses. They are insurance provisions.
therefore incorporated into the unrealized gains and losses Shadow accounting is done under the same terms as the
included in the equity. When the promise is unconditional, accounting method applied to the underlying financial
the amount thereon is reclassified to the liabilities of the Life investments: in profit if it concerns financial investments
insurance contracts. accounted for through profit or loss, or for reserve revaluation
Profit sharing also includes the deferred unrealized in other items of comprehensive income for investments 57
participation resulting from shadow accounting. available for sale.
IV.5.15.2.4 Investment contracts without IV.5.15.2.7 Liability Adequacy Test (LAT)
discretionary participation Adequacy tests are performed to ensure the adequacy of
Investment contracts without discretionary participation are insurance liabilities with regard to estimated future cash
treated as financial liabilities within the scope of IAS 39. These flows. The tests are performed on homogeneous products
contracts are recognized: groups, both in Life and in Non-Life. The assumptions set
• either at fair value with the changes for the projection of future cash flows are consistent with
accounted for through profit or loss. These those used internally to other models and are determined
are mainly unit-linked contracts; so as to be in line with the economic, demographic ...
reality. The present value of future cash flows is determined
• either at amortized cost using the
using a discount rate that reflects market conditions at the
effective interest rate method.
reporting date, the specific composition of asset portfolios
Deposit accounting is applied to all of these contracts. Net and the characteristics of the asset-backed liabilities. Any
premiums received from these contracts are not recognized shortcomings are provisioned with an offsetting impact to
as revenue; all expenses associated with these contracts income.
are recognized through profit or loss under "other operating
income". IV.5.15.2.8 Embedded derivatives
Embedded derivatives that meet the definition of insurance
IV.5.15.2.5 Unit-linked contracts
contracts or that match repurchase options for a defined
Mathematical provisions for unit-linked contracts are valued amount are not valued separately from the host contract. If
on the basis of the assets underlying these contracts. Gains or other embedded derivatives are not closely related to the
losses resulting from the revaluation of these are recognized host contracts or do not meet the definition of an insurance
through profit or loss in order to neutralize the impact of the contract, they are measured separately at fair value through
change in technical provisions. profit or loss.
IV.5.15.2.6 Shadow accounting and provision IV.5.15.2.9 Revenue recognition
for deferred profit sharing
Premiums of contracts in force during the accounting year are
Shadow accounting allows to address the risk of imbalance included in the earnings, taking into account the premiums to
be issued in Non-Life which are the subject of an estimate for IV.5.18.2 The Group as lessor
the portion earned at the end of the accounting year. A lease is classified as finance lease if the lease cedes
In accordance with IFRS 15, revenues generated through substantially all the risks and benefits incidental to ownership
management contracts are recognized in line with the services of the asset. A contract that is not a finance lease agreement
provided. is a simple lease contract.
The Group enters into operating leases primarily related to
IV.5.16 Subordinated debts
the exploitation of its real estate properties.
and financial debt
When an asset is used as part of an operational lease, the lease
The financial debt, subordinated or not, is recognized initially payments received are recognized in the income statement
at fair value and subsequently measured using the amortized linearly over the period of the lease. The underlying asset is
cost method. Costs directly attributable to the establishment recognized using the rules applicable to this type of asset.
of a new loan are deducted from the face value of the loan
When an asset held is leased under a finance lease, the Group
and recognized in the income over the term of the loan using
records a receivable equal to the net investment in the lease,
the effective interest rate method.
which may be different from the present value of minimum
IV.5.17 Provisions payments due under the contract. The interest rate used for
discounting is the implicit rate included in the base contract.
Provisions mainly include provisions for litigation, restructuring
The revenues are recognized over the term of the lease using
and off-balance sheet credit commitments.
the implicit interest rate.
Provisions are measured at the present value of the
expenditures expected to settle the obligation. The chosen IV.5.19 Employee benefits
interest rate is the pre-tax rate that reflects the time value of
money as defined by the market. IV.5.19.1 Post-employment benefits
Provisions are recognized when: The post-employment benefits include the pension plans,
the life insurance and orphanhood insurances. The Group
• the Group has a legal or implied obligation
has various defined benefit plans and defined contribution
resulting from past events;
pensions plans in place for its employees:
58 • it is probable that an outflow of resources
• For defined benefit pension plans, expenses related
embodying economic benefits will be
to these plans are assessed separately for each plan
required to settle the obligation;
using the method of "Projected Unit Credit". Under
• it is possible to reliably estimate the
this method, the cost of the plan is recognized as

exact amount of the obligation.
expense through profit or loss so as to spread the cost
evenly over the career of employees participating in
IV.5.18 Lease contracts
pension plans. The obligations relating to the pension
IV.5.18.1 The Group as lessee plans recorded on the balance sheet are valued on
the basis of the present value of future cash outflows,
The Group mainly enters into lease contracts for the rental of
including taxes and contributions payable by the plan,
its buildings, equipment and small materials, in particular IT
net of any costs of past services not yet recognized.
equipment, as well as company cars.
• Defined contribution pension plans are subject to the
At the start date of the contract, Ethias recognizes a right-
Belgian law on supplementary pensions that imposes
of-use asset at cost and a liability (lease obligation) at the
a minimum guaranteed return on the contributions
present value of the lease payments that have not yet been
paid. Therefore, these programmes are considered
made.
under IFRS as defined benefit pension plans.
The asset is depreciated over its useful life or the term of the
Some of the employee pension plans are insured with
contract, if shorter. If the lease contract transfers ownership
the insurance company Ethias SA. Therefore, the assets
of the underlying asset to the lessee at the end of its term,
backing these pension plan do not meet the conditions to
or if the cost of the right-of-use asset takes into account the
be considered as plan assets and are therefore considered
future exercise of a purchase option by the lessee, the asset
non-financed. Therefore, the assets backing the pension plan
is depreciated over its useful life.
do not meet the conditions to be considered as plan assets.
The lease obligation is reduced by the rental payments made
The present value of cash flows is calculated using an interest
and increased by the interests.
rate corresponding to those of corporate bonds of first category
When a change is made to a lease contract, the lease
with a maturity similar to those of the corresponding liabilities.
obligation is revalued and the amount of the revaluation is
The costs of past services result from the adoption of or
carried on the right-of-use asset.
from the change in the pension plan. They are recognized
as expenses over the average remaining period until the positions in the balance sheet. Any realized loss is also shown
corresponding benefits become vested for the personnel. separately through profit or loss.
Actuarial differences include, for assets and liabilities, the
effects of differences between previous actuarial assumptions
IV.5.21 Revenue recognition
and what has actually occurred and the effects of changes The revenues from ordinary activities correspond to the fair
in actuarial assumptions on the liabilities of the plans. value of the consideration received or receivable, net of
Actuarial differences are fully recognized in the other items of intercompany sales or services rendered. The revenues from
comprehensive income during their period in which they occur. ordinary activities are recognized as follows:
IV.5.19.2 Short-term benefits IV.5.21.1 Income from insurance activities

Employee entitlements to annual leave, merit bonuses and Regarding the recognition of revenues from insurance
other various premiums are recognized when the amounts activities, we refer to the rules mentioned in the section
in question should be paid to the employees. A debt is made "Insurance and investment contract liabilities".
to cover the estimated expense for services rendered by
IV.5.21.2 Financial income
employees up to the balance sheet date.
Interest income is recognized pro rata temporis using the
IV.5.19.3 Other long-term benefits effective interest rate method. When a receivable is impaired,
The expected costs of these benefits are recognized during the Group reduces its book value to its recoverable amount,
the period of employment using the same methodology as which represents the future cash flows, discounted at the
used for defined benefit pension plans. Actuarial gains and original effective interest rate of the instrument, and continues
losses arising from experience adjustments and changes in to recognize the effect of undiscounting in the interest income.
actuarial assumptions are recognized through profit or loss Interest income on impaired loans are recognized using the
related to the period in which they occur. original effective interest rate method.
Dividends are recognized when the right to receive the
IV.5.19.4 Early retirement dividend is established.
The Group has established an early retirement programme for
its employees. A liability and an expense are recognized from IV.5.21.3 Other goods and services
59
the time when there is a clear commitment on the part of the Contracts that do not expose the insurer to an insurance risk or
entity and that the latter has formalized the outlines of the expose it to a non-significant insurance risk and do not create
programme concerned. The debt recognized in the balance financial asset or liability are classified in the category "service
sheet is the present value of the early retirement obligation contracts". In accordance with IFRS 15, revenue associated
to the closing date of the accounting year. with a transaction involving the rendering of services is
recognized by reference to the stage of completion of the
IV.5.19.5 Other contract termination compensation transaction.
In the case of severance costs payable as a result of the The subsidiaries of the NRB sub-group develop and sell
decision of the entity to terminate the employment of one or customized software. Revenue is recognized using the
more staff members, the entity shall recognize a liability and percentage-of-completion method, in which profit is
an expense of severance. recognized as revenue as work is completed. Impairments are
recognized in order to reflect any known losses caused in the
IV.5.20 Discontinued operations and
projects. When circumstances lead to a change in the initial
available-for-sale assets estimate of revenues, of costs or of the stage of completion,
A discontinued operation is a component which the entity has the estimate is revised. These revisions may result in an
disposed of or is classified as available for sale, and (i) which increase or decrease in the estimated revenues or costs and
represents a line of business or a separate major geographical are recognized through profit or loss of the period in which
area, (ii) which is part of a single, coordinated plan to dispose the management becomes aware of those circumstances.
of a business line or a separate major geographical area; or
(iii) is a subsidiary acquired exclusively for resale. IV.5.22 Income taxes
The category "Discontinued operations and available-for-sale Deferred tax assets and liabilities are generated by temporary
assets" comprises assets including properties or activities differences between the book and tax values of the assets
available for sale or discontinued within twelve months and liabilities and, if applicable, by carryforwards of unused
from the closing date of the accounting year. Subsidiaries tax losses. Deferred tax assets are recognized to the extent
available for sale remain in the scope of consolidation until that it is probable that taxable profits, against which the
the day when the Group loses effective control. The assets deductible temporary differences can be utilized, will be
and activities (assets and liabilities) concerned are valued at available. Deferred tax liabilities are recognized for all taxable
the lower of net book value and fair value net of the selling temporary differences.
costs. They are presented in separate assets and liabilities
IV.5.23 Contingent liabilities following estimates we refer to the corresponding notes in
the consolidated financial statements.
A contingent liability is:
• a possible liability resulting from past events and IV.6.1 Fair value of financial instruments
whose existence will be confirmed only by the
The fair value of a certain number of financial instruments
occurrence or not of one or more uncertain future
is determined on the basis of valuation techniques. This
events not fully within the Group's control; or
is especially the case for the perpetual bonds which are
• a present liability resulting from past events, but not recognized at fair value through profit or loss or for derivative
recognized because it is not probable that an outflow instruments. In addition, the Group also appeals to valuation
of resources embodying economic benefits will be techniques to determine the fair value of certain instruments
required to settle the liability or that the amount of the that are communicated in the explanatory notes. This concerns,
liability cannot be measured with sufficient reliability. for example, the determination of the fair value of loans or the
Contingent liabilities are not recognized in the balance sheet. fair value of bonds. The Group selects the methods and retains
They are subject to an explanation in the notes, unless the the assumptions which seem the most appropriate by mainly
possibility of an outflow of resources embodying economic referring to the existing market conditions at the end of each
benefits is remote. Contingent liabilities are assessed reporting period.
continually to determine whether an outflow of economic The sensitivity analysis for financial risks is available under
benefits has become probable or assessable with sufficient point 4.6.5 in chapter II. Report of the Board of Directors.
reliability, in which case a provision is recognized in the
financial statements of the accounting year in which the IV.6.2 Insurance and investment liabilities
change in probability or evaluation occurs. The technical provisions for Life insurances are calculated on
the basis of various assumptions. Judgement is required when
IV.5.24 Events after the reporting period making these assumptions and the assumptions used are
Events after the reporting period refers to events that occur based on various internal and external sources of information.
between the balance sheet date and date of the publication For the recognition of the technical provisions, IFRS 4 currently
date of the balance sheet. There are two types of events: refers largely to the local accounting standards. The technical
60 • those that give rise to adjustments to the consolidated provisions are often calculated on the basis of technical
financial statements if they help confirm situations parameters applicable at the time of the conclusion of the
that existed at the balance sheet date; contract and shall be subject to the liability adequacy test.
• those who impose the provision of additional The following main parameters are taken into account:
information if they indicate situations that • The discount rate, which in general, shall be
arose after the balance sheet date, and if equivalent to the technical interest rate and which
they are relevant and significant. remains constant during the duration of the contract.
In the case of dividends, the debt corresponding to the amount In some cases, it is corrected on the basis of legal
not yet paid of the dividends is not recognized as long as the provisions and internal policy decisions;
dividend has not been approved by the general assembly. • The mortality and sickness rates which are based
on the standard mortality tables and may be
IV.6 Critical accounting adjusted depending on past experience;
estimates and judgements • The assumptions with regard to the costs based on
the actual cost levels and management costs;
The preparation of the consolidated financial statements
The assumptions with regard to the technical provisions in
in accordance with the IFRS brings the Group to make
Non-Life insurance are based on past experiences (including
judgements, estimates and assumptions that have an impact
certain assumptions with regard to the number of claims; the
on the application of valuation rules and on the amounts of
compensations and the costs of settling claims), adjusted to
the assets, liabilities, revenues and expenses, and which by
take account of such factors as anticipated market experience,
their nature contain a certain degree of uncertainty. These
claims and the increase of claims and external factors such
estimates are based on the experience and assumptions
as legal decisions and legislation. The technical provisions
which the Group considered as reasonable on the basis
are not updated except when long-term obligations and/
of the circumstances. The actual results would and will by
or annuities (e.g. hospitalization, work accidents, etc.) are
definition often differ from these estimates. The revisions of
involved.
the accounting estimates are recognized during the period
in which the estimates are reviewed and in the course of all The impact of the sensitivity analyses on the income statement
future periods covered. The judgements and estimates mainly can be found in chapter II. Report of the Board of Directors,
relate to the domains listed below. under point 4.5.1.2 for Non-Life and under point 4.5.2.2. for
Life.
For more information with regard to the introduction of the
IV.6.3 Employee benefit IV.7 Sector information
The debt relating to the employee benefits is determined on
The allocation of resources and the performance assessment
the basis of an actuarial method, including a certain number
are made for the various products that the Group offers to
of financial and demographic assumptions, described in point
public bodies, companies and individuals, in the form
16.3.1 of chapter V. Note to the consolidated balance sheet.
of a complete, tailor-made and innovative range of risk
Any change in these assumptions would have an impact
management solutions and insurances, both in Life and Non-
on the amount of this debt. An important assumption with
Life. These segments and their operations are as follows:
a great sensitivity on debt is the discount rate. At the end
• Segment "Individuals Non-Life": the income of this
of each reporting period, the Group determines this rate by
segment primarily comes from premiums received for
referring to the market rate at the closing date of first category
coverage against damage to vehicles and homes, for
corporate bonds with a maturity comparable to the maturity of
family insurance as well as assistance insurance.
the commitments. The other major assumptions are based on
the market or reflect the best estimate of the Group. The results • Segment Life Individuals: Ethias sells
of the sensitivity analysis may be consulted under point 16.3.2. outstanding balance insurances, following the
in chapter V. Note to the consolidated balance sheet. absorption of Whestia in 2017. Most of the other
insurance products are put into run-off.
IV.6.4 Deferred taxes • Segment "Public Bodies & Companies Non-Life": this
The deferred tax assets are only recognized in order to reduce segment mainly covers the risks for public services
the temporary differences and the losses carried forward and their staff members for whom the Group offers
when it is probable that future taxable profits shall allow to since long guarantees, such as civil liability, health
compensate these differences and losses and when fiscal care, work accidents, sporting accidents, vehicle,
losses shall remain available taking into account their origin, assistance, etc. Ethias also covers the damage to or
the period of their occurrence and their compliance with the destruction of material, buildings and installations.
legislation on their recovery. The Group's capacity to earn the • Segment "Public Bodies & Companies Life": this
deferred tax assets is measured through an analysis based segment covers pension and contribution insurances,
on the estimate of future Group results. Given the various group insurances, individual pension commitments,
uncertainties with regard to the evolution of the financial director's insurances, annuity contracts, etc. This 61
markets among others, the Group based in its analysis on segment also covers the supplementary pension for
a time horizon of five years. The underlying assumptions of contractual staff members of the public sector.
these analyses shall be reviewed on a yearly basis. The notes
• The segment "Other" includes the Non-
with regard to the deferred taxes can be found under point 8
Technical activity of Ethias SA.
in section V. Note to the consolidated balance sheet.
• The Group’s other activities, which mainly come
The preparation of consolidated financial statements requires
from IT activities, including the design, development
an estimate of income taxes and deferred tax assets and
and marketing of IT solutions, real estate activities
liabilities under the tax laws of the various jurisdictions in
through the Group's real estate companies and,
which the Group operates. Under IAS 12, deferred tax assets
finally, financial activities through the SICAV "Ethias
and liabilities are to be measured at the tax rates that are
Sustainable Investment Fund" are presented separately.
expected to apply in the period in which the asset is realized
or the liability is settled, based on tax rates (and tax laws) • Are included in terms of adjustments: accounting
that have been enacted or substantively enacted at the end entries relating to IFRS, eliminations of intercompany
of the reporting period. transactions and consolidation adjustments.
The results of the segments for the years ended on 31
IV.6.5 Provisions December 2021 and 2020 respectively are detailed below:
In accordance with IFRS rules, the various risks faced by the
Group are assessed. Provisions are recorded when these
risks are deemed probable and the amount can be reliably
measured, while risks deemed unlikely (but not insignificant)
are included in contingent liabilities. The probability of a
current obligation arising from past events and the calculation
of the amount corresponding to the best estimate of the risk
are assessed on the basis of various assumptions.
The note on provisions can be found in item 17 of chapter V.
Note relating to the consolidated balance sheet and the note
on contingent liabilities can be found in item 5 of chapter
VII. Note relating to items not included in the balance sheet.
Statutory Statutory Consolidated
PUBLIC & CORPORATE income income ADJUST- income
PRIVATE INDIVIDUALS OTHERS
SECTOR statement statement MENTS statement
B-Gaap B-Gaap IFRS
NON- Total 31 December

In thousands of euros NON-LIFE LIFE NON-LIFE LIFE TECHNICAL Ethias SA Subsidiaries Adjustments 2021
Gross premiums 808,583 1,324,544 595,745 49,881 - 2,778,752 - (11,883) 2,766,869
Premiums ceded to reinsurers (31,852) (1,362) (7,343) - - (40,556) - - (40,556)
Change in the provision for unearned

premiums and outstanding risks (a) 717 - (487) - - 230 - - 230
Other income from insurance activities 872 697 317 2,527 - 4,413 - (8) 4,404
Revenues from insurance

activities (a) 778,320 1,323,879 588,232 52,407 - 2,742,838 - (11,891) 2,730,947
Revenues from other activities - - - - 18,273 18,273 594,032 (89,786) 522,519
Net income from investments 84,920 415,475 29,968 36,025 (9,116) 557,272 59,028 (221,295) 395,005
Net realized gains or losses

on investments - - - - - - 6,685 76,994 83,679
Change in fair value of investments

through profit and loss (b) - - - - - - 17,712 125,584 143,296
Net financial income 84,920 415,475 29,968 36,025 (9,116) 557,272 83,425 (18,717) 621,980
NET REVENUES 863,240 1,739,355 618,200 88,432 9,158 3,318,383 677,457 (120,395) 3,875,445
Insurance service expenses 797,633 1,608,497 383,155 69,242 - 2,858,527 - 8,867 2,867,394
Net expenses or revenues

ceded to reinsurers (90,321) (1,952) (24,415) - - (116,688) - - (116,688)
Management costs (c) 155,228 36,456 139,318 13,584 - 344,586 - (18,405) 326,181
62
Technical expenses for
insurance activities 862,539 1,643,002 498,058 82,826 - 3,086,425 - (9,537) 3,076,887
Expenses for other activities - - - - 24,835 24,835 535,318 (65,927) 494,225

Change in depreciation and

amortization on investments (net) - - - - - - 14,525 (1,279) 13,246
Other investment financial expenses - - - - - - 7,005 11,357 18,363
Finance costs - - - - - - 12,368 15,443 27,810
Financial and financing expenses - - - - - - 33,898 25,521 59,419
NET EXPENSES 862,539 1,643,002 498,058 82,826 24,835 3,111,259 569,216 (49,944) 3,630,532
Goodwill impairment - - - - - - - - -
NET PROFIT (LOSS) BEFORE TAX 700 96,353 120,142 5,605 (15,677) 207,124 108,241 (70,451) 244,914
Income taxes and deferred taxes - - - - (17,417) (17,417) (15,753) (2,152) (35,322)
Transfer/Charge to untaxed reserves - - - - (1,619) (1,619) (1,951) 3,571 -
NET PROFIT (LOSS) AFTER TAX 700 96,353 120,142 5,605 (34,713) 188,088 90,537 (69,033) 209,592
Share of the associated

companies in the result - - - - - - - (430) (430)
Net profit (loss) from

discontinued operations - - - - - - - - -
Net consolidated profit (loss) 700 96,353 120,142 5,605 (34,713) 188,088 90,537 (69,463) 209,162
Group’s share 188,088 90,537 (89,654) 188,970
Non-controlling interests - 20,192 20,192

Statutory Statutory Consolidated
PUBLIC & CORPORATE income income ADJUST- income
PRIVATE INDIVIDUALS OTHERS
SECTOR statement statement MENTS statement
B-Gaap B-Gaap IFRS
NON- Total 31 December

In thousands of euros NON-LIFE LIFE NON-LIFE LIFE TECHNICAL Ethias SA Subsidiaries Adjustments 2020
Gross premiums 792,510 1,305,552 589,507 42,213 - 2,729,782 - (9,595) 2,720,187

Premiums ceded to reinsurers (30,905) (1,506) (6,930) - - (39,340) - - (39,340)
Change in the provision for unearned
(410) - (3,088) - - (3,498) - - (3,498)
premiums and outstanding risks (a)
Other income from insurance activities 1,257 568 28 3,542 - 5,394 - (87) 5,307
Revenues from insurance activities (a) 762,452 1,304,614 579,516 45,755 - 2,692,337 - (9,682) 2,682,655
Revenues from other activities - - - - 11,142 11,142 518,026 (181,323) 347,846
Net income from investments 70,180 294,088 29,190 37,684 (14,767) 416,376 47,785 (77,053) 387,108
Net realized gains or losses

- - - - - - 3,252 18,784 22,036
on investments
Change in fair value of investments

- - - - - - (12,139) 41,595 29,456
through profit and loss (b)
Net financial income 70,180 294,088 29,190 37,684 (14,767) 416,376 38,898 (16,674) 438,600
NET REVENUES 832,632 1,598,702 608,706 83,439 (3,624) 3,119,855 556,924 (207,678) 3,469,101
Insurance service expenses 666,760 1,490,712 337,300 59,200 - 2,553,971 - (48,013) 2,505,959
Net expenses or revenues
(22,612) (746) (641) - - (23,998) - 23 (23,975)
ceded to reinsurers
Management costs (c) 160,180 38,597 133,019 13,348 - 345,144 - (30,587) 314,557
Technical expenses for
insurance activities 804,327 1,528,563 469,678 72,548 - 2,875,117 - (78,576) 2,796,541
Expenses for other activities - - - - 21,874 21,874 475,421 (172,477) 324,818
Change in depreciation and
- - - - - - 10,742 (3,182) 7,560
amortization on investments (net) 63
Other investment financial expenses - - - - - - 5,181 11,108 16,289
Finance costs - - - - - - 10,265 18,589 28,854
Financial and financing expenses - - - - - - 26,187 26,515 52,702
NET EXPENSES 804,327 1,528,563 469,678 72,548 21,874 2,896,990 501,609 (224,538) 3,174,061
Goodwill impairment - - - - - - - - -
NET PROFIT (LOSS) BEFORE TAX 28,305 70,139 139,028 10,891 (25,498) 222,865 55,315 16,860 295,040
Income taxes and deferred taxes - - - - (18,223) (18,223) (9,916) (42,906) (71,046)
Transfer/Charge to untaxed reserves - - - - (1,778) (1,778) (3,238) 5,017 -
NET PROFIT (LOSS) AFTER TAX 28,305 70,139 139,028 10,891 (45,499) 202,863 42,161 (21,030) 223,994
Share of the associated
- - - - - - - (769) (769)
companies in the result
Net profit (loss) from
- - - - - - - - -
discontinued operations
Net consolidated profit (loss) 28,305 70,139 139,028 10,891 (45,499) 202,863 42,161 (21,799) 223,225
Group’s share 202,863 42,161 (37,352) 207,672
Non-controlling interests - 15,553 15,553
a) Net of reinsurance
b) Including change in fair value of investments of which the financial risk is supported by the insured
c) Including contract acquisition costs, administration costs, internal claim handling costs and other technical expenses
The data by segment are prepared and evaluated based upon IV.7.1.2 Life
the Belgian accounting standards (BGAAP) and therefore do The result of Life business amounts to 102 million euros.
not follow the same valuation rules as those used for the
Income at end-2021 is up by 2% compared to 2020 and
IFRS consolidated financial statements as described in the
amounts to 1,374 million euros, including 50 million euros
notes to the financial statements. The column “adjustments”
in Private Individuals and 1,325 million euros in Public Bodies
in the tables above reconciles the BGAAP statutory financial
& Companies.
statements and the IFRS consolidated financial statements.
Income in Life Individuals increases by 19% compared to 2020
The measurement used by management for each segment's
thanks to the new production in Branch 23.
performance is the result by segment. The result per segment
includes all revenues and expenses that are directly Premium income for Life Public Bodies & Companies increases
attributable as well as the revenues and expenses that can by 2% compared to 2020, mainly coming from the 1st pillar.
be reasonably attributed. The good performance of the Life business in 2021 is explained
However, information on the segment's assets and liabilities in particular by the growth in operating results (mortality gains)
is not provided because this information is not included in and non-recurring financial income of 30 million euros. These
the BGAAP reporting, regularly reviewed by the management good results made it possible to endow the provision for profit-
in view of allocating resources and assessing performance. sharing (net of taxes) with 42 million euros, mainly for ring-
fenced funds from the 1st pillar.
Transfers or transactions between segments are made at usual
market conditions identical to those that would be applied IV.7.1.3 Non-technical
with unrelated third parties.
The non-technical result before tax shows a negative
Since the Group's activities are mainly carried out in Belgium, contribution of 16 million euros, mainly due to the expense
there is no geographical distribution to give. of subordinated loans and impairments on receivables. Tax
We do not have any clients that account for a significant part expenses for the year amount to 18 million euros and benefit
of our revenues. from the use of tax losses carried forward and deductions of
income from innovation.
IV.7.1 BGAAP Result of Ethias SA
The year 2021 recorded a net result of 190 million euros, i.e. IV.7.2 BGAAP result of subsidiaries
64
a decrease of 6% compared to 2020. After withdrawals and The sum of the results of the Group's other activities, in BGAAP
transfer to untaxed reserves, the result to be appropriated and before eliminations and consolidation adjustments,
amounts to 188 million euros. amounts to 90.5 million euros. They are mainly composed of
Total premium income amounts to 2,779 million euros, i.e. an the results of NRB and its subsidiaries for 63.4 million euros
increase of 2% compared to 2020, thanks to an increase in the and of Ethias Sustainable Investment Fund for 25.2 million
premium income of Life (+2%) and Non-Life (+2%). euros.
IV.7.1.1 Non-Life IV.7.3 Adjustments

The result of Non-Life business amounts to 121 million euros. Total adjustments amount to -69.5 million euros, of which
-89.7 million euros in Group’s share and +20.2 million euros
Income amounts to 1,404 million euros and increases by
in in third-party interests.
2% compared to 2020. It breaks down as follows between
the segments “Private Individuals” and “Public Bodies & The main movements are the following:
Companies”: • The impact of the recognition of employee benefits in
• Income for Private Individuals increases by 1% accordance with IAS 19 thus amounts to 5.2 million euros.
compared to 2020 and amounts to 596 million euros; • The recognition of Life technical provisions under IFRS
• Income for Public Bodies & Companies amounts to 809 4 impacts the result by -10 million euros following the
million euros and increases by 2% compared to 2020. application of shadow accounting on products classified
as FVPL. In Non-Life, the cancellation of the allocation to
The net operating combined ratio stands at 93% and remains
the equalization and catastrophe provision amounts to
below the 95% target.
-16.6 million euros. At the subsidiaries, the cancellation
The result of the Non-Life business has clearly decreased and
of a provision increases the result by 0.6 million euros.
is strongly impacted by the floods, partially offset by the good
• The application of IAS 39 leads to an adjustment on the
financial results and the absence of a major storm in 2021.
result of financial instruments of -0.6 million euros.
• The application of IFRS 36 leads to an adjustment
on the result of +6.6 million euros. This concerns the
elimination of the amortization of goodwill recorded
under BGAAP on Whestia, on Trasys and at Prodata.
• The impact of the application of IFRS 5 on buildings
held for sale amounts to -18.5 million euros.
• The elimination of dividends from subsidiaries
amount to -30 million euros.
• Deferred taxes related to IFRS adjustments and
consolidation adjustments impact the income
statement by -2.6 million euros, including -15.3 million
relating to the use of tax losses carried forward.
• Other adjustments: cancellation of intra-
group revaluation (-4.5 million euros) and
adjustment on leasings (+1.7 million euros).
IV.8 Capital management

IV.8.1 Capital management purposes
The objective of capital management is to ensure that Ethias
has own funds at all time, not only above the Solvency Capital
Requirement but also above the internally set tolerance limit.
Capital management is proactive in order to maintain the
company's growth and sustainability. Capital management
plans to adapt the business and financial strategy according
to the level of solvency. The objective is to maintain a stable
solvency within a predefined target range.
Details of changes in the Group's consolidated equity are
provided in point 13 of chapter V. Note to the consolidated
balance sheet.
65
IV.8.2 Solvency II margin level
Ethias SA’s Solvency II margin at end-December 2021,
established according to the standard formula, stands at 178%
after deduction of a dividend of 105 million euros which will
be proposed to the General Assembly.
The solvency and financial condition report of Ethias SA
provides additional information on the management of the
regulatory capital of Ethias SA.
For more info: https://www.ethias.be/corporate/fr.html
V NOTES TO THE CONSOLIDATED BALANCE SHEET
V.1 Goodwill
V.1.1 Evolution of goodwill
In thousands of euros 2021 2020
Gross value on 1 January 71,593 61,675
Accumulated impairment losses on 1 January - -
Net book value on 1 January 71,593 61,675
Acquisitions 2,486 9,918
Other changes - -
Net book value on 31 December 74,079 71,593
Goodwill was generated on:

• entities of the NRB subgroup, for 59 million euros;
• the acquisition of the Whestia entity ("outstanding balance" insurance portfolio) for 15.1 million euros.
In 2020, the acquisition of 100% of the shares in People & Technology, B-data and Trigone, and 78% of the shares in Computerland
by NRB generated goodwill of 9.9 million euros.
In 2021, Cevi acquired 100% of the shares of PDP, generating goodwill of 2.5 million euros.
V.1.2 Impairment test on goodwill

In accordance with IAS 36, we performed an impairment test on the goodwill recognized at the time of the acquisition of Whestia.
66 The purpose of this test is to compare the fair value of the segment with the value of the net book assets. The result of the test
led us not to recognize any impairment on goodwill as at 31 December 2021. A significant decrease in the fair value of the
segment, which could result from an increase of more than 15 % in the expected mortality rate, would lead to the recognition
of an impairment.
The comparison of the value of the companies in the NRB Group resulting from the "Discounted Cash Flow" (DCF) method with
the book value of specific items in the consolidated accounts (goodwill, intangible assets, tangible assets and items determining
the working capital requirement of the company concerned, i.e. other receivables, other assets, social security payables and
tax debts) made it possible to conclude that no impairment should be recorded on NRB's goodwill in the consolidated accounts
at 31/12/2021. This conclusion remains valid when the assumptions used with the DCF method are simultaneously stressed,
via an increase in the weighted average cost of capital (by an increase in the risk-free rate of 0.7%, a decrease in the proportion
of the cost of debt and the increase in the terminal value) and a decrease of 0.25% in the EBITDA projections.
V.2 Other intangible assets
2021
Software and IT
Other intangible assets Total
In thousands of euros developments
Gross value on 1 January 233,548 49,625 283,173
Accumulated amortization on 1 January (126,972) (20,667) (147,640)
Accumulated impairment losses on 1 January (21,488) - (21,488)
Net book value on 1 January 85,088 28,958 114,046
Acquisitions 19,276 980 20,256
Disposals (206) - (206)
Reclassifications 5 (5) -
Change in the consolidation scope - 383 383
Net amortization (18,072) (4,643) (22,715)
Impairments - - -
Other changes - - -
Net book value on 31 December 86,091 25,673 111,764
2020
Software and IT
Other intangible assets Total
In thousands of euros developments
Gross value on 1 January 235,409 44,576 279,985 67
Accumulated amortization on 1 January (136,346) (15,907) (152,252)
Accumulated impairment losses on 1 January (14,769) - (14,769)
Net book value on 1 January 84,294 28,669 112,963
Acquisitions 17,520 1,079 18,599
Disposals (17) - (17)
Reclassifications 1,717 - 1,717
Change in the consolidation scope 3,828 3,968 7,796
Net amortization (15,534) (4,759) (20,292)
Impairments (6,719) - (6,719)
Other changes - - -
Net book value on 31 December 85,088 28,958 114,046
In 2020, an impairment loss of 6.7 million euros was recorded on software and IT developments that are no longer useful in
the new technologies used by the front office.
V.3 Tangible fixed assets and investment properties
2021
Investment Operational Other tangible

Total
In thousands of euros properties buildings fixed assets
Gross value to be depreciated on 1 January 610,889 128,261 95,510 834,660
Acquisitions 304 348 8,539 9,191
Disposals and withdrawals (1,745) (103,473) (10,933) (116,151)
Properties held for sale - 44,827 1,605 46,432
Change in the consolidation scope (20,993) - 728 (20,265)
Reclassifications from one heading to another 1,293 (959) - 334
Other changes - - 67 67
Gross value on 31 December 589,747 69,005 95,516 754,268
Depreciations and accumulated

impairments on 1 January (120,147) (75,281) (67,543) (262,971)
Depreciations of the financial year (15,621) (2,156) (7,239) (25,016)
Impairments of the financial year - - - -
Reversals of the financial year - - - -
Disposals and withdrawals - 6,047 314 6,361
Reversals following disposals 1,073 46,946 5,436 53,455

68
Net impairment and reversal on
- (27,054) (510) (27,564)
properties held for sale
Change in the consolidation scope 5,253 - (505) 4,747

Reclassifications from one heading to another (828) 494 - (334)
Other changes - - (67) (67)

impairments on 31 December (130,271) (51,004) (70,114) (251,388)
Net book value on 31 December 459,477 18,001 25,402 502,880
Fair value on 31December 643,375 47,437 25,402 716,214

2020
Investment Operational Other tangible

Total
In thousands of euros properties buildings fixed assets
Acquisitions 28,280 207 6,964 35,451
Properties held for sale 2,408 - - 2,408
Change in the consolidation scope (5,258) 50 7,284 2,076
Reclassifications from one heading to another 892 (892) (20,355) (20,355)
Other changes - - - -

Disposals and withdrawals - - 15 15
Net impairment and reversal on

- - - -
properties held for sale 69
Change in the consolidation scope 2,415 (72) (5,897) (3,554)
Reclassifications from one heading to another (325) 325 14,066 14,066

Fair value on 31 December 645,384 91,909 29,957 767,250
Investment properties and held for own use are valued annually by independent real estate experts.
The fair value of investment properties represents the estimated amount at which the real estate could be exchanged on the
valuation date between a buyer and a willing seller on the basis of a transaction at arm's length.
With regard to investment properties, the valuation method is that of the perpetual capitalization of the Estimated Rental Value (ERV).
This method, in line with international valuation standards, is generally applied in the market where it is probable that the flow
of income is constant. It consists in the perpetual capitalization of the estimated rental value, by using a rate of return, plus or
minus a series of adjustments to take into account elements that may have a material impact on the value of the real estate assets.
The capitalisation rate is obtained on the basis of observations of comparable property values (and therefore rates of return) on
the property investment market and depends inter alia on the location of the property, the quality of the property, the quality
of the tenant and the length of the leases.
For buildings held for own use, the method of capitalizing the estimated rental value in perpetuity is also used. This estimated
rental value is based on a "sale & lease back" scenario.
Investment properties and held for own use are classified as level 3. Indeed, the valuation methods used by the experts are not
based on observable data on these markets. In particular, market rental values or capitalization rates should be considered
as input data of level 3.
In 2021, Ethias sold its two main buildings held for its own use: its main office in Liège and the building in Hasselt, preferring
to rent more environmentally friendly buildings.
V.4 Right-of-use of assets
2021
Immovable
IT equipment Vehicles Total
In thousands of euros properties
Acquisitions 28,140 660 8,278 37,078
Disposals and withdrawals (213) (5,443) (3,190) (8,847)
Remeasurement of lease obligations (507) (149) (34) (690)
Change in the consolidation scope 67 - 92 158
Reclassifications from one heading to another - - - -
Other changes 2,360 (5,619) 10,880 7,621

Disposals and withdrawals - - - -
Reversals following disposals 213 5,443 3,190 8,847
Change in the consolidation scope - - - -
Reclassifications from one heading to another - - - -
Other changes (454) 3,964 (1,722) 1,787
70 2020
Immovable
IT equipment Vehicles Total
In thousands of euros properties
Acquisitions 3,184 1,468 10,971 15,623

Remeasurement of lease obligations - - - -
Reclassifications from one heading to another (5,890) 11,464 5,890 11,464
Other changes 14,115 (4,207) 2,893 12,801

(5,357) (2,468)
impairments on 1 January (2,539) (10,364)
Disposals and withdrawals - - - -
Reclassifications from one heading to another 1,779 (6,893) (1,779) (6,893)
In 2021, the line "Other Changes" includes a change in methodology for the valuation of the rights-of-use of assets in 2021.
In 2020, the line "Reclassifications from one heading to another" includes, on the one hand, the reclassification of vehicles
included under "Immovable properties" in 2019 and, on the other hand, computer equipment previously included in “Other
tangible fixed assets”. The line "Other changes" includes properties not recognized at end-2019 as well as a change in
methodology on the valuation of the rights of use of assets in 2020.
V.5 Investments in associated companies and joint ventures
V.5.1 Information about associated companies and joint ventures
Prior to applying the equity method, the figures for joint ventures are:
Percentage of
Assets Liabilities Equity Revenues Net profit or loss
In thousands of euros ownership
BelgiumDC 34.19% 5,576 4,299 1,277 993 33
Green4You 26.00% 2,409 1,980 429 44 59
IMA Benelux 33.00% 5,964 5,007 957 8,316 (399)
Together Services 34.19% 634 473 161 1,740 76
WLP Holding 50.00% 161,521 106,404 55,118 1,237 (2,120)
WLP I 25.00% 29,646 25,085 4,562 1,630 (452)
WLP II 50.00% 18,417 15,058 3,358 1,529 581
WLP III 50.00% 119,191 98,321 20,870 5,769 1,163
WLP IV 50.00% 100,136 81,201 18,935 40 (552)
WLP VII 50.00% 42,682 35,093 7,589 181 7
WLP VIII 50.00% 15,005 15,594 (589) 823 (281)
WLP XI 50.00% 177,952 136,196 41,756 1,339 949
WLP CVH 50.00% 79,172 48,037 31,134 71 (190)
WLP CV 50.00% 42,446 11,079 31,367 5 (68)
Total on 31
December 2021 800,752 583,826 216,925 23,716 (1,193)
BelgiumDC 34.19% 4,131 3,216 915 809 68
IMA Benelux 33.00% 4,892 3,537 1,356 6,539 (694)
71
WLP Holding 50.00% 49,440 23,525 25,915 791 (45)
WLP I 25.00% 31,049 26,035 5,014 1,062 (1,207)
WLP II 50.00% 19,024 16,246 2,777 94 (720)
WLP III 50.00% 94,340 77,515 16,825 - -
WLP VIII 50.00% 18,646 18,955 (309) 316 (344)
Total on 31
December 2020 221,523 169,029 52,494 9,611 (2,942)
In 2020, Ethias SA acquired 33 % of IMA Benelux and 50 % of WLP Holding, which owns 50 % of WLP I and 100 % of WLP II,
WLP III and WLP VIII.
In 2021, Ethias SA acquired 26% of Green4You, and WLP Holding acquired 100% of WLP CVH, which owns 100% of WLP IV,
WLP VIII and WLP XI (through WLP CV for the latter).
Belgium DC is held for 50 % by NRB.
V.5.2 Evolution of investments in associated companies and joint ventures

Net book value on 1 January 26,156 595
Interests sold during the financial year - -
Interests acquired during the financial year 31,768 26,331
Reclassifications - -
Share in the result of the financial year (430) (769)
Dividends paid - -
Other changes - -
The difference between the equity of the associated companies and the share of participating interests below corresponds to
their contribution in the Group's equity.
V.6 Financial investments
V.6.1 Overview of financial investments by category
31 December 2021
Reassessment
through Reassessment
Cost price Impairments other items of through profit Net book value Fair value
comprehensive or loss
Available for sale 52,650 (12,460) 93,641 - 133,831 133,831
Participating interests 52,650 (12,460) 93,641 - 133,831 133,831
Designated at fair value

111,119 - - 16,788 127,907 127,907
through profit or loss
Held for trading 17,712 - - (2,738) 14,974 14,974
Equities 549,326 (14,006) 179,255 14,050 728,625 728,625

18,317 - - 1,043 19,360 19,360
Investment funds 293,695 (2,416) 155,516 1,043 447,837 447,837
Available for sale 13,593,663 (1,239) 1,219,329 - 14,811,752 14,811,752

276,208 - - 10,457 286,665 286,665
72
Bonds 13,869,871 (1,239) 1,219,329 10,457 15,098,417 15,098,417
Loans and deposits 884,920 (14) - - 884,905 899,346

Other investments 884,920 (14) - - 884,905 899,346
Held for trading 188 - - (184) 4 4
Held for hedging purposes - - 25,848 - 25,848 25,848
Derivative financial assets 188 - 25,848 (184) 25,852 25,852

linked insurance contracts 1,545,724 - - 232,330 1,778,054 1,778,054
Total 17,196,374 (30,137) 1,673,589 257,696 19,097,522 19,111,963

31 December 2020
Reassessment
through Reassessment
Cost price Impairments other items of through profit Net book value Fair value
comprehensive or loss
Participating interests 51,969 (12,321) 89,012 - 128,659 128,659

117,856 - - (11,790) 106,066 106,066
Held for trading 9,234 - - (709) 8,526 8,526
Equities 573,457 (16,271) 94,791 (12,498) 639,478 639,478

12,542 - - 1,466 14,009 14,009
Investment funds 213,248 (2,669) 99,416 1,466 311,461 311,461
Available for sale 13,245,096 (1,239) 1,951,679 - 15,195,536 15,195,536

297,666 - - 12,477 310,143 310,143
73
Bonds 13,542,762 (1,239) 1,951,679 12,477 15,505,679 15,505,679
Loans and deposits 646,356 (94) - - 646,262 669,275
Other investments 646,356 (94) - - 646,262 669,275
Held for trading 1,917 - - (1,590) 327 327
Held for hedging purposes - - 29,336 - 29,336 29,336
Derivative financial assets 1,917 - 29,336 (1,590) 29,663 29,663

linked insurance contracts 1,339,882 - - 151,259 1,491,140 1,491,140
Total 16,369,591 (32,595) 2,264,233 151,114 18,752,343 18,775,356
The cost includes the undepreciated part of the actuarial adjustments (for bonds) as well as the accrued interests not yet
due. The fair value of the loans is based on valuation methods including data that are not based on observable market data
(surrenders, evolution in the value of the guarantees, management costs). The fair value is based on the application of a
model price obtained by the discounting of projected cash flows on the basis of the forward rate curve and taking into account
the historical surrender assumption. The risk-free discount curve is adjusted to take into account the credit risks based on an
analysis of the portfolio and of the guarantees as well as of the market practices.
The fair value of loans is classified as Level 3. Indeed, the valuation approach is based on a deterministic model and includes
data that are not directly observable in the markets.
V.6.2 Evolution of financial investments
2021
Financial
Investments
assets Loans, Derivative
Available- Financial belonging to
designated deposits and financial
for-sale assets held unit-linked Total
at fair value other financial instruments
investments for trading insurance
through profit investments (assets)
contracts
In thousands of euros or loss
Opening balance
on 1 January 16,146,534 430,218 8,526 646,262 29,663 1,491,140 18,752,343
Acquisitions 3,090,570 48,174 108,587 886,629 188 548,465 4,682,614
Reclassifications
- - - - - - -
between categories
De-recognition following
- - - - (24,065) - (24,065)
exercise option
Profits and losses realized
on hedging instruments
(24,280) - - - 24,280 - -
not yet transferred
to profit or loss
Disposals and
(2,671,032) (64,181) (99,620) (648,915) (24,580) (386,523) (3,894,852)
reimbursements
Foreign currency
translation differences - - - - - - -
on monetary assets
Adjustment at fair value (536,233) 18,813 (2,518) - 20,366 129,562 (370,011)
Amortizations (30,692) 815 - 167 - (3,733) (33,444)
Changes in accrued
(12,245) 95 - 682 - (858) (12,325)
interests not yet due
Impairments (2,818) - - 80 - - (2,739)
Change in the
- - - - - - -
consolidation scope
Other changes - - - - - - -
74 Net book value on
31 December 15,959,804 433,933 14,974 884,905 25,852 1,778,054 19,097,522
2020
Financial
Investments
assets Loans, Derivative
Available- Financial belonging to
designated deposits and financial
for-sale assets held unit-linked Total
at fair value other financial instruments
investments for trading insurance
through profit investments (assets)
contracts
Opening balance
on 1 January 14,994,049 613,307 2,719 483,324 98,742 1,394,250 17,586,391
Acquisitions 2,824,158 44,266 83,077 339,235 1,087 383,750 3,675,572
Reclassifications
- - - (7,021) - - (7,021)
between categories
De-recognition following
- - - - (122,639) - (122,639)
exercise option
Profits and losses realized
on hedging instruments
(59,102) - - - 59,102 - -
not yet transferred
to profit or loss
Disposals and
(2,119,215) (209,647) (75,454) (169,266) (59,133) (329,882) (2,962,597)
reimbursements
Foreign currency
translation differences 1 - - - - - 1
on monetary assets
Adjustment at fair value 571,452 (16,043) (1,816) - 52,504 48,540 654,638
Amortizations (47,149) 842 - 31 - (5,019) (51,294)
Changes in accrued
(6,046) (2,508) - 406 - (499) (8,647)
interests not yet due
Impairments (11,615) - - (446) - - (12,061)
Change in the
- - - - - - -
consolidation scope
Other changes - - - - - - -
Net book value on
31 December 16,146,534 430,218 8,526 646,262 29,663 1,491,140 18,752,343
Adjustments to the fair value for derivatives (assets) break down into 20.6 million euros for derivative hedging instruments
(against 53.7 million euros in December 2020) and -0.2 million euros for derivative trading instruments (against -1.2 million
euros in December 2020).
The 2021 acquisitions include the loans agreed in the protocol signed with the Regions regarding the flooding for a total of
108 million euros (see point 1.3 of chapter II. Report of the Board of Directors).
V.6.3 Evolution of impairments on investments

V.6.3.1 Impairment on available-for-sale investments

Balance on 1 January (32,501) (36,296)
Provision for impairments (2,818) (11,615)
Reversals of impairments - -
Reversals due to disposals 5,197 15,410
Change in the consolidation scope - -
Other changes - -
Balance on 31 December (30,122) (32,501)
V.6.3.2 Impairments on loans, deposits and other financial investments

Balance on 1 January (94) (5,187)
Provision for impairments (11) (665)
Reversals of impairments 90 220 75
Reversals due to disposals - 5,539
Change in the consolidation scope - -
Other changes - -
Balance on 31 December (14) (94)
V.6.3.3 Past due financial investments

A financial asset is past due when the counterparty has failed to make a payment by the contractual due date. For example, if a
counterparty fails to pay the contractual interest due on a scheduled date, the entire contract shall be considered as past due.
The table below gives information about the maturity overrun of the outstanding, but not yet depreciated, financial assets. The
default risk analysis on the investment portfolio did not show such a risk on the investments that are considered as "Not past due".
31 December 2021
Net book value of unimpaired assets
Book value Net book value based on the following periods:
Net book
before Impairments of impaired Expired by
value Expired by up Expired less
impairment assets Not expired more than
to 6 months than 12 months
In thousands of euros 12 months
Available-for-sale
14,812,992 (1,239) 14,811,752 - 14,811,752 - - -
investments
Held-to-maturity
- - - - - - - -
financial assets
Financial assets unlisted
- - - - - - - -
on an active market
Loans, deposits and other
884,920 (14) 884,905 269 883,207 867 380 183
financial investments
Total 15,697,912 (1,254) 15,696,658 269 15,694,959 867 380 183
31 December 2020
Net book value of unimpaired assets
Book value Net book value based on the following periods:
Net book
before Impairments of impaired Expired by
value Expired by up Expired less
impairment assets Not expired more than
to 6 months than 12 months
In thousands of euros 12 months
Available-for-sale
15,196,775 (1,239) 15,195,536 - 15,195,536 - - -
investments
Held-to-maturity
- - - - - - - -
financial assets
Financial assets unlisted
- - - - - - - -
on an active market
646,356 (94) 646,262 1,102 643,447 1,060 401 253
Total 15,843,131 (1,333) 15,841,798 1,102 15,838,982 1,060 401 253
V.6.4 Definition of fair value of financial instruments

The table below gives a fair value analysis of the financial instruments measured at fair value. They are split in three levels,
from 1 to 3 based on the degree of observability of the fair value:
31 December 2021
Level 3
Level 2
Valuation
Level 1 Valuation
methods not
Listed prices on methods based Net book value
based on
an active market on observable
observable
market data
In thousands of euros market data
Financial assets
76 Available for sale 3 - 133,828 133,831
Participating interests 3 - 133,828 133,831
Available for sale 512,623 - 73,120 585,744
Designated at fair value through profit or loss 127,907 - - 127,907

Held for trading 14,974 - - 14,974
Equities 655,505 - 73,120 728,625
Available for sale 226,576 24,443 177,458 428,477
Held for trading - - - -
Investment funds 245,937 24,443 177,458 447,837
Available for sale 12,882,773 1,703,015 225,965 14,811,752
Designated at fair value through profit or loss 122,127 154,151 10,388 286,665
Bonds 13,004,899 1,857,166 236,353 15,098,417
Held for trading - 4 - 4
Held for hedging purposes - 25,848 - 25,848
Derivative financial assets - 25,852 - 25,852
1,752,938
linked insurance contracts 25,116 - 1,778,054
Total financial assets 15,659,282 1,932,577 620,759 18,212,617
Financial liabilities
Investment contracts hedged by assets at fair value 1,756,182 25,116 - 1,781,298
Derivative financial liabilities - 123,259 - 123,259
Total financial liabilities 1,756,182 148,375 - 1,904,557
31 December 2020
Level 3
Level 2
Valuation
Level 1 Valuation
methods not
Listed prices on methods based Net book value
based on
an active market on observable
observable
market data
In thousands of euros market data
Financial assets
Available for sale 3 - 128,657 128,659
Participating interests 3 - 128,657 128,659
Available for sale 463,799 - 61,088 524,887
Held for trading 8,526 - - 8,526
Equities 578,391 - 61,088 639,478
Investment funds 184,148 21,341 105,973 311,461
Available for sale 13,686,202 1,368,708 140,626 15,195,536
Designated at fair value through profit or loss 137,850 154,750 17,542 310,143
Bonds 13,824,053 1,523,458 158,168 15,505,679
Held for trading 286 41 - 327
Derivative financial assets 286 29,376 - 29,663
1,463,370 27,771
linked insurance contracts - 1,491,140 77
Total financial assets 16,050,250 1,601,946 453,885 18,106,081

Investment contracts hedged by assets at fair value 1,466,597 27,771 - 1,494,368
Held for hedging purposes - 925 - 925
Derivative financial liabilities - 925 - 925
Total financial liabilities 1,466,597 28,696 - 1,495,293
The fair value distribution of liabilities related to unit-linked insurance contracts is shown in the investment contracts hedged
by assets at fair value. This category also includes investment contract liabilities without discretionary participation features.
V.6.5 Distribution between the The Group considers that, if the market is unable to supply a
various hierarchic levels market price on a sufficiently regular basis and on the basis of
a sufficient number of contributors, the resulting value should
The distribution between the various hierarchical levels is
be recognized in level 2. This is, amongst others, the case when
based on the following criteria:
the Group selects a single contributor. The Group considers
Level 1: Fair value measured by reference to an active market the lack of a sufficient number of contributors as a sign of
The fair value measurements of the financial assets recognized inactivity on the security in question. Since the valuation is
at this level are determined by using the market prices based on the bid price supplied by a single counterparty, the
when they are available on an active market. A financial security will be recognized in level 2.
instrument is considered as listed on an active market if In any case, the fair value of the various instruments recognized
the ratings are easily and regularly available through stock in level 2 is not based on estimates of the Group.
exchanges, exchange brokers, brokers, price-setting services
Level 3: Valuation methods not based
or regulatory authorities and if these prices represent real and on observable market data
regular market operations that are carried out under the usual
At this level, the fair value is estimated by means of a valuation
conditions of free competition.
model which translates the way in which interveners on the
The Group classifies at this level assets valorized on the market could reasonably determine the price of the instrument
basis of prices given by financial information providers (e.g. if the transaction would take place. This valorization is based
Bloomberg) when a certain number of indicators, such as a on valuation methods which include data that are not based
sufficient number of contributors or the fact that the difference on observable market data.
between purchase price and resale price of the security
The valuation of the bond portfolio in level 3 is based on the
remains at an acceptable level, allow to reasonably assess
discounting of future cash flows by using the interest rate
whether there is an active market.
curve, the credit spread and maturity assumptions when it
This category includes, inter alia, all sovereign debt securities comes to perpetual bonds. The valuation of these bonds
directly valuated on the basis of values obtained on the classified in level 3 stands at 236 million euros at December
market. We note that, in application of IFRS 13, the "Bid" 31, 2021 compared with 158 million euros at December 31,
listing of Bloomberg is accepted, but is not required. 2020.
78 The close value supplied by Bloomberg should serve to Private equity funds, real estate funds and non-controlling
valorize the shares recognized in level 1. interests of the Group also belong to level 3. The fair value of
Are not recognized in level 1, shares of which the listing is not these participating interests is namely essentially determined
retained by Bloomberg and for which an internal analysis is on the basis of an internal valorization method that is based:
carried out to determine the value. • either on the intrinsic value of the participating
For funds listed on financial markets, the "Close" value interest for insurance companies, i.e. the
supplied by Bloomberg should serve to valorize those funds Revalued Net Asset as well as the value of
that are recognized in level 1. existing portfolios (= embedded value),
Are not recognized in level 1, funds for which the valorization • or on the Net Asset Value of the participating
was based on a unique contribution or was not retained by interest for the other companies. The valuation
Bloomberg. of these assets classified in level 3 stands at 311
At the level of branch 23 "unit-linked insurance contract", the million euros at December 31, 2021 compared
bid and close values supplied by Bloomberg are recognized with 235 million euros at December 31, 2020.
in level 1 in the same way as what is realized for the rest of In 2020, we invested in Euroclear, of which the IFRS level is 3
the portfolio. because it is an unlisted share. The valuation at end-December
Level 2: Valuation methods based on observable market data 2021 is based on a model price.
At this level, the fair value valuations are based on other data
than the quoted price and are either directly or indirectly
observable, i.e. inter alia derived from the prices. The fair
value of financial instruments which are not negotiated on
an active market is generally estimated by using external and
independent rating agencies. Are inter alia recognized at this
level: a certain number of complex financial instruments (bonds
designated at fair value through profit or loss or derivative
instruments) for which the market value is exclusively supplied
by an external counterparty.
V.6.6 Important transfers between investments estimated at fair value in level 1 and 2
From level 1 From level 2 From level 1 From level 2
In thousands of euros to level 2 to level 1 to level 2 to level 1
Financial assets
Available for sale - - - -
Participating interests - - - -
Designated at fair value through profit or loss - - - -
Equities - - - -
Investment funds - - - -
Bonds 80,327 179,785 35,579 84,086
Held for hedging purposes - - - -
Derivative financial assets - - - -
Investments belonging to unit-linked insurance contracts - 1,803 - -
Total financial assets 80,327 181,588 35,579 84,086 79
Investment contracts hedged by assets at fair value - - - -
Held for hedging purposes - - - -
Derivative financial liabilities - - - -
Total financial liabilities - - - -
In and out transfers of hierarchic levels of fair values are proposed on the basis of the inventory value at the beginning of the year.
Transfers between investments from level 2 to level 1 (179.8 million euros at end-2021) involve securities for which the source
of the market price was the price given by a counterparty and which are currently valued by the BGN price (generic Bloomberg)
and, inversely, transfers from level 1 to level 2 (i.e. for 80.3 million euros at end-2021) involve securities that were valued by
BGN (generic Bloomberg) and that are currently valued by the market price given by a counterparty.
V.6.7 Evolution of investments estimated at fair value in level 3
2021
Financial assets at
Available-for-sale
fair value through Total
investments
In thousands of euros profit or loss
Opening balance on 1 January 436,343 17,542 453,885
Acquisitions 180,827 - 180,827
Reclassifications between categories - - -
Reclassification to level 3 - - -
Exit from level 3 - - -
Disposals and reimbursements (27,070) (8,073) (35,143)
Adjustment at fair value through equity 18,962 - 18,962
Adjustment at fair value through profit or loss - 919 919
Depreciation (premiums/discounts) 1,495 - 1,495
Changes in accrued interests not yet due (26) (1) (27)
Impairments through profit or loss (160) - (160)
Other changes - - -
Closing balance on 31 December 610,371 10,388 620,759
2020
Financial assets at
Available-for-sale
fair value through Total
investments
In thousands of euros profit or loss
Opening balance on 1 January 336,836 54,633 391,470
80 Acquisitions 102,208 - 102,208
Reclassifications between categories - - -
Reclassification to level 3 - - -
Exit from level 3 - (22,749) (22,749)

Disposals and reimbursements (14,627) (14,999) (29,626)
Adjustment at fair value through equity 10,539 - 10,539
Adjustment at fair value through profit or loss - 671 671
Depreciation (premiums/discounts) 1,420 - 1,420
Changes in accrued interests not yet due (33) (14) (47)
Impairments through profit or loss - - -
Other changes - - -
Closing balance on 31 December 436,343 17,542 453,885
The amount of acquisitions (181 million euros - AFS) mainly includes acquisitions and capital increases of bond funds for 98
million euros and capital increases for 35 million euros. There were also acquisitions and capital increases for 80 million euros,
mainly for alternative funds and infrastructure funds, and 2.2 million euros for participating interests.
Disposals and reimbursements (27 million euros - AFS and 8 million euros - FVPL) are explained by the reimbursement of the
SMACL bond in FVPL for 7.6 million euros and mainly by the reimbursement of infrastructure and private equity funds for 23.6
million euros.
V.7 Derivative financial instruments
The table below gives an overview of the derivative assets and liabilities:
31 December 2021
Maturity dates
Between 1 Total nominal Positive Negative
In thousands of euros < 1 year and 5 years > 5 year value fair value fair value
Interest rate swaps - - - - - -
Options on interest rates - - - - - -
Forward bonds - - - - - -
Options on shares or indices 3,250 - - 3,250 4 -
Credit swaps - - - - - -
Subtotal held for trading 3,250 - - 3,250 4 -
Interest rate swaps - - 110,000 110,000 - (97,123)
Forward bonds - 621,000 - 621,000 25,848 (26,136)
Forward swaps - - - - - -
Subtotal held for hedging - 621,000 110,000 731,000 25,848 (123,259)
Total 3,250 621,000 110,000 734,250 25,852 (123,259)
31 December 2020
Maturity dates
Between 1 Total nominal Positive Negative
In thousands of euros < 1 year and 5 years > 5 year value fair value fair value
Options on interest rates - - - - - - 81
Forward bonds - - - - - -
Options on shares or indices 23,205 - - 23,205 327 -
Credit swaps - - - - - -
Subtotal held for trading 23,205 - - 23,205 327 -
Forward bonds - 100,000 - 100,000 - (925)
Forward swaps 150,000 - - 150,000 29,336 -
Subtotal held for hedging 150,000 100,000 - 250,000 29,336 (925)
Total 173,205 100,000 - 273,205 29,663 (925)
The hedging solutions against the fall in interest rates matured in 2021.
The hedging solution against the spread widening has expanded compared to 2020 (621 million euros in nominal value versus
100 million euros at end-2020). This solution reduces the volatility of our equity in economic value.
At end-2021, inflation swaps were also concluded for a nominal value of 110 million euros.
As regards spread hedging, initial costs of 2.3 million euros were recognized in the income instatement. Estimating the
effectiveness of the spread hedge once these costs have been taken into account does not imply taking into account
ineffectiveness.
V.8 Deferred tax assets and liabilities
V.8.1 Breakdown of deferred tax assets and liabilities
31 December 2021
Deferred tax Deferred tax Net deferred
In thousands of euros assets liabilities taxes
Available-for-sale investments through profit or loss - 427 (427)
Available-for-sale investments in other items of comprehensive income 548 366,172 (365,623)
Financial assets designated at fair value through profit or loss 707 293 414
Insurance and investment liabilities in other items of comprehensive income 256,701 - 256,701
Insurance and investment liabilities through profit or loss 94,937 6,869 88,068
Employee benefits in other items of comprehensive income 11,026 - 11,026
Employee benefits through profit or loss 2,805 - 2,805
Other sources of other items of comprehensive income - - -
Other sources through profit or loss - 31,026 (31,026)
Carried forward tax losses 566 - 566
Gross deferred tax assets and liabilities 367,291 404,787 (37,496)
Compensation through taxable entity (367,057) (367,057) -
Net deferred tax assets and liabilities 234 37,730 (37,496)
31 December 2020
Deferred tax Deferred tax Net deferred
In thousands of euros assets liabilities taxes
Available-for-sale investments through profit or loss - 1,462 (1,462)
82 Available-for-sale investments in other items of comprehensive income - 539,175 (539,175)
Financial assets designated at fair value through profit or loss - 3,803 (3,803)
Insurance and investment liabilities in other items of comprehensive income 371,267 - 371,267
Insurance and investment liabilities through profit or loss 87,944 6,869 81,074
Employee benefits in other items of comprehensive income 19,676 - 19,676
Employee benefits through profit or loss 2,085 - 2,085
Other sources of other items of comprehensive income - - -
Other sources through profit or loss - 32,650 (32,650)
Carried forward tax losses 15,927 - 15,927
Gross deferred tax assets and liabilities 496,899 583,960 (87,061)
Compensation through taxable entity (496,665) (496,665) -
Net deferred tax assets and liabilities 234 87,295 (87,061)
Net deferred taxes amount to -37.5 million euros (compared to -87.1 million euros at 31/12/2020). This change of +49.6
million change is mainly due to the change in deferred taxes on revaluations of investments classified as AFS (+174.6 million
euros), partially offset by the change in deferred taxes on technical provisions (-107.6 million euros), the change in deferred
taxes on provisions for pension commitments (-7.9 million euros) and the change in deferred taxes on recoverable tax losses
(-15.4 million euros).
V.8.2 Evolution of deferred tax assets and liabilities
2021 2020
Deferred Deferred tax Net deferred Deferred Deferred tax Net deferred
In thousands of euros tax assets liabilities taxes tax assets liabilities taxes
Net book value on 1 January 234 87,295 (87,061) 24,908 31,259 (6,352)
Changes through profit or loss 66 1,624 (1,559) (134,952) (92,171) (42,782)
Change in other items of
- (50,335) 50,335 110,279 148,243 (37,964)
comprehensive income
Change in scope (66) (854) 789 - (36) 36
Other changes - - - - - -
Net book value on 31 December 234 37,730 (37,496) 234 87,295 (87,061)
V.9 Receivables
V.9.1 Breakdown of receivables by nature
31 December 2021
In thousands of euros Gross value Impairment Net book value
Receivables arising from direct insurance
219,074 (20,433) 198,641
operations and accepted reinsurance
Receivables arising from ceded reinsurance operations 113,722 - 113,722
Receivables arising from other operations 96,378 (1,562) 94,816
Tax receivables 20,619 - 20,619
Other receivables 124,434 (1,595) 122,839
Total 574,227 (23,591) 550,636 83
31 December 2020
In thousands of euros Gross value Impairment Net book value
Receivables arising from direct insurance
246,479 (28,632) 217,848
Receivables arising from ceded reinsurance operations 124,132 - 124,132
Receivables arising from other operations 79,742 (1,187) 78,555
Tax receivables 7,872 - 7,872
Other receivables 86,837 (1,595) 85,241
Total 545,062 (31,414) 513,648
The fair value equals the net book value of the receivables. Indeed, the Group considers that for this type of assets the book
value is sufficiently close to the market value of the receivables.
V.9.2 Evolution of impairments on receivables

Impairments on receivables on 1 January (31,414) (26,778)
Provisions of the financial year (8,625) (15,763)
Expenditures of the financial year 6,922 1,463
Reversals of the financial year 10,178 9,580
Changes in the consolidation scope (202) (102)
Other changes (450) 186
Impairments on receivables on 31 December (23,591) (31,414)
V.9.3 Outstanding receivables
A financial asset is outstanding as soon as a counterparty fails to pay on the date stipulated under the contract, when it exceeds
the recommended limit or is informed about a limit that is lower than the current outstanding amounts. The table below gives
information about the maturity overrun of the outstanding, but not yet depreciated, financial assets.
31 December 2021
Net book value of unimpaired assets based on the following periods:
Book value Net book value

before of impaired Expired by up Expired less Expired by more
En milliers d’euros impairment Impairments Net book value assets Not expired to 6 months than 12 months than 12 months
Receivables arising from

insurance operations or 219,074 (20,433) 198,641 - 83,937 89,291 24,271 1,142
accepted reinsurance
113,722 - 113,722 - 113,722 - - -
Other receivables 241,432 (3,157) 238,274 583 229,269 6,642 1,537 243
Total 574,227 (23,591) 550,636 583 426,927 95,933 25,808 1,385
31 December 2020
Net book value of unimpaired assets based on the following periods:
Book value Net book value

before of impaired Expired by up Expired less Expired by more
En milliers d’euros impairment Impairments Net book value assets Not expired to 6 months than 12 months than 12 months
Receivables arising from

insurance operations or 246,479 (28,632) 217,848 - 76,293 120,917 19,369 1,268
accepted reinsurance
124,132 - 124,132 - 124,132 - - -
84 Other receivables 174,451 (2,782) 171,669 101 161,729 7,483 1,892 463
Total 545,062 (31,414) 513,648 101 362,154 128,401 21,262 1,731
In the case of Ethias, impaired receivables are reduced up to their total book value amount.
V.10 Any other assets

Interest and rent accrued but not yet due 835 444
Other accruals 17,651 18,321
Any other assets 29,880 28,867
Total 48,366 47,633
V.11 Cash and cash equivalents

Cash at bank and in hand 434,439 531,744
Cash equivalents 20,861 -
Total of the cash and cash equivalents 455,300 531,744
Payables arising from repurchase operations (repo) (725,260) (575,631)
Bank overdraft and other debts included in the cash flow statement (1,067) (46,578)
Cash and cash equivalents regarding the groups intended to be transferred - -
Total of the repurchase operations, cash and cash
equivalents in the cash flow statement (271,027) (90,464)
The fair value equals the net book value of the cash and cash equivalents. Indeed, the Group considers that for this type of
assets the book value is sufficiently close to the market value of the cash and cash equivalents.
V.12 Available-for-sale assets and liabilities including
assets from discontinued activities
Intangible assets - -
Investment properties - -
Operational buildings - 17,773
Other tangible fixed assets - 1,095
Total - 18,868
The building included in the note in 2020 was sold in July 2021.
V.13 Equity
V.13.1 Subscribed capital
The capital issued and paid on 31 December 2021 amounts to 1,000 million euros. It is represented by 20 million shares
without indication of the nominal value.
31 December 2021
In thousands of euros Number of shares
Registered shares without par value 1,000,000 20,000,000
Total 1,000,000 20,000,000
V.13.2 Other items of comprehensive income

The statement of comprehensive income is presented under point 3 in Chapter III. Consolidated financial statements.
85
V.13.2.1 Evolution of the revaluation reserve of the available-for-sale financial assets

Revaluation (536,233) 571,452
Related taxes 152,939 (155,122)
Shadow accounting 458,264 (352,566)
Related taxes (114,566) 88,141
Transfer resulting from disposals or impairments (50,923) (18,644)
Related taxes 12,731 4,661
Other changes - -
V.13.2.2 Evolution of the reserve for actuarial losses and profits on retirement benefit obligations

Net book value on 1 January (51,706) (32,934)
Recognized actuarial profits and losses 34,601 (25,029)
Related taxes (8,650) 6,257
Other changes - -
Net book value on 31 December (25,755) (51,706)
The actuarial gains and losses recognized in 2021 are explained by the increase in the discount rate (decrease in 2020) partially
offset by the increase in inflation and the financial results of the OFP.
V.13.2.3 Evolution of the reserve for hedge accounting
Revaluation (4,482) 23,115
De-recognition following exercise option (24,065) (49,375)
- -
Related taxes - -
Amortizations (2,379) (2,395)
Related taxes 595 599
Other changes - -
With regard to the forward bonds and swaps, profits or losses associated with the hedging contract are reclassified to the
income statement in the same periods as those during which the covered expected cash flows affect the net profit (loss) (i.e.
during the accounting period of interest revenues related to the bond acquired by means of the hedging contract).
V.14 Insurance and investment contract liabilities

V.14.1 Summary table of insurance and investment contract liabilities
Technical liabilities with regard to insurance and investment contracts, including those for which the financial risk is supported
by the insured, are divided into gross liabilities and reinsurers' share. Gross liabilities are divided according to the nature of
86 technical provision. Investment contract liabilities with discretionary participation features are presented separately from the
investment contract liabilities without discretionary participation features.
V.14.1.1 Liabilities related to Non-Life insurance contracts


Mathematical provisions 1,014,654 968,039
Provisions for unearned premiums 295,804 296,447
Claims provisions 2,700,010 2,532,491
Shadow accounting - -
Other provisions 206,019 205,746
Total insurance contract liabilities (gross) 4,216,487 4,002,723
Reinsurers' share in liabilities related to Non-Life insurance contracts 222,806 156,291
Total insurance contract liabilities (after deduction of the reinsurers' share) 3,993,681 3,846,431
The increase in mathematical provisions is mainly due to the indexation of annuities.

The increase in claims provisions is mainly explained by the floods in July, but also by the pandemic, which had a downward
impact on the 2020 provisions.
V.14.1.2 Liabilities related to Life insurance contracts
Mathematical provisions 4,241,237 4,203,610
Claims provisions - -
Shadow accounting 581,250 860,943
Other provisions - -
Insurance contract liabilities 4,822,487 5,064,554
Liabilities related to unit-linked insurance contracts 482,007 447,704
Total insurance contract liabilities (gross) 5,304,495 5,512,258
Reinsurers' share in liabilities related to Life insurance contracts 2,923 1,311
Total insurance contract liabilities (after deduction of the reinsurers' share) 5,301,571 5,510,947
Some reinsurance treaties related to the Life insurance contracts cannot cover the actual insurance risk in the liabilities related
to Life insurance contracts, but only the financial risk. In order to present the information in a coherent way, the part of these
treaties is presented in accordance with the Life insurance contracts to which they are related.
The decrease in liabilities related to Life insurance contracts is mainly explained by the decrease in shadow accounting directly
impacted by the increase in interest rates, partially offset by the allocation of the profit sharing as of January 1, as well as by
the evolution of the financial results of the unit-linked insurance contracts.
V.14.1.3 Investment contract liabilities

Mathematical provisions 4,443,237 4,376,813
Claims provisions - -
Shadow accounting 456,457 620,767
Investment contract liabilities with discretionary participation features 4,899,693 4,997,580 87
Liabilities related to unit-linked investment contracts
1,277,325 1,029,997
with discretionaryparticipation features
Mathematical provisions
3,244 3,227
Investment contract liabilities without discretionary participation features 3,244 3,227
Liabilities related to unit-linked investment contracts
18,721 13,440
without discretionary participation features
Total investment contract liabilities (gross) 6,198,984 6,044,244
Reinsurers' share in investment contract liabilities
- -
with discretionary participation features
Total investment contract liabilities (after deduction of the reinsurers' share) 6,198,984 6,044,244
The increase in liabilities related to investment contracts is mainly explained by the allocation of profit sharing as of January
1, by the evolution of financial results and the acquisition of new unit-linked insurance contracts, partly offset by the decrease
in shadow accounting directly impacted by the increase in interest rates.
V.14.1.4 Profit sharing liabilities

Profit sharing related to Non-Life insurance contracts - -
Profit sharing related to Life insurance contracts 3,986 3,597
Profit sharing related to investment contracts 39,113 36,069
Liabilities for profit sharing of policyholders 43,099 39,666
V.14.2 Evolution of liabilities related to Non-Life insurance contracts
V.14.2.1 Evolution of gross values before reinsurance
Insurance contract liabilities on 1 January 4,002,723 3,955,603
Claims paid in the previous years (359,425) (422,469)
Change in claim costs compared to the previous financial years (101,386) (64,777)
Addition to liabilities on claims of the current year 628,330 485,443
Transfer of received/ceded reserves - -
Change in gross reserves for unearned premiums (568) 3,497
Shadow accounting - -
Other changes 46,813 45,425
Insurance contract liabilities on 31 December 4,216,487 4,002,723
Other changes in reserves mainly include changes in mathematical provisions.
V.14.2.2 Evolution of the reinsurers' share

Reinsurers' share in insurance contract liabilities on 1 January 156,291 155,524
Reinsurers' share in claims costs (5,589) (14,355)
Change in claim costs compared to the previous financial years 63,861 4,342
Addition to liabilities on claims of the current year 8,656 10,807
Other changes in reserves (413) (27)
Reinsurers' share in insurance contract liabilities on 31 December 222,806 156,291
88
V.14.2.3 Development triangles
The table below shows the evolution of the reserves for unsettled claims over the last 10 years. All intended contracts are
insurance contracts as defined in the IFRS. This table shows the accumulated values. The columns include all the previous
years and the year under review.
Claims occurrence years

In thousands of euros 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
Provisions for gross claims
on the closing date 2,092,978 2,110,994 2,092,494 2,104,045 2,076,655 2,175,915 2,219,389 2,312,238 2,313,458 2,473,050
Accumulated payments:
2013 397,164
2014 621,242 392,400
2015 715,510 529,082 317,918
2016 809,244 652,016 483,331 338,794
2017 891,250 747,095 590,706 466,909 310,154

2018 960,814 828,395 687,415 583,283 466,862 365,399
2019 1,008,913 887,010 756,142 665,950 573,091 515,840 380,603
2020 1,052,902 943,619 820,365 743,635 669,022 633,816 551,874 422,469
2021 1,085,758 982,170 866,931 800,662 740,801 722,488 670,385 601,494 359,425
Revaluated reserves:
2013 1,981,278
2014 1,880,709 1,944,985
2015 1,795,333 1,817,847 1,890,299
2016 1,699,181 1,707,645 1,731,871 1,880,139
2017 1,656,289 1,631,421 1,620,225 1,706,555 1,847,647
2018 1,625,352 1,597,015 1,574,840 1,623,482 1,721,569 1,988,529
2019 1,611,064 1,580,048 1,546,365 1,593,903 1,675,555 1,920,411 2,097,752 89
2020 1,614,109 1,578,086 1,539,465 1,578,858 1,652,732 1,880,588 2,029,127 2,250,484

2021 1,626,234 1,589,273 1,551,910 1,585,340 1,661,968 1,798,945 1,952,069 2,132,059 2,204,145
Current claim liabilities 540,476 607,103 684,979 784,678 921,167 1,076,458 1,281,683 1,530,565 1,844,719 2,473,050
Surplus (insufficiency) of the initial provision compared to the estimated cost price on 31 December 2021:
In nominal value 466,744 521,721 540,584 518,704 414,687 376,970 267,320 180,179 109,313
In percent 22.30% 24.71% 25.83% 24.65% 19.97% 17.32% 12.04% 7.79% 4.73%
Other liabilities for claims related to Non-Life insurance contracts 226.960
Total of the provisions for claims related to Non-Life insurance contracts 2.700.010
We have calculated the impact of the reinsurance effect on the development triangles and this was considered not significant.
V.14.3 Evolution of liabilities related to Life insurance contracts

(without unit-linked insurance contracts)
Insurance contract liabilities on 1 January 5,064,554 4,889,631
Premiums 223,339 235,088
Benefits (296,002) (278,562)
Time value 90,594 93,365
Internal transfers (9,360) (37,511)
Transfer of received/ceded reserves 160,392 1,855
Shadow accounting (279,693) 160,666
Other changes in reserves (131,336) 22
Insurance contract liabilities on 31 December 4,822,487 5,064,554
In 2021, the adequacy test for technical provisions did not result in any additional adjustments to the reserves. The last
adjustment made was in 2018 and amounted to 66 million euros.
V.14.3.2 Evolution of the reinsurers' share
Reinsurers' share in insurance contract liabilities on 1 January 1,311 1,826
Ceded premiums - -
Reinsurers' share in claims costs - -
Reinsurers' share in time value - -
Transfers - -
Other changes in reserves 1,612 (515)
Reinsurers' share in insurance contract liabilities on 31 December 2,923 1,311
V.14.4 Evolution of investment contract liabilities with profit-

sharing (without unit-linked insurance contracts)
Investment contract liabilities on 1 January 4,997,580 4,769,558
Premiums 1,128,986 1,093,593
Benefits (1,129,100) (1,102,429)
Time value 37,382 43,464
Internal transfers (137,130) (7,133)
Transfer of received/ceded reserves 159,097 8,686
Shadow accounting (164,310) 171,552
Other changes in reserves 7,189 20,287
90
Investment contract liabilities on 31 December 4,899,693 4,997,580
The Group did not conclude a reinsurance agreement within the framework of its unit-linked insurance contracts.
V.14.5 Evolution of liabilities related to unit-linked insurance contracts

Liabilities related to unit-linked insurance contracts on 1 January 1,491,140 1,394,250
Premiums 3,465 339
Benefits (623) (656)
Revaluation of the provisions 137,603 52,825
Technical result and other transfers - -
Internal transfers (13,987) 44,644
Transfer of received/ceded reserves 160,477 -
Other changes in reserves (21) (262)
Liabilities related to unit-linked insurance contracts on 31 December 1,778,054 1,491,140
The Group did not conclude a reinsurance agreement within the framework of its unit-linked insurance contracts.
Transfers of reserves from the 1st and 2nd pillars have been made from branch 21 to branch 23 for an amount of up to -14 million
euros. An amount of 160 million euros in external transfers was received.
V.14.6 Insurance Liability Adequacy Testing
The adequacy of insurance liabilities ("Liability Adequacy Test") is tested using current best estimates of all contractual cash
flows, based on the following assumptions:
• Liabilities are updated through an appropriate risk-free interest rate curve in order to take into account
the asset and liability management implemented in the company's long-term commitments.
• The surrender law was estimated on the basis of the historic data.
The main accounting estimates and significant judgements are included under point 6 of chapter IV. General information.
The net present value of the cash flows is compared with the corresponding technical liabilities. Any inadequacy is recognized
in the income statement.
Unrealized gains observed and recognized on assets covering Life insurance liabilities and investment contracts are allocated
to liabilities related to Life insurance contracts and investment contracts via the shadow accounting adjustment.
The tests carried out at end-2021 confirmed the adequacy of the liabilities recognized.
V.15 Financial debts

V.15.1 Changes in financial debts
2021
Subordinated Lease Other financial
Total
In thousands of euros debts obligations debts
Opening balance on 1 January 487,694 35,079 685,061 1,207,834
Issuances - 37,078 97 37,175
Remeasurement - (690) - (690)
Interests payable 22,442 408 2,738 25,587
Repayments (22,442) (19,999) (19,983) (62,423)
91
Foreign currency translation
- - - -
differences on monetary assets
Amortizations 3,422 - - 3,422
Changes in accrued interests not yet due (9) - (1,190) (1,199)
Issuances of payables arising from
- - 525,526 525,526
repurchase operations (repo)
Repayments of payables arising from
- - (374,706) (374,706)
Change in bank overdrafts and other debts
- - (45,511) (45,511)
included in the cash flow statement
Change in the consolidation scope - 158 547 705
Reclassifications between categories - 1,002 (1,002) -
Other changes - 8,476 - 8,476
Net book value on 31 December 491,107 61,512 771,577 1,324,195
2020
In thousands of euros Subordinated debts Lease obligations Other financial debts Total
Opening balance on 1 January 484,037 18,950 234,020 737,007
Issuances - 15,151 8,347 23,497
Remeasurement - - - -
Interests payable 22,602 699 3,836 27,136
Repayments (22,602) (16,727) (17,544) (56,873)
Foreign currency translation
- - - -
differences on monetary assets
Amortizations 3,671 - - 3,671
Changes in accrued interests not yet due (14) - (1,939) (1,953)
Issuances of payables arising from
- - 835,867 835,867
Repayments of payables arising from
- - (381,888) (381,888)
Change in bank overdrafts and other debts
- - (11,212) (11,212)
included in the cash flow statement
Change in the consolidation scope - - 15,350 15,350
Reclassifications between categories - 4,206 - 4,206
Other changes - 12,801 225 13,026
Net book value on 31 December 487,694 35,079 685,061 1,207,834
V.15.2 Breakdown by nature

92
In thousands of euros Balance value Fair value Balance value Fair value
Convertible subordinated bond loans - - - -
Non-convertible subordinated bond loans 491,107 575,564 487,694 580,854
Subordinated debts 491,107 575,564 487,694 580,854

Lease obligations 61,512 61,512 35,079 35,079
Convertible bond loans - - - -
Non-convertible bond loans - - - -
Bank overdrafts 47 47 870 870
Payables arising from repurchase operations (repo) 725,260 725,260 575,631 575,631
Collateral received as guarantee 1,020 1,020 45,708 45,708
Others 45,249 45,249 62,853 62,853
Other financial debts 771,577 771,577 685,061 685,061
Total of the financial debts 1,324,195 1,408,652 1,207,834 1,300,995
The assessments at fair value of the loans issued in 2015 and the balance of the 2005 perpetual loan, with a total nominal
amount of 417 million euros, are based on the “Ask” market price (source Bloomberg). The fair value of the bond loan issued
in 2005 with a 2023 maturity, for a nominal amount of 75 million euros, is determined on the basis of observable factors such
as the levels of interest rate markets and credit markets. The valuation model is based on the discounting of future cash flows
and takes into account the probability of exercise of the various repayment options available to investors.
V.15.3 Breakdown by maturity
31 December 2021
Total of the
Less than Between 1 More than
Undefined value in the
1 year and 5 years 5 years
In thousands of euros balance
Convertible subordinated bond loans - - - - -
Non-convertible subordinated bond loans 19,686 460,921 10,500 - 491,107
Subordinated debts 19,686 460,921 10,500 - 491,107
Lease obligations 18,832 34,241 8,439 - 61,512
Convertible bond loans - - - - -
Non-convertible bond loans - - - - -
Bank overdrafts 47 - - - 47
Payables arising from repurchase operations (repo) 626,958 98,303 - - 725,260
Collateral received as guarantee 150 870 - - 1,020
Others 14,541 13,833 9,570 7,305 45,249
Other financial debts 641,695 113,006 9,570 7,305 771,577
Total of the financial debts 680,214 608,167 28,509 7,305 1,324,195
31 December 2020
Total of the
Convertible subordinated bond loans - - - - -
Non-convertible subordinated bond loans 19,685 75,000 393,008 - 487,694
Subordinated debts 19,685 75,000 393,008 - 487,694
Lease obligations 13,285 15,344 6,451 - 35,079 93
Convertible bond loans - - - - -

Non-convertible bond loans - - - - -
Bank overdrafts 870 - - - 870
Payables arising from repurchase operations (repo) 575,631 - - - 575,631
Collateral received as guarantee 45,708 - - - 45,708
Others 29,318 6,033 27,503 - 62,853
Other financial debts 651,526 6,033 27,503 - 685,061
Total of the financial debts 684,496 96,377 426,961 - 1,207,834
The item "maturities less than 1 year" of the bond loans consists of accrued interest not yet due (19.7 million euros at December
31, 2021).
The amortization of issue costs on the non-convertible subordinated bond amounts to 3.8 million euros as of December 31,
2021 (compared to 3.8 million euros as of December 31, 2020).
V.16 Employee benefits

V.16.1 Description of the employee benefits
V.16.1.1 Post-employment benefits
Various remuneration plans granted at the leaving date of the employees or during their retirement were implemented within
the Group. This category mainly includes:
Pension benefit obligations
The majority of the systems granted to the employees of the different subsidiaries of the Group are insured within the Group itself
through the company Ethias SA or financed in the Ethias Pension Fund. There are two separate types of systems that coexist:
• "Defined benefit" pension commitments, according to which a predefined amount, resulting from the
application of a formula, will be paid to an employee upon retirement, or during retirement. This amount
generally depends on the following factors: number of years of service, salary and statutory pension limits.
• Pension commitments of the "defined contribution" The Group remains its own insurer for a bond amounting to 179
type by which an employer commits up to the million euros. Regarding this obligation, by the fact that the
amount of a financing. The employer limits his Group itself insures part of the future benefits of the pension
commitment to the payment of contributions and not schemes allocated to its employees, the representative assets
to a "predetermined" benefit, contrary to the defined of the pension plans do not correspond with the definition of
benefit schemes. The employees' pension amount the scheme in the sense of IAS 19.
is calculated in proportion to the accumulation Other post-employment benefits
of the paid and capitalized contributions.
These other post-employment benefits mainly include various
The Belgian law on complementary insurances imposes a advantages offered to pensioners and pre-pensioners: access
guaranteed minimum yield on employer's and individual to healthcare cover, to cultural activities of the employee
contributions. The taking into account of this law, related association (called “the Amicale”) and other divers advantages.
to the definition (design) of the pension commitment, can These advantages are essentially financed by the aid fund of
in some cases mean that the Belgian defined contribution the employee association. This fund is essentially supplied by
plans are considered as defined benefit plans according to individual contributions paid by active employees, pensioners
IAS 19. In general, the employer retains an obligation after and pre-pensioners. The residual liability eventually at charge
the contribution payment. of the employer is considered as non-significant and is not
At the beginning of July 2017, Ethias SA entrusted the financing valorized in the financial statements.
of a large part of the “retirement” component of the pension
commitments in favour of its employees to the Ethias Pension V.16.1.2 Long-term benefits
Fund OFP, the multi-employer pension fund created in May 2017. Long-term benefits refer to advantages granted to active
With regard to the retirement component of the "defined employees and which are not fully payable within the twelve
benefit" commitment type, the entire financing of this months following the end of the financial year in which the
component was entrusted to the Ethias Pension Fund OFP for employees provided the services. These benefits include, inter
persons in employment on 1 July 2017, which resulted in the alia, long-term compensated absences, long-service bonuses
transfer of their reserves managed under this group insurance as well as allowances scheduled within the frame of the "60+"
to the Ethias Pension Fund OFP. plan (put in place in 2015 and in 2017), concerning the gradual
94 retirement of persons born before January 1, 1961.
For the retirement component of the “defined contribution”
commitment type, only future contributions (due from 1 July V.16.1.3 Termination benefits
2017 onwards) will be paid into the Ethias Pension Fund OFP
Termination benefits refer to amounts paid to employees in the
(the reserves set up in this group insurance until that date will
event of dismissal or resignation. This category of advantages
continue to be managed within the frame of the reduced policies).
also includes provisions constituted by the employer for the
The "decease and disability" component of supplementary charge of the benefits paid to the pre-pensioners until the
pension commitments remains managed as part of group age of 65. These benefits should only be provisioned if the
insurance within the Group. company committed itself explicitly to grant them.
The debt registered on the balance sheet for the bonds
transferred to the Ethias Pension Fund OFP corresponds to V.16.2 Overview of employee
the pension obligation minus the representative assets held benefits by nature
in the Ethias Pension Fund OFP, i.e. 32 million euros. The debt for employee benefits is analysed as follows:

Post-employment benefits 211,413 241,865
Long-term employee benefits 30,074 41,787
Termination benefits 1,781 1,381
Total 243,268 285,032
The current value of the financed bonds amounts to 437 million euros (the fair value of the assets is 405 million euros) and
that of the non-financed bonds is 179 million euros.
Amounts of the projected benefits:

Post-employment benefits 20,517 10,334
Long-term employee benefits 10,506 10,855
Termination benefits - 56
Total 31,023 21,245
V.16.3 Actuarial assumptions and sensitivity analysis

V.16.3.1 Actuarial assumptions
Debts for employee benefits are calculated on an actuarial basis, based on the projected unit credit method. The main parameters
(financial and demographic assumptions) used for the debt calculation are summarized below:

Discount rate according to duration:
3 years 0.00% 0.00%
10 years 0.71% 0.26%
15 years 1.07% 0.45%
25 years 1.23% 0.54%
Expected wage increase 0.65% 0.50%
Inflation rate 1.80% 1.60%
Staff turnover rate:
For agents of the 148
in the last 7 years of their career 0.00% 0.00%
otherwise 1.50% 1.50% 95
For the other groups

For the DB 1.50% 1.50%
For the DC 4.00% 4.00%
Life table 32% of MR/FR 32% of MR/FR
The discount rates used to actualize the commitments are defined by reference to the market rate at the closing date of first
category corporate bonds with a maturity that is comparable to the maturity of the commitments.
The life assumptions are based on official life tables and on experience observed within the Group. All assumptions reflect the
Group's best estimate.
The average duration of the Life benefit of the pension schemes is 15 years
V.16.3.2 Sensitivity analysis

We analysed the impact of the change in the main actuarial assumptions on the debt assessment regarding employee benefits.
This analysis showed that an increase in discount rate with 25 basis points should lower the debt with regard to employee
benefits with 19 million euros. A decrease of the same level would however result in a debt increase of 21 million euros.
The impact of an increase with 25 basis points of the expected wage increase rate amounts to 17.3 million euros.

Discount rate
Increase in rates with 25 basis points (19,291) (21,068)
Decrease in rates with 25 basis points 20,583 22,050
Expected wage increase
Increase in rates with 25 basis points 17,278 18,444
V.16.4 Change in liabilities of the defined benefit schemes
Net liabilities of the defined benefit schemes as of January 1st 241,865 232,012
Total expenses of the defined benefit schemes 28,421 27,000
Contributions paid by the employer (20,799) (32,436)
Benefits paid directly by the employer (3,473) (9,740)
Revaluation (34,601) 25,029
Net liabilities of the defined benefit schemas of December 31st 211,413 241,865
The main movements in 2021 are a decrease in the contribution paid by Ethias to the OFP and an important increase in discount
rates partially offset by the increase in the inflation rate.
V.16.5 Changes in defined benefit scheme obligations and long-term benefits

2021 2020
Post- Post-
Long-term Long-term
employment Total employment Total
benefits benefits
In thousands of euros benefits benefits
Defined benefit scheme
615,995 41,787 657,782 571,802 52,097 623,899
obligation as of January 1st
Cost price of services 31,478 108 31,586 30,433 110 30,543
Interest charges 2,605 4 2,609 5,478 16 5,493
Benefits paid directly by the employer (3,473) (12,027) (15,500) (9,740) (10,345) (20,085)
Benefits paid (10,008) - (10,008) (10,242) - (10,242)
Others (3,963) - (3,963) (5,558) - (5,558)
96 Revaluation (16,564) 202 (16,362) 33,822 (91) 33,731
Defined benefit scheme obligation
as of December 31st 616,070 30,074 646,144 615,995 41,787 657,782
V.16.6 Change in fair value of the defined benefit scheme assets

Fair value of the defined benefit scheme assets as of January 1st 374,130 339,790
Interest income 1,699 3,352
Employers’ contributions 20,799 32,437
Benefits paid (10,008) (10,242)
Income of interests on plan assets in excess of interest income 18,037 8,793
Fair value of the defined benefit scheme assets as of December 31st 404,657 374,130
V.16.7 Allocation of defined benefit scheme assets

31 December 2021
In thousands of euros Value %
Bonds 255,192 63%
Equities 128,638 32%
Real estate - 0%
Cash 5,631 1%
Illiquid assets 15,196 4%
Total 404,657 100%
V.16.8 Items affecting the income statement relating to defined benefit schemes
Cost price of services 31,478 30,433
Net interest charges 906 2,125
Others - -
Total expenses 32,384 32,558
V.17 Provisions
2021
Provisions for Other non-technical
Provisions for disputes Total
In thousands of euros financial risks provisions
Provisions on 1 January 15,705 - 12,262 27,967
Provisions (+) 4,821 - 455 5,276
Expenditures (-) (2,463) - (2,774) (5,237)
Reversals (-) (1,836) - (1,450) (3,285)
Transfers (+/-) (55) - (265) (320)
Change in scope - - - -
Provisions on 31 December 16,172 - 8,229 24,401
2020
Provisions for Provisions for Other non-technical
Total
In thousands of euros disputes financial risks provisions
Provisions on 1 January 13,555 1,876 16,770 32,201
97
Provisions (+) 5,441 - 3,689 9,130
Expenditures (-) (3,393) - (5,121) (8,513)
Reversals (-) - (1,876) (3,076) (4,952)
Transfers (+/-) - - - -
Change in scope 102 - - 102
Provisions on 31 December 15,705 - 12,262 27,967
The increase in provisions for litigation is mainly due to allocations for new risks, offset to a lesser extent by reversals and uses
of provisions following the resolution of certain disputes.
V.18 Trade and other payables

V.18.1 Breakdown by nature
Liabilities arising from direct insurance operations and accepted reinsurance 161,124 150,151
Liabilities arising from ceded reinsurance operations 96,469 133,275
Liabilities from operating activities 257,593 283,426
Tax on current result 5,091 4,769
Other contributions and taxes 50,960 27,820
Tax liability payable 56,051 32,589
Social security payables 66,003 67,017
Trade payables 96,119 86,502
Accruals for liabilities 21,387 14,240
Total other payables 586,926 558,757
Debt arising from direct insurance operations and accepted reinsurance operations include premiums paid prior to maturity,
amounts due to various applicants and benefits to be paid.
The other debts mainly include rental guarantees, costs on ring-fenced funds to be liquidated, unallocated payments and stock
exchange transactions to be paid.
The accruals mainly include the subsidies to be carried forward and the other income to be carried forward.
The fair value equals the net book value of the debts. Indeed, the Group considers that for this type of debts the book value is
sufficiently close to the market value of the debts.
V.18.2 Breakdown by maturity

31 December 2021
Total of the
Liabilities arising from direct insurance
153,156 688 (310) 7,590 161,124
Liabilities arising from ceded
8,854 - - 87,615 96,469
Liabilities from operating activities 162,010 688 (310) 95,204 257,593
Tax on current result 5,072 - - 19 5,091
Other contributions and taxes 50,960 - - - 50,960
Tax payables 56,032 - - 19 56,051
Social security payables 66,003 - - - 66,003
Trade payables 95,531 - - 588 96,119
Other payables 87,947 1,468 - 359 89,774
98 Accruals for liabilities 21,387 - - - 21,387
Other payables 270,869 1,468 - 947 273,283
Total other payables 488,910 2,156 (310) 96,170 586,926
31 December 2020
Total of the
Liabilities arising from direct insurance
140,663 503 132 8,853 150,151
Liabilities arising from ceded
6,460 - - 126,815 133,275
Liabilities from operating activities 147,123 503 132 135,667 283,426
Tax on current result 4,769 - - - 4,769
Other contributions and taxes 27,820 - - - 27,820
Tax payables 32,589 - - - 32,589
Social security payables 66,983 34 - - 67,017
Trade payables 86,502 - - - 86,502
Other payables 73,225 1,758 - - 74,983
Accruals for liabilities 14,191 27 23 - 14,240
Other payables 240,901 1,818 23 - 242,742
Total other payables 420,613 2,321 155 135,667 558,757
VI NOTES TO THE CONSOLIDATED INCOME STATEMENT
VI.1 Income from insurance activities
31 December 2021
Insurance contracts Investment
contracts with
discretionary Total
Life Non-Life participation
En milliers d’euros features Life
Gross premiums 233,005 1,404,328 1,129,536 2,766,869
Premiums ceded to reinsurers (1,362) (39,195) - (40,556)
Change in provision for unearned premiums
- 230 - 230
and outstanding risks (net of reinsurance)
Other income from insurance activities 2,764 1,189 451 4,404
Revenues of insurance activities
(net of reinsurance) 234,408 1,366,552 1,129,987 2,730,947
31 December 2020
contracts with
discretionary Total
Gross premiums 243,054 1,382,016 1,095,117 2,720,187
Premiums ceded to reinsurers (1,506) (37,835) - (39,340)
Change in provision for unearned premiums
- (3,498) - (3,498)
and outstanding risks (net of reinsurance) 99
Other income from insurance activities 3,549 1,284 473 5,307

Revenues of insurance activities
(net of reinsurance) 245,097 1,341,968 1,095,590 2,682,655
Premiums regarding investment contracts without discretionary participation features follow the deposit accountancy. They
are recognized in investment revenues.
VI.2 Technical expenses for insurance activities

31 December 2021
contracts with
discretionary Total
Claims and insurance benefits 382,992 1,191,958 1,292,444 2,867,394
Net expenses or revenues ceded to reinsurers (1,952) (114,736) - (116,688)
Management costs 19,887 282,864 23,430 326,181
Technical expenses for insurance activities 400,927 1,360,086 1,315,874 3,076,887
31 December 2020
contracts with
discretionary Total
Claims and insurance benefits 356,345 990,475 1,159,139 2,505,959
Net expenses or revenues ceded to reinsurers (746) (23,229) - (23,975)
Management costs 16,517 277,258 20,782 314,557
Technical expenses for insurance activities 372,116 1,244,504 1,179,921 2,796,541
Deposit accounting is applied to expenses and benefits regarding investment contracts without discretionary participation.
They are recognized within investment expenses.
Management costs include acquisition costs of the contracts, administrative costs and other technical expenses. Internal and
external claim handling costs are included in the expenses and insurance benefits.
VI.3 Net profit (loss) of cessions in reinsurance

Premiums ceded to reinsurers (40,556) (39,340)
Change in provision for unearned premiums - reinsurers' share (413) (27)
Net expenses or revenues ceded to reinsurers 116,688 23,975
Net profit (loss) of cessions in reinsurance 75,719 (15,393)
100 VI.4 Net profit (loss) of other activities

Revenues of institutions not being insurance companies 492,903 332,249
Other revenues of institutions not being insurance companies 28,796 15,092

Other revenues related to insurance activities 820 505
Revenues from other activities 522,519 347,846
Operating expenses of institutions not being insurance companies (428,737) (271,946)
Operating expenses of institutions being insurance companies (6,205) (6,911)
Other revenues of institutions not being insurance companies (30,266) (28,420)
Other expenses of institutions being insurance companies (29,018) (17,541)
Expenses for other activities (494,225) (324,818)
Net profit (loss) of other activities 28,294 23,027
The net profit (loss) of other activities does not include financial revenues or financial expenses. Other revenues and expenses
related to insurance activities include non-technical revenues and expenses liberated by the Group's insurance companies.
VI.5 Net financial result without finance costs
31 December 2021
Change in
Change in
Net realized fair value of
Net income from amortizations Other investment
gains or losses investments Total
investments and depreciations financial expenses
on investments through profit
on investments
Investment properties 33,648 4,019 - (15,621) - 22,046

Available for sale 3,541 15,435 - (139) - 18,837
Participating interests 3,541 15,435 - (139) - 18,837
Available for sale 33,040 42,696 - 2,518 - 78,254
At fair value through profit or loss 3,576 11,593 162,778 - - 177,946
Held for trading 147 4,032 (2,518) - - 1,660
Shares and investment funds 36,762 58,321 160,259 2,518 - 257,860
Available for sale 293,842 6,494 69 - - 300,405
At fair value through profit or loss 8,182 (380) (16,848) - - (9,045)
Unlisted at amortized cost price - - - - - -
Bonds 302,025 6,114 (16,779) - - 291,359
15,643 - - (4) - 15,639
Held for trading - (286) (211) - - (497)
Held for hedging purposes (810) - (2,345) - - (3,156)
Derivative financial instruments (810) (286) (2,556) - - (3,653)
linked insurance contracts - 11 2,444 - - 2,455
Cash and cash equivalents 5,704 65 (73) - - 5,697
Others (1,508) - - - (18,363) (19,870)
Net financial result without finance costs 395,005 83,678 143,296 (13,246) (18,363) 590,371
101
31 December 2020
Change in
Change in
Net realized fair value of
Net income from amortizations Other investment
gains or losses investments Total
investments and depreciations financial expenses
on investments through profit
on investments
Investment properties 32,783 10,325 - (16,409) 1,876 28,575
Available for sale 1,737 (2,860) - - - (1,123)
Participating interests 1,737 (2,860) - - - (1,123)
Available for sale 16,665 5,433 - (6,305) - 15,793
Held for trading 187 4,215 (1,816) - - 2,586
Shares and investment funds 19,293 11,501 12,445 (6,305) - 36,934
Available for sale 300,022 6,486 3 10,100 - 316,612
Unlisted at amortized cost price - - - - - -
Bonds 310,763 8,463 17,811 10,100 - 347,137
financial investments 14,304 (5,494) - 5,054 - 13,864
Held for trading - 27 (1,207) - - (1,181)
Held for hedging purposes - - 130 - - 130
Derivative financial instruments - 27 (1,078) - - (1,051)
linked insurance contracts - 74 427 - - 502
Cash and cash equivalents 5,878 - (151) - - 5,728
Others 2,350 - - - (18,165) (15,815)
Net financial result without finance costs 387,108 22,036 29,456 (7,560) (16,289) 414,752
Net income of investments includes dividends, interests as well as actuarial depreciation of premiums and discounts on bonds.
VI.6 Finance costs
Expenses related to bond loans 25,855 26,258
Expenses related to lease obligations 408 699
Expenses related to other financial debts 1,547 1,897
Total of the finance costs 27,810 28,854
VI.7 Expenses by nature and allocation

Internal claim handling costs 104,082 104,276
Acquisition costs of contracts 82,509 76,175
Management costs 155,774 153,169
Management costs of investments 11,954 10,316
General costs related to other activities 434,942 278,857
Total of the overhead costs by allocation 789,260 622,793
Employee benefit expenses 349,395 325,783
Rental and leasing expenses 3,494 1,410
Expenses related to operational buildings 8,185 7,462
IT costs 134,599 121,662
Allocations, amortizations and provisions for other risks and expenses 19,781 23,070
Other expenses 279,826 149,108
Recovered overhead costs (-) (6,020) (5,702)
102
Total of the overhead costs by nature 789,260 622,793
Other expenses mainly consist of contributions, postage expenses, consulting expenses as well as advertising and sponsorship
expenses at Ethias and overhead costs related to the other activities of the subsidiaries.
VI.8 Employee benefit expenses

Wages 238,224 223,442
Social security expenses 64,495 60,646
Post-employment benefits 455 (4,415)
Defined benefit schemes 32,384 32,558
Other long-term benefits 118 178
Other benefits (1,629) 477
Others 15,347 12,897
Total of the employee benefit expenses 349,395 325,783
The amount of the expenses included in the income statement on the defined contribution pension schemes mainly comprises
the cost of services, the financial cost as well as taxes and contributions inherent in group insurance products. This charge is
divided by allocation within the income statement in expenses for insurance benefits (regarding internal claim handling costs,
acquisition costs of contracts and administrative costs) and other investment financial expenses (regarding management costs
of investments).
Costs under the heading “Others” include termination benefits and benefits in kind granted to the employees.
VI.9 Income taxes
VI.9.1 Overview of the tax expense
Payable tax (33,763) (28,264)
Deferred tax (1,559) (42,782)
Income tax on permanent activities (35,322) (71,046)
Payable tax on available-for-sale activities - -
Deferred tax on available-for-sale activities - -
Tax on available-for-sale activities - -
Total tax expenses recognized through profit or loss (35,322) (71,046)
Tax expenses recognized in other comprehensive income components 50,335 (37,964)
VI.9.2 Analysis of the tax expenses

The following table presents the reconciliation between expected and actual income tax:
Profit before tax (excluding contribution from discontinued
244,914 295,040
operations and associated companies)
Theoretical tax rate 25% 25%
Expected tax expense (61,228) (73,760)
Impact of non-deductible expenses (12,157) (24,202)
Impact of non-taxable revenues 26,511 19,775
Impact of fiscal deficits 17,131 39,694
103
Impact of other temporary differences (10,412) (30,117)
Other impacts 4,834 (2,435)
Total of the tax expense adjustments 25,907 2,714
Real tax expense/proceed (35,322) (71,046)
Effective tax rate 14% 24%
Impact of non-deductible expenses mainly originates from impairments and losses on realized securities as well as allocations to
taxed provisions. Under the heading of non-taxable revenues, the eligible dividends are recognized as definitively taxed income
and capital gains and reversed impairments on securities. Added to this are the reversals of taxed provisions. Moreover, fiscal
deficits vary according to the use of tax losses carried forward. The other impacts mainly represent the influence of consolidation
adjustments on taxes and deduction for the income from innovation. Lastly, other temporary differences include, in particular,
taxes resulting from temporary valuation differences on assets and liabilities.
VII NOTES RELATING TO ITEMS NOT INCLUDED
IN THE BALANCE SHEET
VII.1 Lease contracts
VII.1.1 Ethias as lessor
Ethias did not conclude contracts that are considered as financial lease contracts. All the information below relates to simple
lease contracts concluded by the Group
Minimum amount of the future net rent to be received arising from irrevocable simple lease contracts:

Past due during the year 40,196 43,272
Within more than one and maximum 5 years 158,764 170,091
Within more than 5 years 330,640 356,471
Total 529,600 569,833
Rent amount recognized as proceed within the financial year:

Minimum rent 38,239 34,622
Conditional rent 4,416 3,402
Total 42,654 38,024
Leased assets mainly relate to real estate.
104 VII.1.2 Ethias as lessee

The lease contracts entered into by Ethias are detailed in points 4 (" Right-of-use of assets") and 15 ("Financial debts") of
chapter V. Notes to the consolidated balance sheet.
VII.2 Related parties

Within the framework of its activities the Group concludes on a regular basis transactions with related parties. In general, all
transactions are concluded at market conditions as applicable to unrelated parties.
Related parties with whom the Group concludes transactions can belong to the following categories:
• The key management personnel of the Group, who are the directors of Ethias SA;
• The entities exercising joint control or significant influence over the entity, which are the Federal
State via the SFPI/FPIM, the Walloon Region via the SRIW, the Flemish Region and EthiasCo;
• The non-consolidated subsidiaries, which are L'ouvrier chez lui (until 2021) and Sire Holding;
• The joint ventures in which the entity is a joint venturer, which are WLP Holding, Belgium DC and Together Services;
• The associated companies, which are IMA Benelux, Ariane Building, AssurCard, Bedrijvencentrum Geraardsbergen,
Epimede, Lesgocity, Palais des Expositions Charleroi, NEB Foncière, NEB Participations and Vital Building; and
• The other related parties, viz. Ethias Pension Fund (OFP).
In accordance with IAS 24, the Group lists transactions between related parties.
VII.2.1 Transactions related to the balance sheet
31 December 2021
The entities
exercising
Non-
joint control Associated Other related
consolidated Joint ventures Total
or significant companies parties
subsidiaries
influence over
In thousands of euros the entity.
Loans 120,709 - 52,213 15,780 - 188,702
Receivables - - 22 940 - 963
Any other assets - - - - - -
Total assets with related parties 120,709 - 52,235 16,721 - 189,664
- - - - - -
Financial debts - - - - - -
Trade and other payables - - 406 - - 406
Total liabilities with related parties - - 406 - - 406
31 December 2020
The entities
exercising
Non-
subsidiaries
influence over
Loans 60,000 - 11,621 19,043 - 90,665
Receivables - - 14 1,212 - 1,225
Any other assets - - - - - - 105
Total assets with related parties 60,000 - 11,635 20,255 - 91,890
- - - - - -
Financial debts - - - - - -
Trade and other payables - - 78 - - 78
Total liabilities with related parties - - 78 - - 78
In 2021, Ethias granted a loan of 10 million euros to the SRIW, 2.7 million euros to the SFPI/FPIM, 108 million euros to the
Walloon and Flemish Regions (see point 1.3 of chapter II. Report of the Board of Directors) and 52 million euros to II Holding.
VII.2.2 Transactions related to revenues and expenses

31 December 2021
The entities
exercising
Non-
subsidiaries
influence over
Turnover - - 133 709 - 842
Operating expenses 98 - (2,561) (20,416) (21,835) (44,714)
Financial income 35 13 583 2,591 - 3,222
Financial and financing expenses - - - - - -
Total 133 13 (1,844) (17,825) (21,835) (40,650)
31 December 2020
The entities
exercising
Non-
subsidiaries
influence over
Turnover - - 11 1,583 - 1,594
Operating expenses 92 - (769) (2,594) (33,983) (37,253)
Financial income - 13 121 2,411 - 2,544
Financial and financing expenses - - - - - -
Total 92 13 (637) 1,400 (33,983) (33,115)
Operating expenses with associates mainly relate to the services of IMA Benelux.
Operating expenses with other related parties mainly concern invoices paid to the OFP for the employees’ group insurance.
VII.2.3 Remunerations for key management personnel

The directors and members of the Executive Committee of Ethias SA are considered as key management personnel. The list of
these managers in included under point 10 of chapter II. Report of the Board of Directors.
The total amount of their remunerations includes the following elements:

Short-term benefits 2,993 2,795
Post-employment benefits 816 784
Termination benefits 391 685
Other long-term benefits - -
106 Remunerations and other benefits for managers and directors 4,201 4,264
Short-term benefits consist of annual wages and other short-term benefits.

None of the key managers have received loans or advances at a preferential interest rate from the Group.
VII.2.4 Other transactions with related parties

31 December 2021
Entities
exercising
Non-
subsidiaries
influence over
In thousands of euros the entity
Commitments and guarantees given 105,300 - 27,711 - - 133,011
Commitments and guarantees received 178,056 - - - - 178,056
Total 283,356 - 27,711 - - 311,067
31 December 2020
Entities
exercising
Non-
subsidiaries
influence over
In thousands of euros the entity
Commitments and guarantees given 40,000 - 61,580 - - 101,580
Commitments and guarantees received - - - - - -
Total 40,000 - 61,580 - - 101,580
As of December 31, 2021, Ethias has a lending commitment of 90 million euros to the SRIW and of 15.3 million euros to the SFPI/
FPIM, as well as a commitment of 27.7 million euros to WLP Holding. In addition, Ethias also received a commitment from the
Regions for an amount of 178 million euros relating to the flooding (see point 1.3 of chapter II. Report of the Board of Directors).
As of December 31, 2020, Ethias' commitments to SRIW amounted to 40 million euros and to WLP Holding to 61.6 million euros.
VII.3 Fees of the Statutory Auditor
Fees for audit services 995 976
Fees for services relating to audit services 50 76
Fees for fiscal advice - 48
Other fees for non-audit services 19 314
Total 1,064 1,413
VII.4 Commitments
VII.4.1 Received commitments
Guarantee commitments 711,967 708,041
Finance commitment 1,798 5,219
Other received commitments 178,056 -
Total 891,821 713,260
Guarantee commitments mainly include guarantees linked to mortgage loans granted by the Group.
The other commitments received concern the estimated amounts borne by the government as provided for in the protocol signed
with the Regions regarding the flooding (see point 1.3 of chapter II. Report of the Board of Directors).
VII.4.2 Given commitments

In thousands of euros 31 December 2021 31 December 2020 107
Guarantee commitments with regard to financing - -
Other guarantee commitments 11,357 11,985
Commitments on securities 845,360 582,961
Other given commitments 519,083 457,233
Total 1,375,799 1,052,179
Other guarantee commitments mainly include securities pledged as collateral under an accepted reinsurance contract taken
over by Ethias SA.
The commitments on securities include repurchase operations for 728.4 million euros at December 31, 2021 (compared to
577.6 million at December 31, 2020) following the implementation of an investment programme financed by repos as well as
securities paid as collateral for 116.9 millions at December 31, 2021.
Other given commitments consist mainly of commitments to acquire securities (in bond funds, equity funds, infrastructure
funds) and loans.
VII.5 Contingent liabilities

The contingent liability previously reported and arising from a dispute between Ethias and an institutional client is no longer
included as a contingent liability. A provision for risks and charges was namely set aside in 2021 following the agreement
reached between the two parties.
VII.6 Events after the reporting period that do

not give rise to adjustments
Events after the reporting date are listed under point 6 of chapter II. Report of the Board of Directors.
VIII OTHER INFORMATION
VIII.1 Statutory auditor's report on the consolidated financial
statements for the year ended 31 December 2021
108
FREE TRANSLATION
STATUTORY AUDITOR'S REPORT TO THE GENERAL SHAREHOLDERS’ MEETING OF ETHIAS

SA/NV ON THE CONSOLIDATED ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2021
We present to you our statutory auditor’s report in the context of our statutory audit of the consolidated
accounts of Ethias SA/NV (the “Company”) and its subsidiaries (jointly “the Group”). This report
includes our report on the consolidated accounts, as well as the other legal and regulatory
requirements. This forms part of an integrated whole and is indivisible.
We have been appointed as statutory auditor by the general meeting d.d. 20 May 2020, following the
proposal formulated by the board of directors and following the recommendation by the audit and risk
committee and the proposal formulated by the workers’ council. Our mandate will expire on the date of
the general meeting which will deliberate on the annual accounts for the year ended
31 December 2022. We have performed the statutory audit of the Company’s consolidated accounts
for fourteen consecutive years.
Report on the consolidated accounts
Unqualified opinion
109
We have performed the statutory audit of the Group’s consolidated financial statements, which
comprise the consolidated balance sheet as at 31 December 2021, as well as the consolidated income
statement, the statement of consolidated comprehensive income, the consolidated cash flows
statement and the consolidated statement of changes in equity for the year then ended, and notes to
the consolidated financial statements, including a summary of significant accounting policies and other
explanatory information, and which are characterised by a consolidated balance sheet total of
EUR ‘000’ 21.186.346 and a net consolidated profit for the year of EUR ‘000’ 209.162.
In our opinion, the consolidated accounts give a true and fair view of the Group’s net equity and
consolidated financial position as at 31 December 2021, and of its consolidated financial performance
and its consolidated cash flows for the year then ended, in accordance with International Financial
Reporting Standards as adopted by the European Union and with the legal and regulatory
requirements applicable in Belgium.
Basis for unqualified opinion
We conducted our audit in accordance with International Standards on Auditing (ISAs) as applicable in
Belgium. Furthermore, we have applied the International Standards on Auditing as approved by the
IAASB which are applicable to the year-end and which are not yet approved at the national level. Our
responsibilities under those standards are further described in the “Statutory auditor’s responsibilities
for the audit of the consolidated accounts” section of our report. We have fulfilled our ethical
responsibilities in accordance with the ethical requirements that are relevant to our audit of the
consolidated accounts in Belgium, including the requirements related to independence.
PwC Bedrijfsrevisoren BV - PwC Reviseurs d'Entreprises SRL - Financial Assurance Services

Maatschappelijke zetel/Siège social: Culliganlaan 5, B-1831 Diegem
T: +32 (0)2 710 4211, F: +32 (0)2 710 4299, www.pwc.com
BTW/TVA BE 0429.501.944 / RPR Brussel - RPM Bruxelles / ING BE43 3101 3811 9501 - BIC BBRUBEBB /
BELFIUS BE92 0689 0408 8123 - BIC GKCC BEBB
FREE TRANSLATION
We have obtained from the board of directors and Company officials the explanations and information
necessary for performing our audit.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis
for our opinion.
Key audit matters
Key audit matters are those matters that, in our professional judgment, were of most significance in
our audit of the consolidated accounts of the current period. These matters were addressed in the
context of our audit of the consolidated accounts as a whole, and in forming our opinion thereon, and
we do not provide a separate opinion on these matters.
Adequacy of insurance and investment contract liabilities
Description of the key audit matter
As at 31 December 2021, insurance and investment contract liabilities amount to

EUR ‘000’ 15.763.065 and represent 74% of the total of the consolidated statement of financial
position (see appendix V.14 of consolidated accounts).
110 The adequacy test of these liabilities is complex and relies on a significant degree of judgment. The
assumptions made in the adequacy test of these liabilities may be influenced by economic conditions,
future management actions as well as by the laws and regulations applicable to the Group.
Given the materiality of these liabilities in the consolidated accounts as well as the risk of inadequacy,
we consider the adequacy of these liabilities to be a key audit matter.
How our audit addressed the key audit matter
Assisted by our internal actuarial experts, we reviewed the design and tested the operational
effectiveness of the key controls put in place by the Group to guarantee the adequacy of these
liabilities. We have also paid particular attention to the controls implemented by the Group in order to
ensure the quality of the data used in the context of the adequacy test of these liabilities relating to
insurance and investment contracts.
We have also assessed the relevance of the adequacy test of these liabilities, considering the current
market conditions as well as its adequacy in relation to the technical results observed during the past
financial year.
Finally, we performed an independent test on the adequacy of these liabilities and compared it with the
amounts determined by the Group.
Note that we have shared and corroborated our conclusions with the actuaries and the actuarial
function of the Group.
Based on our audit, we believe that the assumptions used to determine the adequacy of insurance
and investment contract liabilities are reasonable. The independent tests we carried out did not reveal
any exceptions as to the adequacy of these liabilities.
2
FREE TRANSLATION
Valuation of financial assets and liabilities for which no quoted prices in active markets are available
(“levels 2 and 3”)
The Group holds financial assets and liabilities for which there is no quoted price in an active market.
As mentioned in Note V.6 to the consolidated accounts, the fair value of a certain number of these
financial instruments is determined using valuation techniques, whether or not based on observable
market data.
As at 31 December 2021, the Group holds level 2 financial assets with a fair value of
EUR ‘000’ 1.932.577, level 2 financial liabilities with a fair value of EUR ‘000’ 148.375 and level 3
financial assets with a fair value of EUR ‘000’ 620.759.
In particular, the fair value of level 2 financial instruments is based on data that are observable either
directly or indirectly and are estimated using external and independent quotations. The fair value of
level 3 financial instruments is estimated using a valuation model, of which the inputs are not
observable on the market.
The valuation of these financial instruments is a key audit matter due to the importance of the
estimates made and whose assumptions may not be observable on the market.
111
We have reviewed the design and operational effectiveness of the key controls put in place by the
Group to guarantee the accuracy of the valuation of these level 2 and 3 financial instruments.
For a sample of financial instruments, we have also reviewed the estimates made and the key
assumptions used in determining their fair value. We also performed tests on the standing data used
in determining the fair value.
Finally, we involved experts in the valuation of financial instruments who independently recalculated
the fair value for a sample of financial instruments.
We believe that the key assumptions used in determining the fair value of these financial instruments
are reasonable. The independent tests we performed did not reveal any exceptions in determining the
fair value of financial instruments for which a quoted price in an active market is not available.
Responsibilities of the board of directors for the preparation of the consolidated accounts
The board of directors is responsible for the preparation of consolidated accounts that give a true and
fair view in accordance with International Financial Reporting Standards as adopted by the European
Union and with the legal and regulatory requirements applicable in Belgium, and for such internal
control as the board of directors determine is necessary to enable the preparation of consolidated
accounts that are free from material misstatement, whether due to fraud or error.
In preparing the consolidated accounts, the board of directors is responsible for assessing the Group’s
ability to continue as a going concern, disclosing, as applicable, matters related to going concern and
using the going concern basis of accounting unless the board of directors either intends to liquidate
the Group or to cease operations, or has no realistic alternative but to do so.
3
FREE TRANSLATION
Statutory auditor’s responsibilities for the audit of the consolidated accounts
Our objectives are to obtain reasonable assurance about whether the consolidated accounts as a
whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s
report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a
guarantee that an audit conducted in accordance with ISAs will always detect a material misstatement
when it exists. Misstatements can arise from fraud or error and are considered material if, individually
or in the aggregate, they could reasonably be expected to influence the economic decisions of users
taken on the basis of these consolidated accounts.
In performing our audit, we comply with the legal, regulatory and normative framework applicable to
the audit of the consolidated accounts in Belgium. A statutory audit does not provide any assurance as
to the Group’s future viability nor as to the efficiency or effectiveness of the board of directors’ current
or future business management at Group level. Our responsibilities in respect of the use of the going
concern basis of accounting by the board of directors are described below.
As part of an audit in accordance with ISAs, we exercise professional judgment and maintain
professional skepticism throughout the audit. We also:
● Identify and assess the risks of material misstatement of the consolidated accounts, whether due
to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit
112 evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not
detecting a material misstatement resulting from fraud is higher than for one resulting from error,
as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override
of internal control;
● Obtain an understanding of internal control relevant to the audit in order to design audit
procedures that are appropriate in the circumstances, but not for the purpose of expressing an
opinion on the effectiveness of the Group’s internal control;
● Evaluate the appropriateness of accounting policies used and the reasonableness of accounting
estimates and related disclosures made by the board of directors;
● Conclude on the appropriateness of the board of directors’ use of the going concern basis of
accounting and, based on the audit evidence obtained, whether a material uncertainty exists
related to events or conditions that may cast significant doubt on the Group’s ability to continue
as a going concern. If we conclude that a material uncertainty exists, we are required to draw
attention in our statutory auditor’s report to the related disclosures in the consolidated accounts
or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the
audit evidence obtained up to the date of our statutory auditor’s report. However, future events or
conditions may cause the Group to cease to continue as a going concern;
● Evaluate the overall presentation, structure and content of the consolidated accounts, including
the disclosures, and whether the consolidated accounts represent the underlying transactions
and events in a manner that achieves fair presentation;
● Obtain sufficient and appropriate audit evidence regarding the financial information of the entities
or business activities within the Group to express an opinion on the consolidated accounts. We
are responsible for the direction, supervision and performance of the Group audit. We remain
solely responsible for our audit opinion.
We communicate with the audit and risk committee regarding, among other matters, the planned
scope and timing of the audit and significant audit findings, including any significant deficiencies in
internal control that we identify during our audit.
We also provide the audit and risk committee with a statement that we have complied with relevant
ethical requirements regarding independence, and to communicate with them all relationships and
other matters that may reasonably be thought to bear on our independence, and where applicable,
related safeguards.
4
FREE TRANSLATION
From the matters communicated with the audit and risk committee, we determine those matters that
were of most significance in the audit of the consolidated accounts of the current period and are
therefore the key audit matters. We describe these matters in our auditor’s report unless law or
regulation precludes public disclosure about the matter.
Other legal and regulatory requirements
Responsibilities of the board of directors
The board of directors is responsible for the preparation and the content of the directors’ report on the
consolidated accounts, the separate report on non-financial information and the other information
included in the annual report on the consolidated accounts.
Statutory auditor’s responsibilities
In the context of our engagement and in accordance with the Belgian standard which is
complementary to the International Standards on Auditing (ISAs) as applicable in Belgium, our
responsibility is to verify, in all material respects, the directors’ report on the consolidated accounts, the
separate report on non-financial information and the other information included in the annual report on
the consolidated accounts and to report on these matters. 113
Aspects related to the directors’ report on the consolidated accounts and to the other
information included in the annual report on the consolidated accounts
In our opinion, after having performed specific procedures in relation to the directors’ report on the
consolidated accounts, this directors’ report is consistent with the consolidated accounts for the year
under audit and is prepared in accordance with article 3:32 of the Companies' and Associations' Code.
In the context of our audit of the consolidated accounts, we are also responsible for considering, in
particular based on the knowledge acquired resulting from the audit, whether the directors’ report on
the consolidated accounts and the other information included in the annual report on the consolidated
accounts, is materially misstated or contains information which is inadequately disclosed or otherwise
misleading. In light of the procedures we have performed, there are no material misstatements we
have to report to you.
The non-financial information required by the article 3:2, §2 of the Companies’ and Associations’ Code
is included in a separate report. The report of non-financial information contains the information
required by virtue of article 3:32, §2 of the Companies' and Associations' Code, and agrees with the
consolidated accounts for the same year. The Company has prepared the non-financial information,
based on the internationally recognized reference framework “UN Global Compact”. However, in
accordance with article 3:80, §1, 5° of the Companies' and Associations' Code, we do not express an
opinion as to whether the non-financial information has been prepared in accordance with the said
reference frameworks.
Statement related to independence
● Our registered audit firm and our network did not provide services which are incompatible with the
statutory audit of the consolidated accounts, and our registered audit firm remained independent
of the Group in the course of our mandate.
● The fees for additional services which are compatible with the statutory audit of the consolidated
accounts referred to in article 3:65 of the Companies' and Associations' Code are correctly
disclosed and itemized in the notes to the consolidated accounts.
5
FREE TRANSLATION
Other statements
This report is consistent with the additional report to the audit and risk committee referred to in article
11 of the Regulation (EU) N° 537/2014.
Diegem, 8 April 2022
The statutory auditor

PwC Reviseurs d'Entreprises SRL / PwC Bedrijfsrevisoren BV
Represented by
Tom Meuleman
Réviseur d’Entreprises / Bedrijfsrevisor
114
6
115
IX ANNUAL ACCOUNTS OF ETHIAS SA
IX.1 Balance sheet
Assets 2021 2020
B.Intangible assets 110,453,754 113,309,350
I. Formation expenses 448 10,337
II.Intangible assets 110,453,306 113,299,013
1. Goodwill 33,317,125 39,308,695
2. Other intangible assets 57,932,046 66,688,371
3. Advance payments 19,204,135 7,301,947
C.Investments 15,983,236,833 15,347,455,382
I. Land and properties 147,945,176 204,542,669
1. Real estate for corporate purposes 5,439,251 56,139,658
2. Others 142,505,925 148,403,011
II. Investments in associated companies and participations 464,743,040 426,095,785
- Associated companies 410,498,678 372,286,261
1. Participating interests 410,498,678 372,286,261
2. Certificates, bonds and receivables 0 0
- Other companies linked by a participating interest 54,244,362 53,809,524
3. Participating interests 41,092,558 39,397,591
4. Certificates, bonds and receivables 13,151,804 14,411,933
III. Other financial investments 15,366,753,409 14,712,928,293
116
1. Equities, shares and other variable-income securities 702,810,540 645,417,350
2. Bonds and other fixed-income securities 13,612,416,270 13,264,262,157
4. Mortgage loans and mortgage credits 231,059,487 360,478,259
5. Other loans 798,470,910 441,611,865

6. Deposits with credit institutions 21,991,732 1,118,050
7. Others 4,470 40,612
IV. Deposits with ceding companies 3,795,208 3,888,635
D.Investments related to operations linked to a "Life" business
investment fund whose investment risk is not borne by the company 1,778,054,022 1,491,140,460
Dbis. Reinsurers' share of technical provisions 225,729,774 157,602,457
I. Provision for unearned premiums and outstanding risks 64,649 477,596
II. Provision for Life insurance 2,923,417 1,311,168
III. Provision for claims to be paid 222,741,708 155,813,693
E. Receivables 445,578,103 426,194,548
I. Receivables arising from direct insurance operations 212,525,979 215,891,989
1. Policyholders 113,122,373 102,200,937
2. Insurance intermediaries 17,310,715 28,075,401
3. Others 82,092,891 85,615,651
II. Receivables arising from reinsurance operations 113,721,527 124,131,885
III. Other receivables 119,330,597 86,170,674
F. Other asset items 371,610,820 501,047,885
I. Tangible assets 18,634,941 21,254,974
II. Available values 352,975,879 479,792,911
G. Accruals 175,583,193 187,516,414
I. Interest and rent earned but not yet due 175,583,193 187,516,414
Total assets 19,090,246,499 18,224,266,496
Liabilities 2021 2020
A.Equity 1,528,203,983 1,461,309,677
I. Subscribed capital or equivalent funds, net of uncalled capital 1,000,000,000 1,000,000,000
1. Issued capital 1,000,000,000 1,000,000,000
III. Revaluation surpluses 1,660,619 19,731,395
IV. Reserves 78,776,548 67,399,565
1. Statutory reserve 64,150,000 54,650,000
3. Untaxed reserves 12,584,073 10,964,784
4. Available reserves 2,042,475 1,784,781
V. Result carried forward 447,766,816 374,178,717
1. Profit carried forward 447,766,816 374,178,717
B.Subordinated debts 474,920,678 471,508,397
Bbis Funds for future appropriations 18,378,650 18,378,650
C.Technical provisions 13,826,929,300 13,515,881,834
I. Provisions for unearned premiums and outstanding risks 295,804,097 296,446,682
II. Provision for Life insurance 9,556,734,162 9,446,282,976
III. Provision for claims to be paid 3,716,785,219 3,502,651,600
IV. Provision for profit sharing and refunds 43,587,400 40,132,859
V. Equalization and catastrophe provision 7,999,520 24,622,014
VI. C.Other technical provisions 206,018,902 205,745,703
D.Technical provisions related to operations linked to a Life business
investment fund whose investment risk is not borne by the company 1,778,054,022 1,491,140,460
E. Provisions for other risks and costs 57,911,114 64,691,130
I.Provisions for pensions and similar liabilities 0 55,592 117
II.Provisions for taxes 3,388,783 3,514,901
III.Other provisions 54,522,331 61,120,637
F. Deposits received from reinsurers 87,614,523 126,814,641
G. Debts 1,206,415,351 1,055,651,551
I. Liabilities arising from direct insurance operations 161,123,997 152,084,056
II. Reinsurance payables 8,854,046 6,459,894
IV. Debts owed to credit institutions 729,496,657 624,180,419
V. Other debts 306,940,651 272,927,182
1. Amounts payable for taxes, remuneration and social security 78,405,358 60,868,284
a) taxes 41,291,242 21,083,475
b) remunerations and social security costs 37,114,116 39,784,809
2. Others 228,535,293 212,058,898
H. Accruals 111,818,878 18,890,156
Total liabilities 19,090,246,499 18,224,266,496
IX.2 Income statement
I. Technical account Non-Life 2021 2020
1.Earned premiums, net of reinsurance 1,365,362,599 1,340,683,654
a) Gross premiums 1,404,327,739 1,382,016,259
Outgoing reinsurance premiums (-) -39,194,778 -37,834,669
Change in the provision for unearned premiums and outstanding
642,585 -3,470,447
risks, gross of reinsurance (increase -, decrease +)
Change in the provision for unearned premiums and outstanding
-412,947 -27,489
risks, reinsurers' share (increase +, decrease -)
2bis.Investment income 129,321,439 122,269,535
a) Income from investments in associated companies or
3,243,350 1,824,458
companies linked by a participating interest
aa) associated companies 390,854 366,562
1° participating interests 197,156 366,562
2° certificates, bonds and receivables 193,698 0
bb) other companies linked by a participating interest 2,852,496 1,457,896
1° participating interests 2,709,825 1,002,481
2° certificates, bonds and receivables 142,671 455,415
b) Income from other investments 101,802,404 97,002,857
aa) income from land and properties 1,341,566 1,396,717
bb) income from other investments 100,460,838 95,606,140
c) Write-back of value adjustments on investments 1,612,551 12,546,182
d) Gains on disposal 22,663,134 10,896,038
3.Other technical income, net of reinsurance 1,189,171 1,284,499
118 4.Claims costs, net of reinsurance (-) -1,082,915,435 -975,400,744
a) Net amounts paid 946,642,838 930,331,378
aa) gross amounts 990,183,567 948,960,637
bb) reinsurers' share (-) -43,540,729 -18,629,259

136,272,597 45,069,366
aa) change in provision for claims to be paid, gross
203,200,612 45,864,155
of reinsurance (increase +, decrease -)
bb) change in provision for claims to be paid,
-66,928,015 -794,789
reinsurers' share (increase -, decrease +)
5.Change in the other technical provisions, net of
reinsurance (increase -, decrease +) -273,199 153,159
6.Profit sharing and refunds, net of reinsurance (-) -3,752,722 -3,325,068
7.Net operating costs (-) -250,089,664 -251,178,969
a) Acquisition costs 119,849,869 115,234,159
c) Administrative costs 134,507,098 139,773,256
d) Commissions received from the reinsurers and participating interests (-) -4,267,303 -3,828,446
7bis.Investment-related costs (-) -14,433,840 -22,899,542
a) Investment management costs 6,658,183 3,407,128
b) Value adjustments on investments 3,656,575 5,995,465
c) Losses on disposal 4,119,082 13,496,949
8.Other technical costs, net of reinsurance (-) -40,188,310 -38,191,172
9.Change in provision for equalization and catastrophe,
net of reinsurance (increase -, decrease +) 16,622,494 -6,062,656
10.Result of the Non-Life technical account
Profit (+) 120,842,533 167,332,696
II.Life technical account 2021 2020
1.Premiums, net of reinsurance 1,373,062,558 1,346,259,820
a) Gross premiums 1,374,424,237 1,347,765,477
Outgoing reinsurance premiums (-) -1,361,679 -1,505,657
2.Investment income 360,091,317 340,185,593
a) Income from investments in associated companies or
5,897,328 11,955,527
companies linked by a participating interest
aa) associated companies 4,870,793 10,905,306
1° participating interests 4,731,202 10,905,306
2° certificates, bonds and receivables 139,591 0
bb) other companies linked by a participating interest 1,026,535 1,050,221
1° participating interests 818,333 722,021
2° certificates, bonds and receivables 208,202 328,200
aa) income from land and properties 10,684,787 11,480,682
c) Write-back of value adjustments on investments 4,218,230 10,660,415
d) Gains on disposal 76,546,016 45,000,859
3.Value adjustments on investments of the assets side D. (income) 225,818,741 245,849,863
4.Other technical income, net of reinsurance 3,223,674 4,109,126
5.Claims costs, net of reinsurance (-) -1,436,969,444 -1,400,581,881
a) Net amounts paid 1,436,969,444 1,400,581,881
aa) gross amounts 1,437,309,411 1,401,955,004
bb) reinsurers' share (-) -339,967 -1,373,123
Change in provision for claims to be paid, net of 119
0 0
reinsurance (increase +, decrease -)
aa) change in provision for claims to be paid, gross
0 0
of reinsurance (increase +, decrease -)
bb) change in provision for claims to be paid,
0 0
reinsurers' share (increase -, decrease +)
6.Change in the other technical provisions, net of
reinsurance (increase -, decrease +) -235,363,193 -162,024,920
a) Change in provision for Life insurance, net of
-94,939,505 -109,778,960
reinsurance (increase -, decrease +)
aa) change in provision for Life insurance, gross of
-96,551,754 -109,263,691
reinsurance (increase -, decrease +)
bb) change in provision for Life insurance, reinsurers' share (increase +, decrease -) 1,612,249 -515,269
b) Change in the other technical provisions, net of reinsurance -140,423,688 -52,245,960
7.Profit sharing and refunds, net of reinsurance (-) -3,454,541 13,552,553
8.Net operating costs (-) -39,750,183 -33,780,003
a) Acquisition costs 7,994,321 6,606,982
c) Administrative costs 31,755,862 27,061,130
d) Commissions received from the reinsurers and profit sharings (-) 0 111,891
9.Investment-related costs (-) -40,888,805 -60,123,457
b) Value adjustments on investments 8,078,153 16,810,015
c) Losses on disposal 14,769,187 28,291,313
10.Value adjustments on investments of the assets side D. (costs) (-) -93,521,082 -194,139,689
11.Other technical costs, net of reinsurance (-) -10,290,608 -6,277,033
12bis. Change in fund for future appropriations (increase -, reduction +) 0 -12,000,000
13.Result of the Life technical account
Profit (+) 101,958,434 81,029,972
III.Non-technical account 2021 2020
1.Result of the Non-Life technical account
Profit (+) 120,842,533 167,332,696
2.Result of the Life technical account
Profit (+) 101,958,434 81,029,972
3.Investment income 16,997,387 11,577,673
a) Income from investments in associated companies
6,960,588 6,838,830
or companies linked by a participating interest
c) Write-back of value adjustments on investments 0 121,572
d) Gains on disposal 5,411,944 46,780
5.Investment-related costs (-) -26,112,992 -26,344,232
b) Value adjustments on investments 0 0
c) Losses on disposal 15,567 327,702
7.Other income 18,273,224 11,142,081
8.Other costs (-) -22,524,928 -21,873,508
8bis.Current result before taxes
Profit (+) 209,433,658 222,864,682
12. Exceptional costs (-) -2,309,653 0
15.Income taxes (-/+) -17,542,736 -18,300,000
15bis. Deferred taxes (-/+) 126,119 76,931
120 16.Result of the financial year
Profit (+) 189,707,388 204,641,613
17.a) Withdrawal from the untaxed reserves 378,357 197,735
b) Transfer to the untaxed reserves (-) -1,997,645 -1,976,174

18.Result for the period to be appropriated
Profit (+) 188,088,100 202,863,174
Appropriation and withdrawal 2021 2020

A.Profit to be appropriated 562,266,816 487,378,716
1. Profit for the period available for appropriation 188,088,100 202,863,174
2. Profit carried forward from the previous period 374,178,716 284,515,542
B.Charge to shareholders' equity 0 0
2. to reserves 0 0
C.Transfers to equity (-) -9,500,000 -10,200,000
2. to the statutory reserve -9,500,000 -10,200,000
D.Result to be carried forward
1. Profit to be carried forward (-) -447,766,816 -374,178,716
F.Profit to be distributed (-) -105,000,000 -103,000,000
1. Remuneration of capital 105,000,000 103,000,000
IX.3 Notes
N° 1. Statement of intangible assets, investment property and investment securities

Asset items concerned
C.II.2. Certificates,
C.II.1. Participating
bonds and
C.I. Land and interests in
Name B. Intangible assets receivables
properties associated
in associated
companies
companies
a) Acquisition value
Previous year end 231,833,725 271,251,975 304,157,884 0
Changes during the year:
- Acquisitions 17,390,204 5,632,470 44,853,735 0
- Disposals and withdrawals 3,002,223 104,804,218 7,316,423 0
- Reclassified between headings 0 0 0 0
- Other changes 0 0 0 0
Year end 246,221,706 172,080,227 341,695,196 0
b) Increase in value
Previous year end 0 25,053,340 72,345,152 0
- Decided 0 0 0 0
- Cancelled 0 0 0 0
Year end 0 25,053,340 72,345,152 0
121
c) Reductions in value
Previous year end 118,524,375 91,762,646 4,216,775 0
- Decided 20,039,905 6,988,618 0 0
- Written back as excessive 0 0 675,105 0
- Cancelled 2,796,328 49,562,873 0 0
- Transfers from one heading to another 0 0 0 0
Year end 135,767,952 49,188,391 3,541,670 0
d) Amounts not called up
Previous year end 0 0 0 0
Changes during the year: 0 0 0 0
Year end 0 0 0 0
Net book value, year end 110,453,754 147,945,176 410,498,678 0
Asset items concerned
C.II.4. Certificates,
C.II.3. Stakes in bonds and C.III.1. Equities,
C.III.2. Bonds
companies linked receivables in shares and other
and other fixed-
by a participating companies linked variable-income
interest by a participating income securities
securities
Name interest
a) Acquisition value
Previous year end 56,828,346 14,411,933 659,073,051 13,536,496,626
- Acquisitions 4,554,456 0 391,373,085 2,842,998,517
- Disposals and withdrawals 621,320 1,260,129 299,925,093 2,444,235,056
- Other changes 0 0 0 -7,500,000
Year end 60,761,482 13,151,804 750,521,043 13,927,760,087
b) Increase in value
Previous year end 0 0 0 0
- Decided 0 0 0 0
- Cancelled 0 0 0 0
Year end 0 0 0 0
c) Reductions in value
Previous year end 10,748,221 0 11,309,701 272,234,469
122
- Decided 37,393 0 4,424,457 48,187,725
- Written back as excessive 0 0 1,342,073 358,000
- Cancelled 20,968 0 3,227,582 4,720,377
- Transfers from one heading to another 0 0 0 0

Year end 10,764,646 0 11,164,503 315,343,817
d) Amounts not called up
Previous year end 6,682,534 0 2,346,000 0
Changes during the year: 2,221,743 0 34,200,000 0
Year end 8,904,277 0 36,546,000 0
Net book value, year end 41,092,558 13,151,804 702,810,540 13,612,416,270
N° 2. Statement of participating interests and social rights held in other companies

Data extracted from the last
Social rights held by available annual report
by the Net
directly subsi- Equity profit
diaries Financial or loss
statements Currency
(+) or (-)
as of
NAME, full address of the REGISTERED OFFICE and if it concerns a Number % % (in thousands of
company under Belgian law, the VAT or NATIONAL NUMBER currency units)
Air Properties SA Rue Léon Laval 12, L-3372 Leudelange B179.427 140,411 65 0 12/31/2020 EUR 9,295 1,238
Ankaret Invest SA Rue des Croisiers, 24 B-4000 Liège BE 0438.840.866 2,368,879 100 0 12/31/2020 EUR 17,668 -417
Archeion SA Rue des Croisiers, 24 B-4000 Liège BE 0832.269.896 28,410 100 0 12/31/2020 EUR 2,172 111
Ariane Building SA Place Saint-Jacques, 11/104 B-4000 Liège BE 0862.467.382 8,050 25 0 12/31/2020 EUR -1,772 -7,177
Ariane Real Estate (ARE) SA Rue des Croisiers,

200 100 0 12/31/2020 EUR 8,309 -27
24 B-4000 Liège BE 0898.866.435
Assurcard NV Fonteinstraat 1A/301 B-3000 Leuven BE 0475.433.127 900 20 0 12/31/2020 EUR 3,078 125
Data extracted from the last
Social rights held by available annual report
by the Net
directly subsi- Equity profit
diaries Financial or loss
statements Currency
(+) or (-)
as of
NAME, full address of the REGISTERED OFFICE and if it concerns a Number % % (in thousands of
company under Belgian law, the VAT or NATIONAL NUMBER currency units)
Bedrijvencentrum regio Geraardsbergen Herenveld 2

32 28 0 12/31/2020 EUR 877 18
-9500 Geraardsbergen BE 0456.832.584
Bora SA Rue des Croisiers 24 B-4000 Liège BE 0444.533.281 484 100 0 12/31/2020 EUR 5,766 -56
Centrexperts Avenue Franklin Roosevelt 104/1 1330 Rixensart BE 0463.891.315 80 10 0 12/31/2020 EUR 169 14
De Oostendse Haard asbl Nieuwpoortsesteenweg,

1,400 16 0 12/31/2020 EUR 20,431 681
205 B-8400 Ostende BE 0405.277.282
E.D.A. SA Avenue de la Cokerie 3 B-4030 Grivegnée BE 0823.162.982 10 10 0 12/31/2020 EUR 300 14
Epimède SA Lambert Lombard, 3 B-4000 Liège BE 0634.750.380 2,080 20 0 6/30/2021 EUR 10,416 5,878
Ethias Patrimoine SA Rue des Croisiers, 24 B-4000 Liège BE 0894.377.612 40 100 0 12/31/2020 EUR 21,786 978
Ethias Services SA Rue des Croisiers, 24 B-4000 Liège BE 0825.876.113 999 100 0 12/31/2020 EUR 453 66
Ethias Sustainable Investment Fund SA (European Equities High

256,136 92 8 12/31/2020 EUR 89,921 -7,620
Yield) Rue des Croisiers, 24 B-4000 Liège BE 865.127.063
Ethias Sustainable Investment Fund SA (Global Equities)

21,767 100 0 12/31/2020 EUR 21,034 -1,575
Rue des Croisiers, 24 B-4000 Liège BE 865.127.063
Expertisebureau Bellefroid NV Kiewitstraat 175

13 10 0 12/31/2020 EUR 704 -17
B-3500 Hasselt BE 0429.884.105
Foncière du Berlaymont sprl Rue des Croisiers,

1,000 100 0 12/31/2020 EUR 189 -41
24 B-4000 Liège BE 0833.012.640
Green4you SA boulevard du Roi Albert II 7, B-1210

2,600 26 0
Saint-Josse-ten-Noode BE 0778.652.157
Het Gehucht SA rue des Croisiers, 24 B-4000 Liège BE 0808.840.636 500 100 0 12/31/2020 EUR 1,398 -13
123
Idelux Développement Drève de l'Arc-en-ciel,98 B-6700 Arlon BE 0205.797.475 75 15 0 12/31/2020 EUR 78,378 5,278
IMA Benelux square des Conduites d'Eau 11-12, B-4020 Liège BE 0474.851.226 16,500 33 0 12/31/2020 EUR 2,391 -669
Immo Hofveld SA rue des Croisiers, 24 B-4000 Liège BE 0889.535.233 1,000 100 0 12/31/2020 EUR 1,326 88
Immovivegnis SA rue des Croisiers, 24 B-4000 Liège BE 0463.660.394 10,500 100 0 12/31/2020 EUR 35 -26
Impulse Microfinance Investment Fund Sneeuwbeslaan,

1,200 11 0 12/31/2020 EUR 1,216 -37
20/2 B-2610 Wilrijk BE 0870.792.160
Jan Dockx SA rue des Croisiers, 24 B-4000 Liège BE 0458.920.757 2,500 100 0 12/31/2020 EUR 2,103 -45
Koala SA rue des Croisiers 24, B-4000 Liège BE 0873.412.150 400 100 0 12/31/2020 EUR 4,379 22
Lothian Developments IV SA rue des Croisiers,

1,012,873 100 0 12/31/2020 EUR 2,985 244
24 B-4000 Liège BE 0463.648.518
Maison de l'assurance Square de Meeûs, 29 B-1000 Bruxelles BE 0403.306.501 2,776 11 0 12/31/2020 EUR 2,800 18
Naos SA Rue Léon Laval 12, L-3372 Leudelange B 207.559 670,000 67 0 12/31/2020 EUR 11,495 1,107
Network Research Belgium SA P.l. des Hauts-Sarts 2ème

42,530 68 0 12/31/2020 EUR 98,156 28,806
avenue, 65 B-4040 Herstal BE 0430.502.430
Officenter Hasselt Hendrik van Veldekesingel 150,

13 13 0 12/31/2020 EUR 1,058 78
B-3500 Hasselt BE.0821.194.476
Palais des expositions congrès de charleroi rue de

9,856 23 0 12/31/2020 EUR -134 -65
robiano, 74 B-7130 Binche BE 0401.553.571
Sagitta SA rue des Croisisers 24, B-4000 Liège BE 0812.356.489 240 100 0 12/31/2020 EUR 2,840 25
NEB Foncière SA rue Louvrex, 95 B-4000 Liège BE 0480.029.838 145 29 0 12/31/2020 EUR 127 -139
NEB Participations SA rue Louvrex, 95 B-4000 Liège BE 0480.029.739 60,503 29 0 12/31/2020 EUR 65,270 6,594
Real Goed Invest SA rue des Croisiers, 24 B 4000 Liège BE 0872.354.157 1,046 100 0 12/31/2020 EUR 2,589 116
Veran Real Estate CY SA rue des Croisiers, 24 B-4000 Liège BE 0894.106.012 100 100 0 12/31/2020 EUR 4,698 -53
Vital Building SA Place Saint-Jacques, 11/105 B-4000 Liège BE 0875.171.810 5,000 50 0 12/31/2020 EUR 4,803 197
Weerts Logistic Parks Holding varnstraat, 2 3793 Teuven BE 0837.446.629 55,519,377 50 0 12/31/2020 EUR 51,858 -53
N° 3. Actual value of investments
Asset items Amounts
C. Investments 17,993,784,868
I. Land and properties 161,514,439
II. Investments in associated companies and participations 831,271,326
- Associated companies 687,730,961
1. Participating interests 687,730,961
2. Certificates, bonds and receivables 0
- Other companies linked by a participating interest 143,540,365
3. Participating interests 129,911,072
4. Certificates, bonds and receivables 13,629,293
III. Other financial investments 16,996,887,421
1. Equities, shares and other variable-income securities 1,029,193,286
2. Bonds and other fixed-income securities 14,901,783,433
4. Mortgage loans and mortgage credits 243,241,549
5. Other loans 800,672,951
6. Deposits with credit institutions 21,991,732
7. Others 4,470
IV. Deposits with ceding companies 4,111,682
N° 3bis. Derivative financial instruments not measured at fair value

Estimate of the fair value of each class of derivative financial instruments not measured at fair Fair
124 value in the accounts, with indications on the nature and the volume of the instruments Net book value value
Forward swaps, volume: € 100,000,000, rate risk -94,119,659 -99,050,144
Foward bonds, volume: € 621,000,000, credit risk 0 -288,276
For financial fixed assets included in items C.II. and C.III. carried at an amount
in excess of their fair value: the net book value and the fair value of either the Net book value Fair value
individual assets or appropriate groupings of those individual assets
C.II.1 Investments in associated companies and participations - participating interests 157,659,216 153,316,387
C.II.3 Investments in associated companies and participations - participating interests 5,417,309 4,787,620
C.III.1 Other financial investments - equities, shares and other variable-income securities 172,167,001 152,072,044
C.III.2 Other financial investments - bonds and other fixed-income securities 1,859,170,635 1,807,045,896
C.III.5 Other financial investments - other loans 225,358,975 220,173,478
For each of the financial fixed assets referred to in B., or each of the individual assets or appropriate groupings of those individual assets
referred to in B., which is carried at an amount in excess of their fair value, the reasons why the book value has not been reduced must
also be stated below, together with the nature of the indications underlying the assumption that the book value will be recoverable:
C.II.1 Investments in associated companies and participations - participating interests: see valuation rules in note 20 (item 2)
C.II.3 Investments in associated companies and participations - participating interests: see valuation rules in note 20 (item 2)
C.III.1 Other financial investments - equities, shares and other variable-income securities: see valuation rules in note 20 (item 2)
C.III.2 Other financial investments - bonds and other fixed-income securities: see valuation rules in note 20 (item 2)
C.III.5 Other financial investments - other loans: see valuation rules in note 20 (item 2)
N° 5. Statement of capital
Amounts Number of shares
A. Share capital
1. Subscribed capital (item A.I.1. of the liabilities)
- Previous year end: 1,000,000,000 xxxxxxxxxxxxxxx
- Changes during the year:
- Year end 1,000,000,000 xxxxxxxxxxxxxxx
2. Structure of the capital
2.1. Equities, shares and other variable income securities
Shares without indication of the nominal value 1,000,000,000 20,000,000
2.2. Registered shares of bearer shares
Registered xxxxxxxxxxxxxxx 20,000,000
G. Ownership structure of the company at the closing date of the accounts
EthiasCo SCRL xxxxxxxxxxxxxxx 1,000,010
Flemish Region xxxxxxxxxxxxxxx 6,333,330
Walloon Region xxxxxxxxxxxxxxx 6,333,330
Federal State (SFCI) xxxxxxxxxxxxxxx 6,333,330
N° 6. Statement of provisions for other risks and charges - Other provisions

Breakdown of the liability item E.III Amounts
Provision retirement plan 31,829,464
Other provisions for risks and charges 8,410,400
125
Provision for disputes 14,282,467
N° 7. Statement of technical provisions and debts
Liability items concerned Amounts
a) Breakdown of the debts (or a part of the debts) with a residual maturity of more than 5 years.
B. Subordinated debts 474,920,678
II. Non-convertible loans 474,920,678
Total 474,920,678
b) Debts (or part of the debts) and technical provisions (or part of the technical provisions)
guaranteed by collaterals or irrevocably promised on the assets of the company.
D. Technical provisions related to operations linked to a Life business
1,778,054,022
investment fund whose investment risk is not borne by the company
G. Debts 728,429,952
IV. Debts toward credit institutions 728,429,952
Total 2,506,483,975
c) Debts with regard to taxes, remunerations and social security costs.
1. Taxes (item G.V.1.a) of the liabilities)
b) Non due tax debts 41,291,242
2. Remunerations and social security costs (item G.V.1.b) of the liabilities)
b) Other debts with regard to remunerations and social security costs 37,114,116
Total 78,405,358
N° 8. Statement of accruals for liabilities
Breakdown of the liability item H Amounts
Financial income to be carried forward 1,011,763
Result on other derivatives to be reallocated 94,119,659
Financial charges to be allocated (Bond Issue and REPO) 16,687,456
N° 10. Information on technical accounts

I. Non-Life insurance
Direct business
Accidents and Automobile Automobile

disease Civil Liability Other branches
Content Total Total (branches 1 and 2) (branch 10) (branches 3 and 7)
1) Gross premiums 1,404,327,740 1,405,361,785 500,869,162 266,634,145 193,757,154
2) Earned gross premiums 1,404,970,324 1,405,741,408 500,450,646 268,600,196 193,977,444
3) Gross damages 1,193,384,179 1,196,123,297 403,896,355 207,031,451 110,930,046
4) Gross operating costs 254,356,967 254,200,159 60,360,000 56,226,232 39,055,638
5) Reinsurance balance 75,128,322 79,118,076 4,526,430 8,264,290 15,644,705
6) Commissions (art. 37) 36,918,594 0 0 0
Direct business
Fire and other

Marine Aviation damages to General Civil Miscellaneous
Transport properties Liability Credit and Bonding financial losses
126
(branches 4, 5, (branches 14
Content 6, 7, 11 and 12) (branches 8 and 9) (branch 13) and 15) (branch 16)
1) Gross premiums 281,034 239,850,880 102,344,314 57,549 17,717,941
2) Earned gross premiums 282,187 234,933,413 104,536,103 57,549 18,779,717
3) Gross damages -70,806 327,698,575 97,529,967 122 8,682,148
4) Gross operating costs 53,644 54,774,230 18,615,826 11,281 3,576,005
5) Reinsurance balance 0 53,615,149 -2,932,498 0 0
6) Commissions (art. 37) 0 0 0 0 0
Direct business
Legal protection Assistance
Content (branch 17) (branch 18) Accepted cases
1) Gross premiums 40,977,661 42,871,945 -1,034,045
2) Earned gross premiums 41,552,522 42,571,631 -771,084
3) Gross damages 23,529,531 16,895,908 -2,739,118
4) Gross operating costs 9,813,036 11,714,267 156,808
5) Reinsurance balance 0 0 -3,989,754
6) Commissions (art. 37) 0 0 0

II. Life insurances
Content Amounts
A. Direct business
1) Gross premiums: 1,374,424,237
a) Individual premiums 46,488,636
Premiums under group insurance contracts 1,327,935,601
b) Periodic premiums 1,072,982,761
Single premiums 301,441,476
c) Premiums for non-bonus contracts 25,286,475
Premiums for bonus contracts 1,345,672,443
Premiums from contracts where the investment risk is not borne by the company 3,465,319
2) Reinsurance balance 590,536
3) Commissions (art. 37) 3,207,056
B. Accepted cases
Gross premiums: 0
III Non-Life insurance and Life insurance, direct business
Content Amounts
Gross premiums:
- in Belgium 2,738,766,023
- in the other states of the EEC 41,019,997
N° 11. Statement on personnel employed 127
A. The following information relating to the financial year and

to the previous financial year, concerning employees entered
in the personnel register and connected to the enterprise by an
employment contract or by a first employment agreement 2021 2020
a) Their total number at the financial year’s closing date 1,976 1,923
b) The average number of personnel employed by the company
during the previous financial year, calculated in full-time equivalents
1,774 1,745
in accordance with Article 15, §4 of the Belgian Company Code,
and broken down according to the following categories:
- management staff 26 26
- clerical staff 1,748 1,719
c) The number of hours worked 2,571,733 2,590,566
B. The following information relating to the financial

year and the previous financial year, concerning temporary
staff and persons made available to the company 2021 2020
a) Their total number at the financial year’s closing date 0 0
b) Average number of full-time equivalents calculated in a
4 1
similar way to employees registered in the personnel register
c) The number of hours worked 7,754 1,965
N° 12. Statement on all administrative and management costs, broken down by type
Name Amounts
I. Employee benefit expenses 176,850,260
1. a) Remunerations 107,911,368
b) Pensions 0
c) Other direct social benefits 32,547,766
2. Employers' social security contributions 35,216,977
3. Employers' allowances and premiums for extra-legal insurances 452,115
4. Other employee benefit expenses 777,626
5. Provisions for pensions, remuneration and social security costs -55,592
a) Appropriations (+) 0
b) Expenditures and reversals (-) -55,592
II. Services and other goods 169,551,142
III. Depreciation and write-down on intangible and tangible assets other than investments 24,359,829
IV. Provisions for other risks and expenses 0
1. Allocation (+) 0
2. Expenditures and reversals (-) 0
V. Other current expenditure 9,779,218
1. Fiscal operating costs 1,575,257
a) Property tax 1,449,781
b) Others 125,476
2. Contributions to public bodies 2,753,494
4. Others 5,450,467
128
VI. Administrative costs recovered and other current income (-) -6,846,864
1. Recovered administrative costs 6,846,864
b) Others 6,846,864
Total 373,693,585
N° 13. Other income, other costs

Amounts
A. Breakdown of the other income (item 7 of the non-technical account)
Reversals of write-downs on litigations 18,015,880
Capital gains realized on tangible assets 36,709
Others 220,635
B. Breakdown of the other costs (item 8 of the non-technical account)
Amortizations 9,889
Impairments on receivables 9,367,775
Capital losses realized on assets 208,260
Losses on the realization of receivables 11,780,325
COVID-19 solidarity action 0
Commissions and financial costs 610,110
Others 548,568
N° 14. Exceptional results
Amounts
A. Breakdown of EXCEPTIONAL INCOME
(item 11. of the non-technical account), if significant
B. Breakdown of EXCEPTIONAL COSTS
(item 12. of the non-technical account), if significant
Capital gain on the realization of assets 2,309,653
N° 15. Income taxes

Amounts
A. Breakdown of item 15 a) ‘Taxes’: 19,052,437
1. Income taxes for the financial year: 19,052,437
a) Refundable advance payments and prepayments 4,002,391
b) Other attributable items 208
c. Excess of advance payments and / or capitalized refundable withholding taxes (-) 0
d. Estimated tax supplements (included in heading G.V.1.a) of liabilities) 15,049,838
2. Income taxes on previous periods: 0
a) Additional income taxes due or paid: 0
B. Main sources of differences between the profit before tax, as
stated in the accounts, and the estimated taxable profit
- Changes in reserves, provisions and taxable impairments (excluding shares): -3,076,297
- Income exempt and non-allowable losses on shares: 36,771,953
Disallowed expenses (excluding shares): 14,392,851
- Miscellaneous deductions (previous losses, notional interest, income from innovation ...) -101,360,402
D. Sources of deferred tax assets: 129
1. Deferred tax assets 1,109,720,000

- Accumulated tax losses and definitively taxed income (“RDT”) (carry-forward) 0
- Taxed technical provisions: 1,084,800,000
- Taxed impairments and other taxed reserves: 24,920,000
2. Future tax liabilities 0
Surplus value (spread taxation): 0
N° 16. Other taxes and charges borne by third parties
2021 2020
A. Charges:
1. Charges on insurance contracts borne by third parties 254,137,135 254,609,364
2. Other charges borne by the company 983,097 987,961
B. Amounts retained on behalf of third parties in respect of:
1. Withholding tax on earned income 312,149,850 300,262,540
2. Withholding tax (on dividends) 1,669,722 1,381,953
N° 17. Off-balance sheet rights and commitments

Amounts
A. Guarantees given or irrevocably promised by third parties on behalf of the company*:
B. Personal guarantees given or irrevocably promised on behalf of third parties:
C. Real guarantees given or irrevocably promised by the company on
its own assets as security for debts and commitments
a) of the company: 854,234,312
D. Collateral received (others than in cash):
a) securities and values of reinsurers: 70,002,132
b) others: 636,464,862
G. Nature and business purpose of off-balance sheet transactions:
H. Others: 2,446,410,144
Commitments to acquire real estate 32,505,770
130 Infrastructure lending commitments 48,351,210
Financial lending commitments 50,815,924
Public Bodies lending commitments 10,000,000
Mortgage lending commitments 4,282,943

Agency lending commitments 90,000,000
Participating interest commitments 10,598,056
Bond fund commitments 123,063,639
Equity fund commitments 64,732,888
Infrastructure fund commitments 83,327,107
Commitments to acquire other securities 624,250,000
Commitments to dispose of real estate 0
Commitments to dispose of other securities 873,617,799
IT projects commitments 5,097,373
IRS swap - Receive leg 110,000,000
CDS - Receive 0
IRS swap - Pay leg 110,000,000
CDS - Pay 0
Caps/floor 0
Swaptions 0
Property lending commitments 27,711,000
Estimate of additional compensation - flooding 178,056,435
N° 18. Relationships with associated companies and companies linked by a participating
interest
Companies linked by a
Relevant items of the balance sheet Associated companies participating interest
2021 2020 2021 2020
C. II. Investments in associated
companies and participations 410,498,678 372,286,261 54,244,361 53,809,524
1 + 3 Participating interests 410,498,678 372,286,261 41,092,557 39,397,591
2 + 4 Certificates, bonds and receivables 0 0 13,151,804 14,411,933
- Others 0 0 13,151,804 14,411,933
D. II. Investments in associated
companies and participations 4,751,072 3,999,497 0 0
1 + 3 Participating interests 4,751,072 3,999,497 0 0
E. Receivables 55,449 1,373,952 902,784 1,211,740
I. Receivables arising from direct
37,757 1,047,183 709,339 1,022,342
insurance operations
III. Other receivables 17,692 326,769 193,445 189,398
B. Subordinated debts 3,500,000 3,500,000 0 0
G. Debts 12,878,563 15,710,339 0 -398
I. Receivables arising from direct
0 0 0 0
insurance operations
V. Other debts 12,878,563 15,710,339 0 -398
Associated companies
2021 2020
131
Other significant financial commitments 8,831,582 33,869,000
N°18bis. Relations with associated companies
Relations with the associated companies (*)
2021 2020
1. Amount of the financial fixed assets 79,700,890 50,998,342
- Participating interests 79,700,890 50,998,342
2. Receivables on associated companies 37,500
- Within one year 37,500
4. Personal and real guarantees 0
Provided or irrevocably promised by associated companies as
0
security for debts or commitments of the company
5. Other significant financial commitments 188,484,158 89,527,860
(*) Associated companies in accordance with article 12 of the Belgian Company Code
N° 19. Financial relations with:

Amounts
A. Guarantees given or irrevocably promised by third parties on behalf of the company*:
1. Outstanding receivables on these persons 0
4. Direct and indirect remunerations and allocated
pensions charged to the income statement
- to directors and managers * 431,870
* For non-executive directors and without remunerations and other benefits of the Management Committee
(Pursuant to article 11 of the bylaws, the directors' terms of office are exercised free of charge)
N° 19bis. Financial relations with:
The statutory auditor and the persons with whom he is linked Amounts
1. Remuneration of the statutory auditor: 637,075
2. Fees for exceptional services or special missions accomplished
within the company by the statutory auditor: 26,120
- Other control missions 26,120
- Other missions outside the audit missions 0
3. Fees for exceptional services or special missions accomplished within the
0
company by the persons with whom the statutory auditor is linked:
- Tax advice missions 0
- Other missions outside the audit missions 0
N° 20. Valuation rules • Immovable properties: 2 %
The valuation rules applicable on the income statement are • Alterations: 10 %

mentioned below. Immovable properties acquired after 1 January 2011 are
Asset side of the balance sheet divided in the following categories:
Intangible assets (heading B) • Structural work
Intangible assets are capitalized at their purchase or cost • Roof

price, including incidental expenses. • External woodwork
Software and development costs are capitalized if they relate • Special techniques
to investment projects, i.e. large-scale projects that introduce • Finishing
or replace an important business objective or model.
These immovable properties are depreciated on a straight-line
132
Computer software and licences that have been purchased or basis over the expected useful life of each component, after
internally created for own use are stated at historical cost, less deduction of their residual value, provided that they can be
depreciation and any impairment of assets. Internally created determined reliably.
software and licenses are only recognized as intangible
Investments in associated companies and participations

assets when the following conditions are met: identification
(sub-heading C.II)
criteria for the asset, control of resources, probability of future
economic profits and the ability to measure cost reliably. These investments are subjected to depreciation in case of
durable impairments. This depreciation will on the one hand
Software developed by third parties, as well as internal and
be justified, case by case, according to the financial situation,
external development costs for investment projects, are
the profitability or the prospects of the company in which
amortized on a straight-line basis over five years from the
the participating interests or shares are held and will on the
time the software or developments are ready for use, while for
other hand be recorded on the basis of a proposal from the
“core” systems with a longer useful life, the term is 10 years.
Executive Committee.
Internal and external research costs related to these projects,
Other financial investments (sub-heading C.III.)
as well as all costs related to ICT projects other than investment
projects, are directly included in the income statement. “ Equities, shares and other variable-income securities (C.III.1)
Intangible assets other than IT investment projects are These investments are subjected to impairments in case of
amortized on a straight-line basis at a rate of 20%, except for durable capital loss. The existence of a significant unrealized
amortization of development costs and goodwill when the loss with regard to the purchase price, determined on the basis
useful life cannot be reliably estimated, which is spread over of the weighted average price over a period of 12 consecutive
a maximum period of ten years. The amortization period of months preceding the closing, is a criterion of durable
goodwill is justified in the note to the financial statements. impairment. The capital loss is qualified as important when it
exceeds the purchase price by 20 % in a normal market context.
Investments (heading C)
This criterion can be submitted to the Executive Committee for
Land and properties (sub-heading C.I.) consideration when the markets are more volatile.
They are capitalized at their purchase or cost price, including Additional or exceptional impairments can be recognized on
incidental expenses. a proposal from the Executive Committee. The impact of these
Land is not depreciated. impairments are included in the notes accompanying the
Immovable properties acquired before 1 January 2011 are income statement provided that they represent an important
depreciated using the linear method at the following rates: amount.
In case of disposal of securities, the book value, used to their purchase price and their lower market value is to be
calculate the realized gains and losses, is determined on the considered as a permanent impairment so that these securities
basis of the weighted average price. are valuated at the lowest value between their book value and
Bonds and other fixed-income securities (C.III.2) their market value.
These investments are recognized in the balance sheet at In case of disposal of securities, the book value, used to
their purchase price. calculate the realized gains and losses, is determined on the
basis of the weighted average price.
However, when their actuarial yield, calculated at the time of
the purchase (taking into account their redemption amount Within the framework of an arbitrage operation, the realized
at maturity) differs from their nominal yield, the difference gains and losses on the balance sheet are maintained and
between the purchase and the redemption amount is recognized through profit or loss over the term of the re-
recognized through profit or loss, pro rata temporis for the investment.
remaining duration of the securities, as elements of the Mortgage loans and mortgage credits - Other loans (C.III.4
interest yields on these securities and is recorded as increase & C.III.5)
or decrease of their purchase price. Taking into account the Impairments are applied to this loans according to the same
actuarial yield at the time of the purchase, this difference is rule as the one applied to item C.III.2 above.
recognized through profit or loss on a discounted basis.
Investments related to operations linked to a Life business
In accordance with the principles of Article 19 paragraph investment fund whose investment risk is not borne by the
1, impairments are systematically applied to the bonds, company (heading D - branch 23)
mentioned in the item C.III.2. of assets, in order to reflect the
These investments are recognized in the balance sheet at their
risk that the counterparties of such securities and receivables
actual value (market value).
do not fully or partially honour their commitments relating
thereto, including, but not limited to, the probability that the Deposits with credit institutions (sub-heading C.III.6)
reimbursement of these securities and receivables is in whole Receivables (heading E)
or partly uncertain or compromised. When the market value of These items are recognized at their nominal of purchase price.
these securities and receivables is permanently lower than their For insurance receivables related to Non-Life premiums,
net book value, this circumstance is, unless proved otherwise, impairments are made after one year (accounting date).
133
presumed to be an other-than-temporary impairment which is Furthermore, impairments are registered to take into account
to be considered for the application of this provision. the uncertainties of their recovery.
The application of the above rules and the decision to Available values (sub-heading F.II)
recognize an impairment or not is subject to an analysis at
These items are recognized at their nominal of purchase price.
each balance sheet closing date. In that analysis, we take
into account the following criteria to identify durable losses in Reinsurers' share of technical provisions (heading D. bis)
value, on the one hand, and to assess whether the recognition This item shows the reinsurers' commitment. The amounts
of an impairment is required: recorded are obtained in accordance with the various
Criteria for determining durable losses in value applicable reinsurance treaties.
• The insurance portfolio / the relevant Other asset elements (heading F)

separate management; Tangible assets (sub-heading F.I)
• The ability of the company to hold The tangible assets are capitalized at their purchase or cost
these securities to maturity; price, including incidental expenses.
• The duration of the unrealized loss observed. The depreciations are carried out using the linear method at
Criteria taken into account to determine whether the following rates:
an impairment should be recognized • plant, machinery, electronic equipment: 33 1/3 %
• A significant increase in credit spreads for listed issuers; • rolling stock: 25 %
• A significant deterioration in credit rating; • office furniture and equipment: 10 %
• A voluntary or imposed restructuring of the debt; The office furniture and equipment of which the purchase price
• The occurrence of a credit event under ISDA rules; is lower than 250 euros are depreciated within the first year.
• Significant financial difficulties; • medical devices: 20 %
• A failure to pay interests or principal; Liability side of the balance sheet
• The disappearance of an active market for that Technical provisions (heading C)

financial asset because of financial difficulties; These provisions are calculated with prudence, taking into
• A significant decrease in the value of account the statutory and regulatory dispositions established
collateral or underlying assets. by different control organizations.
With regard to the perpetual loans, the difference between The equalization and catastrophe provision is valuated using
the actuarial method. Derivatives
Technical provisions related to operations linked to a Life The derivative financial instruments, used on a speculative
business investment fund whose investment risk is not borne basis, follow the prudence principle. This means that the
by the company (heading D - branch 23) unrealized losses are subjected to impairments of are used
These provisions are estimated based on the actual value of to constitute provisions for financial risks. However, the
the assets under heading D. unrealized gains are not recognized through profit or loss.
Provisions for other risks and expenses (heading E) The forward transaction in micro hedging or concluded within
the framework of the ALM management are symmetrically
The provisions for foreseeable risks and expenses are
valuated with the allocation of costs and income of the
determined with prudence, sincerity and good faith.
hedged items for the residual lifetime of these items. Forward
The provisions with regard to the previous financial years are transactions for hedging purposes are forward transactions
regularly reviewed and recognized through profit or loss if they having the purpose of the effect to compensate or to reduce
serve no longer any purpose. the risk on an asset, a liability, a right, an obligation, an
Deposits received from reinsurers (heading F) and debts off-balance sheet commitment or a set of items that are
(heading G) homogeneous in nature with regard to their sensitivity to
These items are recognized at their nominal value. interest rate variations.
Other particular rules Finally, the hedging transactions or the transactions
Accounts denominated in currencies concluded within the framework of the ALM management
must be recognized as such and this, from the conclusion of
The monetary items are valorized in euro at the spot price at
the transaction.
the closing date of the financial year.
The non-monetary items are maintained in euro at their
purchase price. N°21. Changes to valuation rules:
The balance of the negative differences resulting from the None.
conversion of monetary items, other than the technical N° 22. Declaration regarding the consolidated
provisions, is recognized through profit or loss. The balance income statement
134 of the positive differences is recognized in the accruals as The company prepares and publishes a consolidated
deferrable proceed. income statement and a consolidated annual report in
accordance with the Royal Decree on the consolidated
income statement of insurance and reinsurance companies:

yes / no (*): Yes
N° 23. Additional information to be provided by the company
on the basis of the decree of 17/11/1994
Art. 27 bis § 3, last paragraph Amounts
2. Bonds and other fixed-income securities 26,813,133
Derivative financial instruments used

Forward buy swaps 4 financial year transactions
3 acquisition transactions and
Forward bonds coupled with forward swaps
7 financial year transactions
Cap/floor
1 acquisition transaction and
Inflation swap
1 disposal transaction
Index Put 4 acquisition transactions
Reversal of Provision for Accrued interests

Result
Profit and loss accounts impairment losses impairment losses not yet due
Forward bonds coupled with forward swaps -2,344,465
Cap/floor
Inflation swap -810,339
Index Put -40,612 -183,530
Goodwill in projects related to the economic recovery at both federal

The amount of 33 million euros shown on the assets side of and regional levels and has been able to concretize its
the balance sheet under the heading "II.1 Intangible assets participation through the following initiatives:
- Goodwill" includes: • granting a loan to SRIW;
• participating as an expert in sessions related to the 135
• Goodwill resulting from the merger with Whestia
in 2017, for a net amount of 13 million euros (gross organization of project financing at the federal level;
value of 26 million euros), amortized over the • participating in the capital increase
duration of the commitments, viz. 10 years. of Finance&Invest.Brussels;
• Goodwill resulting from the acquisition of the “Work • participating in a private placement for
Accidents Law 1967” portfolio as at 31 December the German-speaking region;
2017, for an amount of 20 million euros (gross • an investment of 80 million euros for the 4 public
value of 34 million euros), amortized over 10 years, funds constituted by the Walloon Region, the Flemish
based on the duration of the commitments Region, the Federal State and the Brussels-Capital
Allocation to the flashing-light provision Region. It should be noted that Ethias is the largest
On 15 December 2021, the National Bank confirmed, pursuant private contributor to these stimulus funds.
to Article 34quinquies, § 4 of the Royal Decree of 1 June 2016 Flooding
amending the Royal Decree of 17 November 1994 on the In the face of the disaster that shook many regions in July 2021,
annual accounts of insurance and reinsurance companies, Ethias was keen to respond to the needs of its policyholders
that it granted to Ethias SA the exemption from the obligation in distress. Hence, Ethias has:
to provide additional provisions for the 2021 financial year, • Directly provided an advance of 1,500
as the solvency requirements were met. euros upon opening a claims file;
COVID-19 crisis • Set up "mobile crisis centers" in charge of
In 2021, Ethias has pursued its four-phase strategy that was criss-crossing the most affected cities in
adopted at the beginning of the health crisis, namely the order to go directly to the victims to proceed
protection of its employees, its clients, the company and with the first administrative formalities;
society at large. • Offered numerous meals in several disaster-stricken
Ethias has continued to offer initiatives in favour of its B2C and cities as well as financial aid to the Red Cross;
B2B clients. In addition to extending coverages and granting
• Strengthened its Claims Management teams
payment delays, Ethias has also provided free Civil Liability
to speed up the processing of claims files
and Bodily Injury insurance for all vaccination centres and
and compensate policyholders as quickly as
has offered psychological support services to students, self-
possible. As of January 19, 2022, nearly 90%
employed and small businesses insured with Ethias.
of the B2C expertises have been closed.
With regard to the protection of society, Ethias is involved
Given the extent of the damage, the insurers and the Regions got together and signed an intervention protocol to share the
burden. This protocol stipulates that once the claims payments exceed the insurer's double intervention limit, a "loan" financial
asset account is established by the Region. This contains the claims payments attributable to the governments, i.e. the claims
amounts paid beyond the insurer's double intervention limit without any counterpart in technical accounting. Total loans as at
December 31, 2021 amount to 108 million euros. An estimate of the amounts borne by the governments that the insurer will
have to pay after December 31, 2021 is recorded off-balance sheet for an amount of 178 million euros.
IX.4 Social balance sheet

Number of the joint committee competent for the company: 306
Situation of the persons employed
Employees for whom the company has introduced a Dimona declaration or who are recorded in the general staff register.
2021 (During the year) Total Men Women

Average amount of employees
Full-time 1,492 805 687
Part-time 440 149 292
Total in full-time equivalents (FTE) 1,774 890 884
Number of hours actually worked
Full-time 2,153,566 1,182,980 970,586
Part-time 418,167 136,360 281,807
Total 2,571,733 1,319,340 1,252,393
Employee benefit expenses
Full-time 148,094,168 81,349,946 66,744,223
Part-time 28,756,092 9,377,062 19,379,030
Total 176,850,260 90,727,008 86,123,252
Amount of benefits granted in addition to wages 207,079 106,235 100,844
136
2020 (During the year) Total Men Women

Average amount of employees 1,745 891 854
Number of hours actually worked 2,590,566 1,358,686 1,231,879

Employee benefit expenses 186,085,530 97,597,162 88,488,368
Amount of benefits granted in addition to wages 251,505 131,908 119,597
2021 (At the financial year’s closing date) Full-time Part-time Total (FTE)
Number of employees 1,553 423 1,824
By type of employment contract
Permanent contract 1,467 421 1,737
Fixed-term contract 76 2 78
Replacement contract 10 10
By sex and educational level
Men 838 141 920
secondary education 106 69 145
higher non-university education 431 49 461
university education 301 23 314
Women 715 282 905
secondary education 84 82 131
higher non-university education 353 134 452
university education 278 66 323
By professional category - - -
Management staff 25 1 26
Clerical staff 1,528 422 1,799
Temporary staff and persons made available to the company
2021 (During the year) Temporary staff

Average number of persons employed 4
Number of hours actually worked 7,754
Costs for the company 230,040
Table of the staff turnover during the financial year
Entries Full-time Part-time Total (FTE)

Number of employees for whom the company
has introduced a Dimona declaration or who
are recorded in the general staff register. 165 8 171
Permanent contract 93 6 97
Replacement contract 10 0 10
Exits Full-time Part-time Total (FTE)

Number of employees for whom the company
has introduced a Dimona declaration or who
are recorded in the general staff register. 95 25 108
Permanent contract 71 24 84
Replacement contract 4 0 4
By reason of termination of the contract
137
Retirement 3 19 12
Unemployment with company allowance 0 0 0
Dismissal 5 2 7
Other reason 87 4 90
Information about training for employees during the financial year

2021 Men Women
Formal initiatives of continuing vocational training paid by the employer
Number of employees involved 519 587
Number of hours of training 6,224 6,572
Net costs for the company 810,589 883,934
of which gross costs directly linked to trainings 817,999 892,316
of which contributions and deposits paid to collective funds 0 0
of which allowances and other financial benefits received (to be deducted) 7,411 8,381
Less formal or informal initiatives of continuing
vocational training paid by the employer
Number of employees involved 874 927
Number of hours of training 6,933 7,212
Net costs for the company 487,321 506,896
IX.5 Remuneration of the directors
Number of meetings
Ethias SA
(Board of Directors -
Audit & Risk Committee
Remuneration Remuneration - Appointments
Name of the director (non- Ethias SA Ethias SA & Remuneration
executive and executive) Function in Ethias SA (attendance fees) (fixed compensation) Committee)
Myriam Van Varenbergh Chair 20,000.00 27,500.00 21

Jacques Braggaar Non-executive director 25,650.84 9,500.00 21
Marc Descheemaecker Non-executive director 26,000.00 12,500.00 28
Kathleen Desmedt Non-executive director 17,578.84 7,500.00 14
Philippe Donnay Non-executive director 20,000.00 10,122.28 22
Olivier Henin Non-executive director 25,045.37 9,500.00 20
Ingrid Loos Non-executive director 33,892.52 12,500.00 28
Claude Melen Non-executive director 3,000.00 1,256.80 3
Marc Meurant Non-executive director 32,806.52 12,500.00 29
Philip Neyt Non-executive director 12,000.00 7,500.00 13
Anne-Marie Seeuws Non-executive director 26,016.68 9,500.00 21
Karl Van Borm(*) Non-executive director 13,000.00 7,500.00 14
Bruno van Lierde Non-executive director 27,000.00 22,500.00 29
Philippe Lallemand (**) CEO 0.00 0.00 33
Wilfried Neven (**) CXO 0.00 0.00 25
Benoît Verwilghen (**) Vice-CEO/COO Life (Until 30/11/2021) 0.00 0.00 25
Cécile Flandre (**) CFO (Until 25/11/2021) 0.00 0.00 24
Nicolas Dumazy (**) CSDO (As from 1/12/2021) 0.00 0.00 2
138 Luc Kranzen (**) CCDO 0.00 0.00 25
Joris Laenen (**) CILO (As from 1/12/2021) 0.00 0.00 2
Izabella Molnar (**) CDTO (As from 15/12/2021) 0.00 0.00 1
Maryline Serafin (**) CFO (As from 1/12/2021) 0.00 0.00 2

Benoit-Laurent Yerna (**) CRO 0.00 0.00 28
(*) paid to the City of Antwerp
(**) pursuant to article 11 of the bylaws, the directors’ terms of office are exercised free of charge
Remuneration Remuneration
company within company within Number of meetings
the scope of the scope of NRB (Board of Directors
consolidation consolidation - Audit Committee
- Appointments
NRB (***) - NRB (***) - (fixed & Remuneration
Name of the director Function (attendance fees) compensation) Committee)
Philippe Lallemand Chairman 5,500.00 12,500.00 11

Maryline Serafin Non-executive director 500.00 0.00 1
Cécile Flandre Non-executive director 2,000.00 5,000.00 4
(***) paid to Ethias SA
Remuneration Remuneration
company within company within Number of meetings
the scope of the scope of NRB (Board of Directors
consolidation consolidation - Audit Committee
- Appointments
NRB (attendance NRB (fixed & Remuneration
Name of the director Function fees) compensation) Committee)
Bruno van Lierde Non-executive director 4,500.00 6,250.00 9

Myriam Van Varenbergh Non-executive director 2,500.00 5,000.00 5
Name of the member of Gross

the executive commitee Function Gross remuneration (*) variable remuneration (*)
Philippe Lallemand CEO 437,898.32 86,764.00

Benoît Verwilghen Vice-CEO/COO Life (Until 30/11/2021) 335,219.06 60,735.00
Joris Laenen CILO (As from 1/12/2021) 24,463.94 0.00
Cécile Flandre CFO (Until 25/11/2021) 265,654.81 485,046.23
Maryline Serafin CFO (As from 1/12/2021) 24,463.94 0.00
Luc Kranzen CCDO 293,292.32 57,842.00
Wilfried Neven CXO 299,317.57 49,744.00 139
Benoit-Laurent Yerna CRO 293,292.32 57,842.00
Izabella Molnar CDTO (As from 15/12/2021) 13,936.14 0.00
Nicolas Dumazy CSDO (As from 1/12/2021) 24,463.94 0.00
(*) does not include other benefits
IX.6 Statutory auditor's report on the financial statements

for the year ended 31 December 2021
FREE TRANSLATION
STATUTORY AUDITOR'S REPORT TO THE GENERAL SHAREHOLDERS’ MEETING OF ETHIAS

SA/NV ON THE ANNUAL ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2021
We present to you our statutory auditor’s report in the context of our statutory audit of the annual
accounts of Ethias SA/NV (the “Company”). This report includes our report on the annual accounts, as
well as the other legal and regulatory requirements. This forms part of an integrated whole and is
indivisible.
We have been appointed as statutory auditor by the general meeting d.d. 20 May 2020, following the
proposal formulated by the board of directors and following the recommendation by the audit and risk
committee and the proposal formulated by the workers’ council. Our mandate will expire on the date of
the general meeting which will deliberate on the annual accounts for the year ended
31 December 2022. We have performed the statutory audit of the Company’s annual accounts for
fourteen consecutive years.
Report on the annual accounts
Unqualified opinion
140
We have performed the statutory audit of the Company’s annual accounts, which comprise the
balance sheet as at 31 December 2021, and the profit and loss account for the year then ended, and
the notes to the annual accounts, characterised by a balance sheet total of EUR 19.090.246.499 and a
profit and loss account showing a profit for the year of EUR 188.088.100.
In our opinion, the annual accounts give a true and fair view of the Company’s net equity and financial
position as at 31 December 2021, and of its results for the year then ended, in accordance with the
financial-reporting framework applicable in Belgium.
Basis for unqualified opinion
We conducted our audit in accordance with International Standards on Auditing (ISAs) as applicable in
Belgium. Furthermore, we have applied the International Standards on Auditing as approved by the
IAASB which are applicable to the year-end and which are not yet approved at the national level. Our
responsibilities under those standards are further described in the “Statutory Auditor’s responsibilities
for the audit of the annual accounts” section of our report. We have fulfilled our ethical responsibilities
in accordance with the ethical requirements that are relevant to our audit of the annual accounts in
Belgium, including the requirements related to independence.
We have obtained from the board of directors and Company officials the explanations and information
necessary for performing our audit.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis
for our opinion.
PwC Bedrijfsrevisoren BV - PwC Reviseurs d'Entreprises SRL - Financial Assurance Services

Maatschappelijke zetel/Siège social: Culliganlaan 5, B-1831 Diegem
T: +32 (0)2 710 4211, F: +32 (0)2 710 4299, www.pwc.com
BTW/TVA BE 0429.501.944 / RPR Brussel - RPM Bruxelles / ING BE43 3101 3811 9501 - BIC BBRUBEBB /
BELFIUS BE92 0689 0408 8123 - BIC GKCC BEBB
Key audit matters
Key audit matters are those matters that, in our professional judgment, were of most significance in
our audit of the annual accounts of the current period. These matters were addressed in the context of
our audit of the annual accounts as a whole, and in forming our opinion thereon, and we do not
provide a separate opinion on these matters.
Adequacy of technical provisions
As of 31 December 2021, technical provisions amount to EUR 13.827 million and represent 72% of
the total balance sheet.
The adequacy test of these provisions is complex and relies on a significant degree of judgment. The
assumptions used may be influenced by economic conditions, future management actions as well as
by the laws and regulations applicable to the Company.
Given the materiality of these technical provisions in the annual accounts as well as the risk of
inadequacy, we consider the adequacy of the technical provisions to be a key audit matter.
How our audit addressed the key audit matter 141
Assisted by our internal actuarial experts, we reviewed the design and tested the operational
effectiveness of the key controls put in place by the Company to guarantee the adequacy of technical
provisions. We have also paid particular attention to the controls implemented by the Company to
ensure the quality of the data used in the framework of the technical provisions adequacy test.
We also assessed the relevance of the technical provisions adequacy test, considering the current
market conditions, as well as its adequacy in relation to the technical results observed during the past
financial year.
Finally, we performed an independent test on the adequacy of technical provisions and compared it
with the amounts determined by the Company.
Note that we have shared and corroborated our conclusions with the actuaries and the actuarial
function of the Company.
Based on our audit, we believe that the assumptions used to determine the adequacy of technical
provisions are reasonable. The independent tests we carried out did not reveal any exceptions as to
the adequacy of the technical provisions.
Valuation of investments for which a price quoted on an active market is not available
The Company holds investments for which there is no quoted price in an active market. Indeed, the
fair value of a certain number of these investments is determined using valuation techniques which are
based, or not, on observable market data.
2
As of 31 December 2021, the Company held assets valued by a non-independent counterparty
(mainly bonds and other fixed income securities) for an amount of EUR 874 million and internally
(mainly “corporate” bonds) for an amount of EUR 180 million.
The valuation of these investments is a key audit matter due to the importance of the estimates made
and the impact that the valuation may have on note 3 of the annual accounts and the determination of
the impairments to be accounted for.
We have reviewed the design and operational effectiveness of the key controls put in place by the
Company to ensure the accuracy of the valuation of these investments.
For a sample of investments, we also reviewed the estimates made and the key assumptions applied
in determining the fair value. We also tested the standing data used in determining the fair value.
Finally, we involved experts in the valuation of financial instruments who independently recalculated
the fair value of a sample of investments.
We believe that the key assumptions used in determining the fair value of these investments are
reasonable. The independent tests we performed did not reveal any exceptions in determining the fair
142 value of investments for which a quoted price in an active market is not available.
Responsibilities of the board of directors for the preparation of the annual accounts
The board of directors is responsible for the preparation of annual accounts that give a true and fair
view in accordance with the financial-reporting framework applicable in Belgium, and for such internal
control as the board of directors determines is necessary to enable the preparation of annual accounts
that are free from material misstatement, whether due to fraud or error.
In preparing the annual accounts, the board of directors is responsible for assessing the Company’s
ability to continue as a going concern, disclosing, as applicable, matters related to going concern and
using the going concern basis of accounting unless the board of directors either intends to liquidate
the Company or to cease operations, or has no realistic alternative but to do so.
Statutory auditor’s responsibilities for the audit of the annual accounts
Our objectives are to obtain reasonable assurance about whether the annual accounts as a whole are
free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that
includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that
an audit conducted in accordance with ISAs will always detect a material misstatement when it exists.
Misstatements can arise from fraud or error and are considered material if, individually or in the
aggregate, they could reasonably be expected to influence the economic decisions of users taken on
the basis of these annual accounts.
In performing our audit, we comply with the legal, regulatory and normative framework applicable to
the audit of the annual accounts in Belgium. A statutory audit does not provide any assurance as to
the Company’s future viability nor as to the efficiency or effectiveness of the board of directors’ current
or future business management. Our responsibilities in respect of the use of the going concern
basis of accounting by the board of directors are described below.
3
As part of an audit in accordance with ISAs, we exercise professional judgment and maintain
professional skepticism throughout the audit. We also:
● Identify and assess the risks of material misstatement of the annual accounts, whether due to
fraud or error, design and perform audit procedures responsive to those risks, and obtain audit
evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not
detecting a material misstatement resulting from fraud is higher than for one resulting from error,
as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override
of internal control;
● Obtain an understanding of internal control relevant to the audit in order to design audit
procedures that are appropriate in the circumstances, but not for the purpose of expressing an
opinion on the effectiveness of the Company’s internal control;
● Evaluate the appropriateness of accounting policies used and the reasonableness of accounting
estimates and related disclosures made by the board of directors;
● Conclude on the appropriateness of the board of directors’ use of the going concern basis of
accounting and, based on the audit evidence obtained, whether a material uncertainty exists
related to events or conditions that may cast significant doubt on the Company’s ability to
continue as a going concern. If we conclude that a material uncertainty exists, we are required to
draw attention in our statutory auditor’s report to the related disclosures in the annual accounts or,
if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit
evidence obtained up to the date of our statutory auditor’s report. However, future events or
conditions may cause the Company to cease to continue as a going concern; 143
● Evaluate the overall presentation, structure and content of the annual accounts, including the
disclosures, and whether the annual accounts represent the underlying transactions and events in
a manner that achieves fair presentation.
We communicate with the audit and risk committee regarding, among other matters, the planned
scope and timing of the audit and significant audit findings, including any significant deficiencies in
internal control that we identify during our audit.
We also provide the audit and risk committee with a statement that we have complied with relevant
ethical requirements regarding independence, and to communicate with them all relationships and
other matters that may reasonably be thought to bear on our independence, and where applicable,
related safeguards.
From the matters communicated with the audit and risk committee, we determine those matters that
were of most significance in the audit of the annual accounts of the current period and are therefore
the key audit matters. We describe these matters in our auditor’s report unless law or regulation
precludes public disclosure about the matter.
Other legal and regulatory requirements
Responsibilities of the board of directors
The board of directors is responsible for the preparation and the content of the directors' report, the
separate report on non-financial information and the other information included in the annual report, of
the documents required to be deposited by virtue of the legal and regulatory requirements, as well as
for the compliance with the legal and regulatory requirements regarding bookkeeping, with the
Companies’ and Associations’ Code and the Company’s articles of association.
4
Statutory auditor’s responsibilities
In the context of our engagement and in accordance with the Belgian standard which is
complementary to the International Standards on Auditing (ISAs) as applicable in Belgium, our
responsibility is to verify, in all material respects, the directors’ report, the separate report on
non-financial information and the other information included in the annual report, certain documents
required to be deposited by virtue of legal and regulatory requirements, as well as compliance with the
articles of association and of certain requirements of the Companies’ and Associations’ Code, and to
report on these matters.
Aspects related to the directors’ report and to the other information included in the annual
report
In our opinion, after having performed specific procedures in relation to the directors’ report, the
directors’ report is consistent with the annual accounts for the year under audit, and it is prepared in
accordance with the articles 3:5 and 3:6 of the Companies’ and Associations’ Code.
In the context of our audit of the annual accounts, we are also responsible for considering, in particular
based on the knowledge acquired resulting from the audit, whether the directors’ report and the other
information included in the annual report is materially misstated or contains information which is
inadequately disclosed or otherwise misleading. In light of the procedures we have performed, there
144 are no material misstatements we have to report to you.
The non-financial information required by virtue of article 3:6, §4 of the Companies’ and Associations’
Code is included in a separate report from the directors’ report. This report of non-financial information
contains the information required by virtue of article 3:6, §4 of the Companies’ and Associations’ Code,
and agrees with the annual accounts for the same year. The Company has prepared the non-financial
information based on the internationally recognized reference framework “UN Global Compact”.
However, in accordance with article 3:75, §1, 6° of the Companies’ and Associations’ Code, we
do not express an opinion as to whether the non-financial information has been prepared in
accordance with these internationally recognized reference frameworks.
Statement related to the social balance sheet
The social balance sheet, to be deposited in accordance with article 3:12, §1, 8° of the Companies’
and Associations’ Code, includes, both in terms of form and content, the information required under
this Code, including, but not limited to, in relation to salaries and education, and does not present any
material inconsistencies with the information we have at our disposition in our engagement.
Statement related to independence
● Our registered audit firm and our network did not provide services which are incompatible with the
statutory audit of the annual accounts and our registered audit firm remained independent of the
Company in the course of our mandate.
● The fees for additional services which are compatible with the statutory audit of the annual
accounts referred to in article 3:65 of the Companies’ and Associations’ Code are correctly
disclosed and itemized in the notes to the annual accounts.
5
Other statements
● Without prejudice to formal aspects of minor importance, the accounting records were maintained
in accordance with the legal and regulatory requirements applicable in Belgium.
● The appropriation of results proposed to the general meeting complies with the legal provisions
and the provisions of the articles of association.
● There are no transactions undertaken or decisions taken in breach of the Company‘s articles of
association or the Companies’ and Associations’ Code that we have to report to you.
● This report is consistent with the additional report to the audit and risk committee referred to in
article 11 of the Regulation (EU) N° 537/2014.
● We have evaluated the property effects resulting from the decisions of the board of directors
dated 28 January 2021, 24 February 2021, 25 November 2021 and 22 December 2021 as
described in section 10.4 of the directors' report and we have no remarks to make in this respect.
Diegem, 8 April 2022
The statutory auditor

PwC Reviseurs d’Entreprises SRL / PwC Bedrijfsrevisoren BV
Represented by
145
Tom Meuleman
Réviseur d’Entreprises / Bedrijfsrevisor
6
146
IX.7
Note: Declaration on non-financial information
NON-
FINANCAL
REPORT
2021
“ Daring to be
human together
”
2
ETHIAS - NON-FINANCIAL REPORT 2021
NATIONAL HEAD OFFICE

Rue des Croisiers 24
HEAD OFFICE FOR FLANDERS
Prins-Bisschopssingel 73
HEAD OFFICE FOR THE
GERMAN-SPEAKING REGION
ethias.be
4000 LIÈGE 3500 Hasselt Klötzerbahn 24-26
32 (0)4 220 31 11 + 32 (0)11 28 21 11 4700 EUPEN
+ 32 (0)87 59 10 00
Table of contents
TABLE OF CONTENTS 3 PEOPLE 16

For our employees 17
RETROSPECTIVE AND For our clients 25
VISION OF THE CHAIRMEN 4 Ethias in the Belgian society 26
SUSTAINABLE DEVELOPMENT GOALS 6 PROFITABILITY 31

Direct insurer 31
PRESENTATION ETHIAS 7 An increasingly sustainable product range 33
Our Brand Purpose 7 Innovating for progress 36
Proud of our values 8 New Sustainable Investment Governance 39 3
Our mission 9 Ethias as an active shareholder 41
Our vision 9 Sustainability at the heart of our investments 42

The strength of a group 10
Innovation Hub 11 PLANET 46
Our environmental approach 47
SUSTAINABILITY AT ETHIAS 12 Change Over: towards carbon neutrality! 51
Proven expertise 12
Review 2021 13 AMBITIONS 2022 52
Sustainability Strategy 14
Our policies, charters and codes 15 ENTRY INTO THE UNITED NATIONS
GLOBAL COMPACT 53
Retrospective and vision
of the Chairmen
The evolution of the They make us rely on our resilience capacity
and commitment to build new points of refer-
COVID-19 pandemic, the ence in a world in full societal transition.
increasingly frequent Moving forward in this new world in a fair

and sustainable way requires resources, but
natural disasters and above all a deeply human approach. For over
100 years, Ethias has been committed to Bel-
cyberattacks, war on gian society. It will continue to do so by pro-
Europe's doorstep... viding coherent, innovative and sustainable
solutions cohérentes, for all its stakeholders:
These risks impact us employees, private and public policyholders,
shareholders and the Belgian society.
all in our daily lives and In 2021, Ethias was keen to provide useful
cause countless economic
4
and concrete assistance. In addition to being
the largest contributor to help the authorities
and human impacts. revive the economy both at federal level and
in the three regions after COVID, Ethias also

showed up in the field.
During the pandemic, we donated hand sani-
tisers, PCs to children who needed them, we
provided for psychological assistance, vacci-
nation centres were granted free coverage, etc.
During the terrible July floods, mobile crisis
centres travelled through the affected areas
to help the population report the damage, but
also to bring comfort and answer questions
2021
PANDEMIC
Trophy 2021
from clients and non-clients alike. Meals were By integrating sustainability into all aspects of
provided, mobile washing machines were our business, we are strengthening our ability
available, solutions were found to quickly re- to be a strong and responsible player in soci-
cover household appliances... ety, creating jobs and solutions for the new
The Decavi Trophy that Ethias won in October world to come. We believe in the strength of the
2021 for its initiatives related to the pandem- collective and the commitment of our talent-
ic and its commitment to society is a further gether, let us dare to be this force for change.
illustration of the commitment of 2,000 em- DARING TO BE HUMAN TOGETHER.
ployees guided by unfailing energy, solidarity Our social responsibility action plan is again
and benevolence. inspired by the United Nations Sustainable De-
These exceptional circumstances have not velopment Goals. Throughout our 5th non-fi-
slowed down our innovation drive: new prod- nancial report, you will learn more about Ethi-
ucts and services in the fields of health, mo- as’ many sustainable actions and ambitions
bility and property protection have been de- around the 3 axes: People, Profitability & 5
veloped thanks to our solid group strategy Planet.

and the 5,000 talents within our group. Today, We wish you a pleasant reading and remain

our experts are developing new solutions to – together with all our staff – attentive to your
emerging risks like health, psycho-social or needs.
climatic risks or the cyber threat, for example.
Philippe LALLEMAND Myriam VAN VARENBERGH
CHAIR OF THE EXECUTIVE COMMITTEE CHAIR OF THE

CHIEF EXECUTIVE OFFICER BOARD OF DIRECTORS
Sustainable Development Goals
(Sustainable Development Goals or SDGs)
The Sustainable Development Goals are a universal call to action to end poverty,
protect the planet and improve the lives and opportunities of people everywhere.
The 17 Sustainable Development Goals were adopted

by all Member States of the United Nations in 2015, as
part of the “2030 Agenda for Sustainable Development”
which sets out a 15-year plan to achieve these goals.
• End poverty in all its • Reduce inequality within

forms everywhere and among countries
6 • End hunger, achieve food security • Make cities and human

and improved nutrition and settlements inclusive, safe,
promote sustainable agriculture resilient and sustainable
• Ensure healthy lives and promote • Ensure sustainable consumption

well-being for all at all ages and production patterns
• Ensure inclusive and equitable • Take urgent action to combat

quality education and promote climate change and its impacts
lifelong opportunities for all
• Conserve and sustainably use the
• Achieve gender equality and oceans, seas and marine resources
empower all women and girls for sustainable development
• Ensure availability and • Protect, restore and promote

sustainable management of sustainable use of terrestrial
water and sanitation for all ecosystems, sustainably manage
forests, combat desertification, and
• Ensure access to affordable, halt and reverse land degradation
reliable, sustainable and and halt biodiversity loss
modern energy for all
• Promote peaceful and inclusive
• Promote sustained, inclusive and societies for sustainable development,
sustainable economic growth, provide access to justice for all and
full and productive employment build effective, accountable and
and decent work for all inclusive institutions at all levels
• Build resilient infrastructure, • Strengthen the means of

promote inclusive and implementation and revitalize
sustainable industrialization the Global Partnership for
and foster innovation Sustainable Development
Presentation Ethias
Our Brand Purpose
Our Brand Purpose defines the company's raison d'être: its moral
principles beyond the profit motive. In this new world, we put
people at the heart of all our actions so that they are an ever greater
source of sustainable progress, equity and peace of mind for all.
This is the world today.
Health crises, digital divides, social inequalities, urgent climate

issues ... These are new threats that are challenging the much-needed
solidarity to build a responsible and sustainable society of the future.
Human and ethical values are too often disregarded, even
though they are our sole and unique way of existing.
That is why, at Ethias, we put people and the communities
they live in at the heart of everything we do.
7
At the centre of our actions, our concerns, our resources
and our goals. At the centre of our name, because the "h" in
Ethias stands for humanity, symbolizing the human values

that have always ensured our company’s strong resilience.
At Ethias, we enable our staff and partners to grow and to
give the best of themselves. We are agile and flexible. At
this very moment, we are all working together to make life
easier and more enjoyable for everyone. We want to bring
a smile to people’s faces and make threats disappear.
Because at Ethias, technology does not create distance, but brings
people together. It facilitates contact, without replacing it. We
are close to you, we speak the same language and we understand
the world around you. Our job is to be a direct insurer, being in
direct contact with life and bringing solutions to you directly.
We are here to protect you and to give you a helping hand ...
allowing you to be yourself to the fullest, to become and to
achieve what you want in life. Whether you are a single person, a
couple, a family, an association, a company or a public body.
And to make this happen, we dare to be kind, understanding and
empathic. We bring all these deeply rooted human values together
in our unwavering determination for the well-being of everyone.
That is why our motto will always be:
“Daring to be
human together”
Proud of our values
Our values are the foundation of our identity, our culture

and our personality. In a nutshell, they are the DNA of
Ethias and were defined in 2018 with all Ethias staff.
#Humanity #Commitment #ClientSatisfaction

Humanity is at the heart of all Every day for more than 100 years, This is the driving force of our
our relationships which we treat we have been committed to our activities and of all our actions.
with respect and empathy. We clients, to our colleagues and to Through our mutualist origins,
are a true partner to everybody society in an efficient way. We are we emphasize on client contact
we work with. For us, proximity reliable, trustworthy and willing. possibilities and on exemplary
and solidarity are no empty This commitment also relates to service quality. Our accessibility, our
words. ethics, which remains at the root efficiency, our flexibility speak for
of all our actions, and to our social themselves and clearly contribute to
#Empathy #Respect #Proximity responsibility. the satisfaction of our clients.
#Team #Solidarity
#Confidence #Trustworthy #Accessible #Partner #Flexibility
#Efficiency #SocialResponsibility #Adaptability #Efficiency
#Ethical #Responsible #100years #Simplicity #Agile
#Proactive usiasm
Our mission
Making insurance easier so as to bring
you security, peace of mind and freedom
of initiative, with innovative services and
products. As partner of your daily life, we put
our expertise and our energy at your service.
Our mission manifests itself every day in

the actions of all Ethias employees, so that
together we can build the world we want to
see tomorrow in line with our vision.
#Enthusiasm
Our vision

Because whatever happens,
Our vision for the future
a heart beats within Ethias.
is built around 3 axes:
Every day, we demonstrate
energy, vitality, optimism · Direct: we are a direct insurer, creating
and dynamism. Our and strengthening relationships
enthusiasm helps us to be · Digital: at the heart of our strategy,
creative and to undertake but serving people only
innovative projects.
· Public sector: we are proud to be the
#Innovation #Vitality number one insurer in the public sector
#Creativity #Energy and to be able to serve all citizens
#Dynamism #Optimism
The strength of a group
Building on the success of
its unique model, Ethias
From a strategy as an insurer
has taken a new step by
to a strategy of integrated
further capitalising on the
and durable services for
strengths and specificities of clients and the public
its subsidiaries to position The further integration of the group's entities allows
Ethias as a value-generating us to rely on the synergies, expertise and talents of
more than 5,000 employees to accelerate the im-
group for all its stakeholders. plementation of various ecosystems such as health,
ageing, mobility and public services. This allows
Ethias to offer services beyond insurance contracts
by also focusing on sustainability aspects.
This strategy, which goes beyond

insurance, is based on 5 pillars:
Offering extended
10 Ethias: services
100 years of expertise in assisting
clients with their needs to
Developing digital and
protect individuals and goods
technological innovations
to serve people
NRB:
provider of ICT solutions and
services with a European vocation Building ecosystems
Flora: Creating synergies

100 % digital insurance
and pooling skills
Ethias Services:
innovative services in the Building partnerships and
fields of prevention, risk
rethinking the sales approach
management and pensions
IMA Benelux:
development and services related to
Car, Home and Health Care assistance
Ethias Pension Fund:

a unique multi-employer pension
fund in Belgium that offers the best
solutions for financing pensions
In this report, Ethias group: more than 5,000
the following
logo indicates employees committed to a
consolidated data: more sustainable society
In line with the 2020 group strategy, this non-financial report
integrates the activities of the subsidiaries, including NRB
SA, but excluding the subsidiaries of the NRB group and IMA
Benelux.
Innovation Hub
Solutions must be innovative to face the challenges ahead.
Any company that wants to be a long-term player must
meet client expectations with creativity and sustainability.
In 2020, Ethias has set up an Innovation Hub to boost the
creation of new services closely or remotely related to insur-
ance. It is an open, flexible and participatory entity. Its team
is composed of different and multidisciplinary profiles working
with internal and external contributors. The Innovation Hub
is a real space for co-creation, experimentation, acceleration and realisation of projects. This
structure is also a monitoring and analysis lab, on the lookout for innovative developments to
identify the most promising projects for our clients.
11
An Innovation Board has been set up to steer innovation at the Ethias Group level in an intrapreneu-
rial and agile mode. The complementary nature of the Group's 5,000 employees gives a real boost to
innovation, for the benefit of our clients and society in general.

EthiHub.be Values at the service
of innovation
Our innovations reflect our commitment to a more
human and sustainable society. The focus is on 3
ecosystems, which bring together the main societal
challenges of today and tomorrow:
Health Mobility Home
>> Find our innovative services on page 37

Sustainability at Ethias :
Proven expertiseTimeline
• Anysurfer certification
for Ethias.be (for visually
impaired people)
• Ethical investment code • Equality-Diversity • Creation of a CSR
(reviewed each year) certification task force
2003 2005 2006 2007 2008 2009
• Creation of the Joint • Diversity Charter • First measuring

Ethics Committee • 1st societal of our carbon
• Ethias supports fair trade report footprint and
through Fairtrade@work! implementation
of an action plan
• Insurance Award for all
our citizenship initiatives
during the pandemic and our
structured assistance plan
• Ongoing collaboration with
DigitalForYouth against
• Entry into the digital exclusion
United Nations
• Subscription to the "Green
Global Compact
Deal Circular Procurement”
12 • ISAE 3000 • 1st “Vélo Actif”
certification, • Launch of our Change Over plan
Certification for
ethical financial renewed each year! • Participation in the Zambia
management (Asset • Launch of Green CO2 offset scheme
Management) Movement campaign • Signature of the UN PRI Charter
2013 2014 2015 2016 2017 2018 2019 2020 2021
• Top skills: • Certification ISAE • 1st non-financial • Update of the ethical investment code
training sessions 3,000 in terms report and adoption of the sustainable and
for women on of environmental responsible investment policy
assertiveness and performances • Planting of 3,000 • Financial and psychological assistance
self-confidence (CO2 emissions mangrove seedlings to the self-employed and VSEs (COVID)
management) in Benin • Support plan for vaccination
• "Women in Finance" centres and volunteers (COVID)
charter signed by CEO • Free psychological help for
Philippe Lallemand young people (COVID)
• “CEASE” charter signature • Investment in economic
• CEO Philippe Lallemand recovery plans (COVID)
took part in the "Sign for • Solidarity actions after the July floods
my future" campaign (mobile crisis centres, cash advances,
• Insurance trophy for our App4You mental support...)
non-financial report • Call for projects in Public Centres
for Social Action (CPAS) for the
Ethias Youth Solidarity Awards
• Signing the PBAF / BACA / Climate Action +
Review 2021
Climate
Towards carbon neutrality
Direct footprint:
3,839 6,2% 1
New governance tonnes of CO2, 90% reduction
in carbon
wind turbine
for IT energy
of which comes from
Appointment of a Head of Sustainability our vehicle fleet emissions needs
and implementation of a stronger
transversal organisation
United Nations
Diversity Global Compact
4 axes : gender / age / disability / origin Adherence, responsibility and commitments 13
Measures to help

17 Sustainable
Development Goals and protect against
of the United Nations COVID-19
Employees / Clients /
Approach rooted in worldwide concerns Belgian population / Companies
80M€ in support of various

post-COVID recovery plans
Post-flood actions
2,000 employees working alongside
the affected population and volunteers Finance
85% of claim cases opened in the first week
Sustainable and responsible investor
84% of B2C cases closed by 31 December 2021
Ethias Youth Beyond insurance

Solidarity Awards An Ethias Group-wide
strategy for more
450,000 euros to encourage Public Social Welfare integrated services for
Centres to fight against poverty among young people the benefit of its clients
Sustainability Strategy
New strategy, new governance
Integrating sustainability into the

company's strategy means, first and
foremost, taking a 360-degree view and
accepting that our thinking and decisions
must take into account considerations
for our stakeholders: clients, employees,
shareholders, suppliers and society.
Ethias' new Sustainability strategy is based Our new Sustainability strategy is built
on a stronger governance, built with a team around the three main pillars known as ESG:
of passionate employees, whose primary mis- • Environmental
14
sion is to integrate sustainability criteria in all
• Social
areas of the company's activities.
• Governance
Ethias is clearly not starting from scratch For each of these pillars, we involved our employ-
when it comes to sustainability: Corporate ees to set up a concrete action plan aimed at:
Social Responsibility (or CSR) has always • further reducing Ethias' ecological
been part of its DNA! A joint Ethics Committee footprint through ever more ambitious
was set up for this purpose in 2003. Over the environmental management and even
years, Ethias has gained in notoriety for its more sustainable investments
social commitment thanks to many successful • creating a modern governance
initiatives and actions. that allows employees to actively
participate in new forms of collaboration
In 2021, Ethias decided step up its game and on sustainability projects
strengthened its sustainability organisation by • above all, remaining people-oriented by
creating a new Head of Sustainability function being continuously present alongside
and a whole new Sustainability team. Its main those who need assistance, clients
task is to define the guidelines for the sustain- or not (poverty, inclusion, health,
ability strategy and to steer the integration of assistance, prevention, diversity)
sustainability objectives in the company.
Group-wide ESG policies
Our new strategy is in line with the United Na-
En
tions' Sustainable Development Goals (SDGs).
ce
We believe that we can make the greater differ-
Am
bit ence by aiming at these goals. The goals are
iou
vi
ith s se eradicating poverty, promoting health for all,
n
ce
rna
ro
ER
ac w
ESG
creating more sustainable cities and commu-
nv
pr e
OV
ti
et lin
iro
nm
nities, and fighting climate change.
P OL
NGE
ark in
nm
L
best mnance
Gove
NTA
ent
ICIE
CO CHA ME NT Other issues are also tackled, such as con-

MM N
IRO ME )
al m
S
ITM
ent
ENV NAGE (EMS crete commitments on ending hunger, access
Gover
ENT
M A ST EM
anagement
S
SY to reliable, sustainable and affordable energy
NE W RESPONSIBLE services, and promoting more sustainable con-
E
OR ATIV INVESTMENT
COLL AB RNANCE sumption and production methods.
GOVE HODS STRATEGY
ME T
Network of strong and

committed partnerships
FIG VER
EA ING
PO
LTH
HT T Y
DIVERSIT Y
& INCLUSION
& H L-BE
AG
Ethias aims to offer its sustainability expertise

L
AIN
WE
and experience to the public by collaborating

ST
on responsible investment initiatives and

ESG-related partnerships listed in this report.
Al n
in soeading positioilit y
cial responsib
S o ci al
15

“Sustainability strategy is not a one-man job. It is
such a broad topic, with implications for the whole
company and beyond, that is continually evolving
as we identify the need for changes. Just like trees
in a forest that support and help each other so
that they can all flourish and find their own place.
We are all sowing the seeds of the company and
the world we want to shape for tomorrow.”
Bénédicte PASSAGEZ, Head of Sustainability, Ethias
Our policies, charters and codes

All of our commitments and principles described here are
formalised in our policies, charters and codes on our website:
www.ethias.be/durable
People
16
Daring to be
human together
For our employees
The human capital is Ethias’ most valuable asset.
During the COVID pandemic, Ethias was able
to ensure business continuity while protecting
and supporting its employees at all levels.
Working Apart Health measures

Tomorrow Together Self-tests and masks
Hybrid work Inspectors and employees in the regional of-
fices were provided with FFP2 masks. Each
Ethias has decided to make hybrid working the
employee received 6 antigen tests and two
new normal.
cloth masks.
This organisation combines working from home
and at the office to provide employees with more COVID bonus as a way for the
flexibility in their work schedule while maintain- management to say thank you
ing team spirit.
Working from home

– office work In 2021, each
employee received:
The COVID pandemic has called upon the great
450
resilience of our employees. 17
For the sake of a smooth work organisation and
clear measures, HR drafted a 7-phase plan that
1
can be activated depending on the situation.

450 euros in vouchers
Extra days off (agreement between
Assuralia and unions)
50
When employees work from home, overtime is
not recorded in the timekeeping system. 1 day off per
quarter while
mandatory working
Work from home allowance from home
50 euros in gift
To reduce the costs of working from home,
vouchers from the
Ethias granted an allowance in 2021.
management
Shared offices at the
Hasselt headquarters
Since September 1st, 2021 we have been im-
plementing a shared office concept. Shared
spaces instead of dedicated offices, with a
clean desk policy. Employees were given the
appropriate equipment: a wireless keyboard
and a personal locker.
Social cohesion
Ethias would be nothing without the strength
and commitment of its 1976 employees! For
Ethias, social cohesion and the well-being of
its staff is an absolute priority that is directly in
line with its ESG values and commitments.
A respectful, collaborative and responsible social dialogue has always been
part of Ethias’ corporate culture. The social cohesion of our company allowed
us to thrive for over a century.
1 976 All together

936 938 949 956 967 997 979
893
during the floods

At 31 December 2021, During the floods of July
the company had 2021, Ethias employees
1,976 employees showed great solidarity with
(997 women and their clients, but also with
2018 2019 2020 2021 each other. Some of them
979 men).
n women n men interrupted their holidays
to come back to work, our
B2B and B2C inspectors did
their best to make the first
Gender distribution assessments, mobile crisis
in the Ethias Group as centres helped clients to
of 31 December 2021 report their claims and some
58% 42%
n women n men regional offices were open
18
to clients even on weekends.
War rooms were set up in
Liège and in the regional
office of Alleur in order to

A strong sense of
10
centralise claim follow-up.
belonging, even when The cohesion feeling made
working from home the workload more bearable
Ethias planned two virtual staff parties in Jan- for these employees.
10 info sessions uary and June 2021. Through various channels,
and workshops Ethias employees were able to stay in touch
took place in 2021, with their colleagues and company. One of
with an average the main communication channels was the in-
of 73 participants tranet, which allowed employees to keep up to
per session date with company news. The CEO also demon-
strated his involvement by sending a regular
e-mail to all employees. Finally, info sessions
and workshops during the lunch break or work-
ing hours played an important role in internal
communication.
New staff restaurant

Restaurants in Liège and Hasselt were re-
designed. Our new caterer, The Food Show,
is committed to providing fresh, tasty and
healthy food, as well as a pleasant and wel-
coming environment.
Free fruit all day.
Diversité
Diversity at Ethias is based on 4 pillars:
Gender Age
(male/female) (intergenerational dynamics)
Disability Origine
(able-bodied/disabled) (ethnic and cultural diversity)
Gender (male/female)
For our business to remain sustainable and
Age (intergenerational dynamics) 35
Ethias welcomed 19
Training
strong, we need men and women working to- 35 interns in 2021
Training is an important pillar for Ethias. That (low figure due to
gether to promote an inclusivecorporate cul-
is why we want to offer trainees a valuable first the pandemic)
ture and to bring out the best in women. The

experience. In return, they can provide valua-
Women in Finance charter is an initiative of
ble support to our employees.
the financial sector (Belgian Financial Forum)
and various institutions founded by Women
in Finance Belgium. Bringing together finan- YouthStart
15,000
cial organizations helped to promote gender Ethias has entered into an initial three-ye-
balance and share good practices. On June ar par tnership (2018-2019-2020) with
17, 2019, many Belgian financial companies YouthStart, a non-profit that aims to boost the
signed this charter. As a socially responsible self-confidence of young people aged 16 to 30
Ethias supports
insurance company, Ethias was among the first in search of opportunities. This association
YouthStart with
signatories. helps young people to step into the corpora-
€15,000 per year.
te world and delivers them a well-deserved
certificate at the end of the training. In 2021,
we renewed our three-year partnership for the
Gender distribution as of 31 December 2021 period 2021-2022-2023.
75% 72%
51,4 % 48,6 % 56 %
44 %
25% 28 %
Operational Management Top management Executives

level level level (Management
(range A to E) (range F to G) (range H) Committee and
Board of Directors)
n women n men
We note that there is still an unequal distribution in

management functions. Action plans for the next few
years should lead to more equality at all levels.
Disability (able-bodied/disabled) Origin (ethnic and cultural diversity)
Accessibility Mentoring projects
Of our 37 regional offices, 32 are accessible to Ethias works on several mentoring projects.
people with reduced mobility (26 are specially Ethias finances the operation of the company.
adapted and 6 are equipped with an access Several colleagues act as mentors for jobsee-
ramp or elevator). kers with a migrant background who have dif-
A personal welcome is the first service to be ficulties in accessing the labour market. For
provided to people with disabilities: staff members who take up this challenge,
Ethias offers the possibility to do mentoring
• Attitude and general behaviour: courtesy,
work during their working hours.
listening, friendliness (e.g. notebook
and a pen for the hearing impaired).
Be.Face
• Mobility: large spaces and
• In the Be.Face business network,
barrier-free pathways.
companies pool their resources for the
• Facilities: seating, lighting,
10,000
inclusion of disadvantaged populations.
gates, toilets, etc.
DUO for a JOB

20 • DUO for a JOB connects young people In 2021, Ethias
with an immigration background signed a new
looking for a job with people over 50 cooperation
who offer their experience to help agreement with
these young people find work. DUO for a JOB. The

agreement was
for an annual lump
Mentoring@Work
sum of €10,000.
• The Minderhedenforum, with which
Ethias had been collaborating since
2019, stopped its Mentor2Work activity
in 2021. Ethias found a new partner
in Mentoring@Work in 2021.
Prevention of
psychosocial risks
Disconnect to connect
At Ethias, we value the
well-being of our em-
ployees. They must be
able to take the plug out from time to time so
they can remain focused. This is why Ethias
launched the internal campaign “Disconnect
to connect” in 2021. Ethias wants to help its Confidential counsellor
staff go through this process by providing in- The persons of confidence are part of the psy-
50%
formation, tools and support. chosocial unit. Their mission is broad, as they
help employees with all problems related to
MyMindScan violence, harassment or sexual harassment at
MyMindScan (MMS) is an online tool that mon- work, but also stress, burn-out, conflicts, etc.
itors mental resilience. By using six scientifi- More than 50%
cally validated factors, MyMindScan identifies of employees
the resilience and personal profile of each col- participated in
312
league. MyMindScan at
least once in 2021.
My Workplace Options
In 2020, Ethias introduced the My Workplace
Options Hotline. Employees could book a In 2021, 312 people had an appointment
phone appointment with a psychologist free with our person of confidence
of charge. In 2021, this offer was extended to (170 in Liège and 142 in Hasselt)
the “Employee Assistance” program. Employ-
ees were able to call on practical assistance or 312
21
plan coaching sessions. This offer is intended
189
for employees and their families. 142
170 170
106
Reintegration
83 80 90 80

45 35
Since 2017, managers have been given training

2018 2019 2020 2021 2018 2019 2020 2021 2018 2019 2020 2021
on burn-out prevention. A formal and informal
29
Hasselt Liège Total
reintegration procedure for the long-term sick
has been launched, with the support of trade
The increasing number of employees who
unions, human resources management and
called on the services of persons of confidence
persons of confidence.
in 2021 is the result of an internal campaign
In 2021, 29 people to promote the well-being of employees
were involved in the after a long period of working from home.
formal reintegration
process.
Optimisation of informal
internal procedures
In 2021, the psychosocial unit standardised
Absenteeism rate their internal informal procedures. This means
2,58 % that each employee will receive the same sup-
2,36 % 2,37 %
port and that each case will be managed in the
same way.
1,63 % 1,67 % 1,67 %
1,58 %
1,30 %
1,18 %
2018 2019 2020 2018 2019 2020 2018 2019 2020
Short term (illness) Long term < 1 year Long term > 1 year
Reinventing Human Resources
Ethias offers its staff many opportunities to evolve in exciting
and varied positions, far from the clichés of the insurance
industry. At the same time, it aims to promote a balance between
professional and private life.
173
Onboarding MyLearning
In 2021, the recruitment process still had to go Training is one of these tools. On the digital
through video conference. If possible, physical platform MyLearning, employees can, in con-
173 people were interviews took place. sultation with HR and their manager, choose
hired en 2021 the training that suits their career.
Number of training courses in 2021
453
and number of participants:
Internal development • 62 online courses (2,974 employees)
opportunities • 178 webinars (1,065 employees)
At Ethias, employees have the necessary tools • 27 blended learnings (341 employees)
In 2021, there were to continue to grow and change positions • 13 coaching sessions (30 employees)
453 transfers within Ethias.
• 153 lectures (850 employees)
22
First aid team Blood donation Flu vaccine
61
There are 61 first aiders
73
73 employees gave
318
318 people got a
at Ethias: 40 in Liège blood at a blood centre free vaccine shot
and 13 in Hasselt against influenza
57 first aiders followed
an online refresher
Other actions could not take
training: 40 in Liège,
place due to COVID. Staff
11 in Hasselt
were still able to go to local
blood centres to donate blood
during working hours.
Well-being trainings
Ethias wants to give its employees the tools
they need to perform in their professional
tasks, but also to promote their well-being.
This is why Ethias regularly organises work-
shops and information sessions.
• Lunch & Learn sessions
• Webinar: Gunnar Michielsen “How
to survive working from home”.
• Webinar: Koen Daems
"Disconnection and Office365". Employee Engagement Survey 87% of colleagues
took the survey
In 2019, Ethias employees took the Employee
Engagement Survey. They were asked about
their engagement and enablement. Areas of
86% see Ethias as a
responsible company
improvement are opportunities for Ethias to
grow and optimise its working environment for
the employees, the driving force of the compa-
86% believe in the
company's values
ny. A second survey was conducted in 2021.
Ethias Young Talent

Development Program
In 2021, the People & Organization
department launched the
23
second editions of Young Talent
Development Program for
employees under the age of 35.

In collaboration with the University of
Liege and the University of Hasselt,
Ethias wants to give young employees MyLife@Ethias
the opportunity to discover and
Due to the uncertainties of life, but also the
develop the skills of the future.
33
improvement of the standard of living, Ethias
wants to pay more attention to sustainable
Out of 33 applications,
growth and the preservation of resources, in-
22 candidates
cluding human potential.
were selected
HR's ambition is to move forward, to improve
and to anticipate needs.
This is why HR has embarked on a long-
term project to listen to its employees
and make their careers sustainable.
Leadership@Ethias Ethias is taking the pulse of three target groups
In 2019, the Human Resources department to draw up a tailor-made plan:
launched a new management skills develop- • Early career: young people
ment program called Leadership@Ethias. In up to the age of 30
2020, the program was interrupted premature-
• Mid-career: +/- 40/45 years old,
ly due to COVID, but resumed in 2021.
with 15 to 20 years’ experience
In 2021, a coaching needs analysis was car-
• Late career: +/- 55 years old
ried out via 130 individual interviews with
managers. Based on the results, we designed
the leadership@ethias programme for field
managers.
Staff Association
The Employee association was founded in 1959
and has 6.500 members (active colleagues and
Our HR policy in retired staff, their partner and children). It is
better known as the Amicale in French or Vrien-
the spotlight denkring in Dutch.
In 2021, two organisations analysed Ethias' HR pol- Even during the lockdowns of 2021, the Amica-
icy: Voka and the Top Employers Institute. In both le has been very creative to keep its activities
cases, Ethias was nominated for certification. This going. In these difficult times, it played a very
is a great recognition that also allows us to take a important role in strengthening the bond bet-
look at the company and identify opportunities for ween its members and Ethias. Yoga sessions
growth. and virtual fitness classes took place, as well
as two online blind tests. It allowed the event
Limburgse HR-Award from "Dwars door Hasselt" to happen. It set up a
Voka - Kvk Limburg private Strava group for Ethias staff. It ensured
that the children of staff members could still
Four organisations were nom- receive their St. Nicolas present and finally or-
inated for the Limburgse HR ganised a Peket Express walking rally in Liege.
Award. Four companies that,
Members of the Amicale spent a week distribu-
in their unique organisational
ting food and drink in the Walloon municipali-
24
context, want to innovate on the basis of their own
ties most affected by the floods. It also called
HR vision and strategy. Stimulating employees with
upon colleagues to help the victims financially.
concrete initiatives in an authentic and friendly or-
ganisation where job satisfaction and sustainable The money was donated to the ASBL Format'A-
employment are taken very seriously. ge, which buys and distributes equipment to
the victims. Ethias paid an additional €7,000
Ethias submitted answers to a list of questions.
on top of the amount collected.
These answers were then reviewed by a jury. Ethias
finally received the award.
Top Employer 2022 certification

In the spring of 2021, Ethias was given
six weeks to complete a comprehensive
survey: 400 questions covering 600
practices, divided into 6 themes and 20 sub-themes. Solidarity BBQ
These HR practices had to be supported by evidence, From 24 to 30 July, the Amicale mades
such as documents and screenshots. This was an barbecues to provide the affected population
extremely intensive exercise involving the entire and volunteers with a comforting break.
People & Organizations team. The Top Employers
Institute (TEI) then reviewed everything in prepa-
ration for their audit. This was followed by another
intense period for Ethias to prepare for the validation
session. The audit (validation session) took place on
9 September 2021. On 24 November 2021, Ethias
received confirmation that it had been awarded the
Top Employer label. However, this news remained
under embargo until 20 January 2022.
For our clients
COVID-19
Ethias launched numerous initiatives to support its
clients during the COVID crisis and provided very con-
crete help to the insured self-employed and very small
enterprises (VSEs) affected by the health crisis.
An overview of all our actions is available on
www.ethias.be/ActionsCOVID
25
Floods

The floods caused our policyholders a lot of admini-
strative problems. To ease their burden and speed up
the follow-up of the many claims, Ethias took many
proactive measures. First of all, we deployed mobile crisis
centres in the affected areas. Ethias clients received the help
they needed to file their claims. Secondly, there were 'Direct
Expertise' days in some regional offices. During these days,
101 colleagues clients who did not need an expert on site were able to com-
distributed plete their claim within 30 minutes. If they were missing quotes
4,200 sausage to complete their file, they could call on the quote factory set
up by Ethias. An expert could then quickly give a price. In Au-
rolls and more than
gust, Ethias teamed up with the retail chains Exellent, Expert
20,000 drinks and Selexion to help replace damaged household appliances
quickly. In addition to practical assistance, Ethias also offered
psychological support to clients who needed it.
An overview of all our actions is available at
www.ethias.be/Inondations
Ethias in the Belgian society

With a budget of 450,000 euros, Ethias encourages the Public Social Wel-
fare Centres (PSWCs) to fight against youth poverty.
Ethias wants to help fight financial insecurity of young people and has
130
130 PSWCs
therefore launched the first edition of the Ethias Youth Solidarity Awards. responded to the call
All Belgian PSWCs were invited to submit a project to fight poverty amongst
the young. These projects can be about cultural participation, access to
102
education, budget support, etc.
Three out of ten young Belgians (30%) have already experienced poverty.
More than a quarter of young Belgians (27%) have even asked help to a
PSWC and more than three in ten (33%) regularly experience less pleasure
in life because of financial worries. These are just some of the alarming 102 projects
figures that emerge from a survey of 1,000 young people aged between 16
were submitted
and 30 about their financial situation. The independent research institute
26 Indiville carried out the study at the request of Ethias.
"Too many young people cannot sleep at night

because of their financial situation. With
COVID, the problem has become even worse.
Young people should be able to go out with
their friends or family, go out to dinner or for a
drink, or play sports and relax. As a top athlete,
I know how important it is to have dreams and
ambitions. That's why I support this initiative.”
Matthias Casse,
Belgian Olympic medallist and ambassador of the
Sponsoring & Partnerships
Ethias’ sporting, cultural and societal partners share its values: human,
commitment, client satisfaction and enthusiasm.
Ethias sponsors via financial contributions and/or via advertising support
through its own communication channels. As a sponsor, it is actively
involved in every project supported.
Ethias excludes any sponsorship of organizations that could associate
its name with doping, corruption, violence, racism, incitement to hatred,
addiction, public disorder, unethical beliefs, discrimination on the basis
of race, gender, age, sexual orientation or conviction (for example hom-
ophobia, anti-Semitism, Islamophobia, etc.).
Festivals
Matthias Casse
Live music brings people together, of all generations, in all their diversity
In 2021, Matthias Casse, the world
and emotions. Festivals: Pukkelpop Zomerkwartier, Gent Jazz, Festival 27
and European judo champion,
Dranouter, Dinant Jazz.
became an Ethias ambassador. His
Culture dynamism, healthy lifestyle and
ambition are fully in line with our

Cultural activities give us a new and broader view of aspects of our life
values. He also wants to contribute
and society. Cultural actors: the Royal Opera of Wallonia, the National
to Ethias' ambition to encourage
Orchestra of Belgium, the Royal Philharmonic Orchestra of Liege, etc.
people to be more active!
Sport
Sport is good for our health, our social life... In short, it makes us happier.
Sporting events are also very important for bringing people together.
Sports events: Ethias Cross, UCI World Cup Cyclocross, Ethias Tour de Wout van Aert
Wallonie, Grand Prix de Wallonie, Bingoal Cycling Cup, Woman Race, In November 2021, Ethias
Euromillions Cup finals volley, Mon Ventoux, Ethias Challenges, Count partnered with Wout van Aert,
Me In, Start to Tennis, Start to Golf… Sports federations: tennis, volley, three-time world champion in
handball, golf... National teams: Yellow Tigers & Red Dragons (volleyball) cyclo-cross et and professional
and Red Wolves (handball), as well as umbrella organisations (Sport World Tour cyclist. He will
Vlaanderen, Vlaams Instituut voor Sportbeheer en Recreatiebeleid (ISB), become its new ambassador
AES, LOS and AISF). as of 1 January 2022.
Social partnerships
Blue-bike
The partnership with Blue-bike, which start-
ed five years ago (2017), has been renewed
for three years in 2020. Blue-bike and Ethias
are now working even more closely together
to develop active mobility in Belgium. In the
summer of 2021, Blue-bike celebrated its tenth
anniversary.
Digital4Youth
In 2021, Ethias Ethias makes its old ICT equipment available
donated: to Digital4Youth, an organisation that recycles
171 this equipment and makes it available to young
people in difficult situations.
docking stations
368 Pelicano Foundation

monitors The Pelicano Foundation is committed to fight- Sint-Vincentius
442
ing child poverty in Belgium. Ethias employ- Association Genk
ees can choose to donate an amount via their
keyboards The Sint-Vincentius Association is an umbrella
Flex@Ethias cafeteria plan. This amount is
organisation for all people in need in Genk.
273 used to cover the basic needs of Belgian chil-
Ethias gives its employees the opportunity to
mice dren living in poverty: meals, clothes, school
organise collection activities (clothes, toys,
supplies, doctor's visits, but also the costs of
87 joining a youth movement or sports club.
etc.) during working hours and makes its fa-
cilities available in Hasselt.
note books As in 2020, Ethias conducted a market study. In
On the initiative of one of its employees in
order to maximise the number of participants in
28 Liège, a similar action was undertaken in col-
the survey for a highly representative sample,
laboration with the “Restos du Cœur” organi-
we set up an incentive in the form of a donation
sation in Seraing.
(to a charity). In 2020 and 2021, the donations
Social sponsoring
were made to the Pelicano Foundation.

This action brought in € 2,075 for Pelicano. • CIRIEC asbl
In the autumn of 2021, the bees in the hives • Akcess de Prométhéa asbl
of the Hasselt headquarters and the regional • “Vive le Printemps”
office in Alleur delivered their first honey. These (Orchestre National de Belgique)
jars of Ethias honey were sold to employees • Asbl Article 27
at a price of €8 for 250 grams. The collected
• Belgian Red Cross
money will be donated to the Pelicano Foun-
dation in 2022. • Les Territoires de la Mémoire
• Creccide asbl
Ethias has also set up prevention campaigns
by supporting, among others, Route2School,
Fédémot, Apper and Houtopia.
Ethias builds bridges
with the academic world
Universities and colleges are pioneers in the
search for solutions to the various challenges
of today and tomorrow. By partnering with
them, Ethias ensures that it stays ahead in the
field of innovation.
UCL
The Ethias Chair "Pensions" has three goals:
• Reflect on the design of equitable and
sustainable pension systems, in terms
of their financing, architecture and
governance, with a particular focus on
the study of supplementary pensions.
• Contribute to the maintenance of
a transdisciplinary platform for
research on pensions at UCLouvain. Stronger than Corona
• Ensure the future of teaching on pension
As a committed Belgian insurer, Ethias
issues at UCLouvain and offer quality
has both feet firmly planted in society.
lectures on the problems and challenges
Ethias supported not only its clients
of pension systems at the Belgian and
but also various sectors of Belgian society
European levels
during the COVID crisis. Volunteers at the vac-
cination centres were covered free of charge
HEC Liège: Ethias provides financial support for by Ethias for civil liability and personal injury.
4 years for a PhD thesis in the field of machine Ethias also supported the "Stronger than Coro-
learning. This project focuses on the use of na" campaign. In this way, we wanted to spread 29
Belief Functions to describe decision making. positivity rather than the virus.
UAntwerpen: ALLIC, Antwerp Liability Law All Ethias actions are available on the
and Insurance Chair, is a chair of the Univer- website www.ethias.be/ActionsCOVID

sity of Antwerp. ALLIC supports and promotes
research (support for PhD students) and edu-
cation (seminars, publications) on liability and Floods
insurance law. Ethias demonstrated its social com-
mitment during and after the floods of
2021. Every affected person, whether
insured by Ethias or not, could go to mobile
crisis centres for advice and assistance. The
solidarity barbecues organised by the Amicale
were dedicated to the affected population and
volunteers. Ethias also provided financial sup-
port to “Panier Solidaire”, a non-profit organ-
isation that distributes food packages. Flora,
the 100% digital subsidiary of Ethias, turned
a container into a meeting centre in Chaud-
fontaine. Finally, Ethias also provided support
through digital means: App4you. Our digital
solidarity platform was relaunched to appeal
to everyone's solidarity.
All Ethias actions are available on the
website www.ethias.be/Inondations
30
Profitability
Direct insurer
The events of 2021 have
reinforced the relevance
of direct sales and the
need for proximity. Many
people have refocused
on the essentials and
have become aware
of what is really
85%
important: health, the
Flood compensation in
environment, prevention
July 2021: our top priority
and solidarity. These Ethias employees were on call 7 days 85 % of claim
are also essential to a week for our policyholders. cases opened in
the first week
We doubled the number of employees
our business as a direct in charge of managing this type of disaster and
insurer, where we strive our B2C and B2B sites were regularly updated
13 000
to answer flood-related questions. A whole
to provide support, series of solidarity actions were quickly put in
place: mobile crisis centres, automatic cash
services and multiple advance for urgent expenses, "direct exper-
solutions to our clients. tise" days to close a claim in 30 minutes, facil-

itation of communication with repairers to get
More than 13,000
claims declared by
a quote, a partnership with retailers to quick- 31 December 2021 31
ly replace their damaged appliances at a fair
price, solidarity operations organised by Ethias
84 %
clients with a "Worker’s compensation” and/
Our phygital model (or

or "Civil Liability" policy, proactive reminders
the best of both worlds) to 220 clients living in heavily affected areas
who did not respond our calls...
Ethias puts the client experience at the centre
84% of B2C files
of its concerns. And because behind each cli-
closed by 31
ent there is not just a number, but above all a
December 2021
person, the Human being will come first every
time for Ethias.
Even if digital technology is an essential oppor-
tunity to continuously improve and expand our
range of products and services, we want above
all to remain attentive to the expectations and
needs of our clients. Halfway between digital
and human contact, Ethias offers you the best
of both worlds with a phygital approach. Our
goal? Providing you with a unique, simple, ef-
ficient and human experience.
With the new Flora by Ethias
roommate insurance, 13 insurance
products can be taken out completely
online, including payment
Deep respect for your privacy
Given our direct relationship with our clients, we believe
Keep
strongly in consumer rights. We treat the data entrusted to
Information
Systems
us very seriously and follow a strict governance in all our
Secure
projects and actions.
Compliance with the General Data Protection Regulation (GDPR) is every-
one’s business. Employees can count on a large network of legal advisors
and the company raises the employees’ awareness in a fun and educa-
tional way about day-to-day data confidentiality and the procedure to
report data incidents without delay.
In 2021, each Ethias employee was invited to take an online
training programme based on the specificities of their job.
Our main drive: your satisfaction! Complaint management

Ethias is perceived in 2021 as a player with a wide range of insurance prod- Ethias complies with the Assuralia Code of Con-
ucts, easily accessible, offering good value for money and quality service1. duct for complaint management.
Any interested party – a candidate policyhold-
er, a policyholder, an insured, a beneficiary or
Satisfaction measured an injured third party – may address his dis-
among private clients2 satisfaction concerning an insurance contract
or service.
The NPS study conducted in 2021 shows an
91 % An independent Complaints Correspondent
32 overall satisfaction rate with Ethias of 91 %.
will examine the file objectively and respond
to the complainant within 20 working days of
receiving the complaint. If this deadline cannot
be met, the complainant will receive a detailed

After an experience with Ethias, 2 out of 3 clients letter.
would recommend us to their family and friends
Each year a report on the management
of complaints is produced.
Satisfaction measured 2 025
2 204
among corporate clients3 1 574

1 512
1 791
93 %
1 348
The overall satisfaction rate of our
clients is particularly high (93%).
2016 2017 2018 2019 2020 2021
9 out of 10 clients consider Ethias as their preferred partner in the in-

surance field (Non-Life) The increase in complaints in 2021 is closely
linked to the exceptional handling of the num-
ber of claims related to the floods in July. The
emergency response to this unprecedented
disaster required some departments to sup-
port the teams on the ground, resulting in a
delay in the day-to-day management of routine
cases.
1 These indicators come from the Brand Image study, which measures the positioning and image
of Ethias towards private individuals (clients/prospects). 2021 sample: 2000 respondents
2 Indicators come from the NPS (Net Promoter Score) project, a tool created in 2014
to measure the satisfaction and recommendation rate of private individuals (clients
& prospects) who have had contact with Ethias. 2021 sample: 25,548 clients.
3 Indicators come from the Satisfaction & Moments of Truth survey first conducted within
public bodies in 2011 and renewed once every 2-3 years. 2021 sample: 135 B2B clients
An increasingly sustainable
product range
Through its products, Ethias aims to
cover Belgian society in difficult times,
to contribute to a healthier environment
by encouraging responsible behaviour,
and to make healthcare accessible to all.
For our retail clients

Mobility Health
Ethias offers a “under 10,000 km” insurance, Our goal? To complete our range of healthcare
a specific tariff for green vehicles, a unique products to ensure affordable and accessible
"Ethias Young Drivers" offer as well as basic care for all.
insurance at an accessible cost for more soli-
darity. Active mobility covered free of charge Ethias Hospi Quality
in the Family insurance. A quality and affordable hospital insurance,
ensuring comfort in difficult times in a single
Green Friday for electric vehicles room (Joker system) in case of hospitalisation
On Green Friday, Ethias offered a 15% discount due to a serious illness. 33
on the first year of insurance for an electric ve-
hicle in 2021. This offer, which can be com- Servi + guarantee for Hospi Quality+
bined with the advantages already reserved for and Hospi Next+ products

drivers of electric or hybrid vehicles, resulted After hospitalisation due to a serious illness, it is
in a discount up to -45%! important to be able to count on support during
rehabilitation. Thanks to a partnership with Ring
A great opportunity to go green!
Twice, one of the first approved platforms for
New version of Bike & More the collaborative economy, Ethias reimburses
Since 2018, the Bike & More insurance policy up to €500 per year for non-medical home help
covers active mobility vehicles and promotes services in the following areas: housekeeping,
diversity in the means of transport used by the baby-sitting, gardening, DIY, care and well-be-
client. In 2021, Ethias is taking a further step ing, pet-sitting, private lessons in connection
in this direction and lowered the conditions with your current schooling, and/or cosmetic
31%
to purchase the Bike & More product, particu- products (turban, scarf, etc.).
larly regarding the age of the vehicle and the
anti-theft system.
31% portfolio
growth between
2020 and 2021
for the Bike &
More product
Property Travel
Our home insurance automatically covers green Assistance & Cancellation
installations (solar panels, photovoltaic pan- In 2021, 5 COVID-related cover exten-
els, heat pumps, etc.) sions have been integrated into our As-
sistance and Cancellation products, automat-
Cohousing insurance Flora by Ethias ically (for both existing and new clients) and
The number of cohousers is growing signif- free of charge (no premium surcharge). These
icantly and is due to the fact that access to benefit extensions allow our clients to benefit
property is becoming increasingly difficult for from extended cover in the event of a pandemic
young people and single-parent families. such as COVID.
Launched in October 2021, Flora's cohous- Partnerships
ers insurance is a zero deductible insurance
policy that provides all cohousers with third Whestia
party liability cover for damage to the flat share Ethias works in partnership with the Walloon
or neighbouring properties as well as content Housing Fund and with various agents who sell
cover for the entire flat share. social loans in Wallonia via the "Whestia" out-
standing balance insurance label.
Legal Aid Insurance
Since December 2019, Ethias offers a Legal Social housing
Aid Insurance product, in accordance with Ethias is a partner of more than 30 social hous-
the "Geens Act". The objective of this law is to ing companies in Flanders (including “Woon-
make Legal Protection insurance more accessi- haven Antwerpen”, the largest social housing
ble by extending its coverage. In addition, the company in Flanders) and offers its insurance
premium is deductible for tax. products (Home, Family and optional Theft
cover) at a rate adapted to this target group
of tenants.
The Housing Fund for large
families in Wallonia
In 2021, Ethias entered into a partnership
34
with the “Fonds du Logement des familles
nombreuses de Wallonie”. Clients who take
out a mortgage through this social fund can
also benefit from our home insurance.
67,000
social houses have
an adapted package
for their basic
insurance: important
instruments to
fight poverty
For our public sector
& corporate clients
Ethias, the number one insurer in the public Property
sector, insures major public sector players Property insurance (fire and all risks)
committed to sustainable development and We insure green energy sources (photovoltaic
alternative energy. As a socially committed panels, solar panels, heat pumps and charging
player, Ethias insures, for example, the ma- stations for electric vehicles) either in property
jority of the Public Centres for Social Action policies or through specific covers (all risks
in Belgium. insurance).
Business interruption cover
after a property claim
The aim is to prevent bankruptcy after a disas-
ter by covering overhead costs before the pro-
duction tools are repaired and by facilitating
the restart of the company. It is a kind of "life
insurance" for the organisation.
All risks - electronic equipment
This insurance covers material damage and
losses caused to electronic equipment, par-
ticularly as a result of theft, fire, short-circuit,
water damage, malicious acts of vandalism,
Mobility clumsiness or inexperience on the part of staff 35
Mobility & More members or third parties. This cover secures

The "Mobility & More" insurance is an innova- companies and jobs by ensuring business con-
tinuity (e.g. medical equipment).

tive and flexible product that covers the travel
of our clients' staff members regardless of the
mode of travel used (and more particularly ac-
tive mobility). Employers can choose between
different cover options to offer their employees
comprehensive mobility cover on the way to
and from work.
Bike & More Ethias Cyber Protection
The aim of the "Bike & More" group insurance Cybercrime is one of the emerging risks and
is to encourage employers to promote active has become a major challenge for companies.
mobility by insuring their employees’ vehicle Ethias Cyber Protection covers the harmful con-
at advantageous rates. sequences for the policyholder or third parties
of a cyber event (malware, cyber-attack, hu-
man error, system failure, denial of service or
unauthorized use of the IT system).
24/7 assistance is provided in the event of a
cyber event and offers the support of a network
of experts and specialist lawyers.
Health
Insurance against occupational diseases
As a societal player, Ethias has created brand
new product on the Belgian market to meet its
clients’ needs and concerns about the COVID
pandemic. More than ever, employers and em-
ployees are aware of the need to have optimal
coverage when they are exposed to an occu-
pational health risk.
This new product provides extra-legal compen-
sation to employees and staff in the private
sector and in local and provincial governments
who suffer from an occupational disease rec-
ognised by Fedris.
HospiFlex insurance - "Servi +" guarantee
This optional benefit covers the cost of
non-medical services (e.g. gardening, clean-
ing, etc.) to improve the well-being of insured
persons hospitalised due to a serious illness.
36
Non-life underwriting activities eligible

for the European taxonomy

As of 31/12/2021, Ethias' economic activities eligible for the European
taxonomy (Taxonomy Regulation (EU) 2020/852) are those that
substantially contribute to the achievement of the following environmental
objectives: (i) climate change mitigation and (ii) climate change adaptation.
Ethias' non-life underwriting activities that are eligible for the

European taxonomy are those whose written premiums in the 2021
accounting year include a climate change coverage component.
To determine the amount of these activities, Ethias has selected
insurance premiums from the following accounting categories
"Motor", "Fire", "All Risks" and "Contractors", provided that they
include coverage for one or more of the following risks related to
climatic elements: natural disasters, business interruption, property
damage, water damage, storms, earthquakes, floods, drought, hail.
Taking into account the selection criteria mentioned above, Ethias'

non-life underwriting activities eligible for the European taxonomy
amount to a total of € 189,453,159 at the end of 2021, representing
13.64% of the total non-life income in 2021. Ethias' total non-
life premium income in 2021 amounts to € 1,389,453,747.
Innovating for progress
In addition to compensation, since May 2021 Ethias has
offered a catalogue of more than 80 services available to its
private and corporate clients. For a more inclusive society,
some services are also accessible to non-clients.
These innovative services have been developed thanks to the complementary skills present within Ethias' subsidiaries.
This group strategy (see page 10) aims to anticipate tomorrow's needs and provide useful and coherent solutions.

App4You
Because the protection of physical and mental Digital, collective;
health, prevention at home and on the road are at innovative,
the heart of our business. simple and supportive platform
accessible to all for free.
Mobility Volunteers can help other
citizens in need while being
Trust My Car
covered for free by Ethias for
Innovative service that accompanies sellers and buy-
liability and personal injury.
ers so they can easily sell their used car.Service in-
app4you.be
novant qui accompagne vendeurs et acheteurs pour
leur assurer sérénité et confiance lors de la vente
d’un véhicule d’occasion. 37
Liberty Rider
App for motorcyclists calling emergency services
Health partnerships

after a crash.
Jeasy Masana
100% Belgian app that allows you to organise a A full transversal platform that coordinates the
journey by having a complete view of the different various health actors to promote optimal and
mobility solutions and the best way to optimise or safe home care.
combine them.
MoveUp
Assist on Demand Individual remote monitoring (with doctors,
Text to Ethias for a quick breakdown service on the physiotherapists, dieticians, psychologists,
road through a digital flow and with a negotiated etc.) before a bariatric surgery and during re-
rate. This service is available even if you are not in- habilitation.
sured.
ABI
Health App that put you in contact with a doctor so
you can get a first medical orientation via text
Care4You messages.
Thanks to this reliable and free tool, doctors
and patients can meet virtually in complete Property
safety. This platform was created during the COV- Home Services
ID-19 pandemic and makes healthcare more acces- Whether you are client at Ethias or not, with
sible. Home Services you will quickly find the right
Health kiosk contractor for your needs (heating breaks down
Because health is priceless, Ethias is the first insur- in the middle of winter, your door doesn't close
ance to offer a “kiosk” for health apps that allows anymore, you are the victim of a break-in, your
you to identify the most reliable app that is best electrical installation breaks down...)
suited to your needs.
For our corporate clients
(and everyone else) ...
These services (training, audits and consul-

tancy) are focused on prevention and risk
management. We offer customised assistance.
Let’s Talk Risk Management

For the second consecutive year, Ethias' experts support companies so they
Let’s Talk provides students, small can get their business back on track after a
businesses and their staff, and flood victims disaster, while reducing future risks. They take
with psychological support by phone. into account the technical aspects, but first of
all the human aspects, which allows them to
Managing psychosocial risks remain focused on their core activities.
Degrading mental health, workers reluctant to
come back to work, declining well-being index Prevention
that spares no one... These are some of the For business and staff safety, you must be
alarming findings of the 2021 "Confidence and aware of the law, have the right recommen-
Well-being" barometer. In order to improve this dations, draw up an emergency plan and have
barometer, Ethias Services has set up a whole good first aiders. A fire prevention audit reduc-
series of training, audits and consultancy ser- es the risk of fire, ensures the safety of all peo-
vices to help companies prevent risks and sup- ple present on the site, provides with a quick
38 port their employees in difficult times. Servic- evacuation plan, mitigates the harmful effects
es: burnout prevention, support following a of a fire and facilitates the intervention of the
traumatic event or an accident at work, stress emergency services.
and conflict management, psychosocial risk
analysis, mental health audit, expertise in pro-

fessional rehabilitation or reintegration, etc.
Skill management
Ethias offers its expertise to establish ethical
and inclusive management with the aim of Prevention partnerships
resolving conflicts, detecting and supporting
workers in need, understanding the multicul- Exiais a blind spot prevention technology de-
tural advantages and challenges at work, en- veloped by the VUB spin-off. This new tech-
couraging collaboration and intergenerational nology reduces the number of deaths caused by blind spot
synergies... accidents by 31%.
Ethias' Prevention Department and Ethias Servic-
es have lent their expertise to conclude a part-
nership with Oxygis to develop a web and mobile mapping
software dedicated to the inventory and maintenance of play-
grounds. This partnership improves the safety and integrity
of playing children.
This solution was awarded the Bronze Medal for Innovation
at the Arcop trade fair in 2021 (Royal Association of Preven-
tion Consultants).
Find all our services on
solutions.ethias.be
Do you have innovative ideas?

Join us on ethihub.be!
39

In order to establish a direct link with its policy-
holders, while remaining attentive to their needs
and limiting paper consumption, online magazines,
information sheets, awareness-raising videos and
client testimonials are available to local authorities
on the blog:
www.ethias.be/blog-fr
Prevention: your challenge?
Our priority!
New Sustainable
Investment Governance
Because becoming an increasingly
sustainable investor requires both
discipline and an integrated approach,
Ethias reviewed all its investment
processes in 2021, resulting in the
adoption of a new sustainable and
responsible investment policy and a
new investment governance. Ethias
went one step further by signing
concrete commitments to materialise its
ambition to decarbonise the investment
Investment governance
portfolio, lobby the biggest polluters
The Ethias Sustainable and Responsible In-
and commit to protecting biodiversity. vestment Committee is in charge of devel-
oping, implementing and monitoring all the
principles of the sustainable and responsible
investment policy.
40
The implementation of this policy is based on
two main axes: ESG incorporation and active
shareholding.
Integrating ESG criteria into

Sustainable our investment processes
and responsible Direct management
investment policy We integrate ESG analysis into our investment
processes and promote sustainable and re-
Ethias has published the new version of its sponsible investments in our selection pro-
Sustainable and Responsible Investment Pol- cess.
icy in which it reaffirms its commitment to the
In 2021, we acquired an ESG database and
Paris Climate Agreement and sets the objec-
set up an ESG research partnership with HEC
tive of achieving a carbon neutral investment
- ULiège, which allows us to further develop
portfolio by 2050 at the latest. In addition, in
our investment selection criteria, including
each asset class, the proposed investments
climate impact.
must meet strict environmental, social and
governance criteria (so-called "ESG" criteria). Delegated management
Ethias also places a high priority on working
with managers who are signatories to the Unit-
ed Nations Principles for Responsible Invest-
ment (UN PRI). In addition to this requirement,
Ethias uses sustainable investment criteria in
its management mandates.
Issuers excluded from
Ethias’ investement scope
993
637
207
153 158
70 69 84
2018 2019 2020 2021
n Countries n Companies
Our exclusion policy

In addition to incorporating ESG criteria into
our investments, Ethias has strengthened its Our normative approach
exclusion policy in 2021. In 2021, Ethias confirmed its commitment as
This policy has existed since 2005 as our “Eth- a signatory of the United Nations Global Com-
ical Investment Code”. pact and the United Nations Principles for Re-
The new exclusion policy is based on at least sponsible Investment. These two initiatives are
the exclusion criteria of the Febelfin Towards key pillars of responsible investment, encour-
Sustainability label and in some cases impos- aging respect for fundamental human rights
es even stricter rules than the label. As a result, principles and the integration of sustainability
an increasing number of issuers are excluded criteria into investment processes.
from the Ethias investment portfolio that do
not meet our sustainability standards.
Since 2017, Ethias has excluded from its in-
vestments thermal coal, which is the fossil en-
41
ergy that contributes most to global warming.
As of 2019, it also excludes tobacco and ex-
tends the ban on armaments to the production

of conventional weapons.
These initiatives are in line with the Europe-
an "Green Deal" presented by the European
Commission.
In 2021, Ethias has

strengthened its exclusion
criteria in line with the
increased requirements
following the revision of the
Towards Sustainability Label.
Ethias as an active shareholder
Being a sustainably committed investor also means taking
responsibility for our investment choices and their monitoring, as
well as actively contributing to initiatives that bring together actors of
change in these areas. As an active shareholder, Ethias has updated
and published both a voting policy and an engagement policy.
With regard to the implementation of its voting policy in

2021, Ethias participated in the Extraordinary General
Belgian Alliance for
Meeting of Montea on 18 May 2021, a company in which Climate Action (BACA)
Ethias holds over 1% of the share capital. Ethias voted in BACA is a Belgian initiative led by
favour of giving the Montea Board of Directors the pos- The Shift and WWF that aims to
sibility of carrying out a capital increase via a procedure encourage the adoption of a sci-
such as Accelerated Book Building (ABB), which is a capital ence-based approach to reduce the environmental impact
increase operation aimed at offering a certain number of of companies.
new shares via the constitution of the order book over a
By joining BACA, Ethias commits to join the Science Based
short period of time.
Targets (SBTi) initiative within 12 months. This will allow
www.ethias.be/durable Ethias to set decarbonisation targets according to scien-
In 2021, Ethias has defined the lines of its new commit- tifically proven methods in order to meet the Paris Agree-
ment policy and has made strong commitments by joining ment’s goals.
3 collaborative initiatives.
Ethias is among the first Belgian
insurers to join BACA
42
Partnership for Biodiversity www.belgianallianceforclimateaction.org
Accounting Financials (PBAF)
PBAF is a partnership of 30 financial institu- Climate Action 100+

tions working together to develop the "PBAF
standard", which enables financial institu- The Climate Action 100+ initiative,
tions to assess and disclose the biodiversity impacts and consisting of 617 global investors,
dependencies of loans and investments. aims to ensure that the (165) largest
emitters of greenhouse gases take the necessary action
Understanding the impacts (positive and negative) of
on climate change.
our investment portfolio on biodiversity is an important
objective. Ethias is among the first Belgian
Ethias is the first Belgian player to join PBAF insurers to join Climate Action 100+
www.climateaction100.org
www.pbafglobal.com
Investments eligible for the European taxonomy. As of 31/12/2021, Ethias' economic activities eligible for the European taxonomy
(Taxonomy Regulation (EU) 2020/852) are those that substantially contribute to the achievement of the following environmental
objectives: (i) climate change mitigation and (ii) climate change adaptation.
Accessing data to identify the eligible share of these economic activities included in Ethias’ investments is a real challenge. In order
to get correct, adequate and complete taxonomy information, Ethias called upon an external ESG data provider. Ethias relied mainly on
external data to identify investments that are eligible for the European taxonomy. It should be noted that a significant part of this data
from the external provider is made up of estimates (due to the absence of reporting from a significant number of companies subject to
the taxonomy at the time of writing).
Taking into account the above-mentioned caveats, investments in the financing of economic activities aligned with the European
taxonomy or associated with such activities represent, at the end of 2021, 3.10% 1or € 340,000,000 of Ethias' total investments.2 Ethias
is committed to increasing the proportion of its investments aligned with the European taxonomy in the coming years.
1 Due to lack of information at the closing date of this report, Ethias did not included in the above figure information on the share of investments eligible for the European taxonomy and held under life insurance
contracts where the investment risk is borne by the policyholder and which are managed under mandates given to external managers.
2 The total investments do not take into account Ethias' exposure to sovereign issuers, central banks and supranational issuers, nor its exposure to derivatives.
Sustainability at the heart
of our investments
In 2021, Ethias strengthened its governance related to
the sustainable and responsible investment strategy.
This governance is aligned with the Sustainability
strategy and is based on strong policies and concrete
commitments that will adapt to ensure that the
investment analysis goes beyond risk-return.
Ethias is concerned about the potential impact of investments on the financing of the energy tran-
sition and the creation of a fairer society. This role as responsible investor comes with a long-term
responsibility, particularly in the management of legal and supplementary pensions and in sup-
porting the economy. By taking ESG factors into account in its investment decisions, Ethias seeks
above all to have an impact, whether social or environmental, in favour of the regions, companies
and sectors in which it invests.
Socially responsible direct investments

Ethias invests in socially oriented structures, such as social economy funds (Netwerk Rentevrij,
Carolidaire) or funds for scientific research. In doing so, it holds financial participations in various
fields that are important for strengthening solidarity: social loan companies, housing companies,
microfinance organisations, support for various associations and alternative finance organisations.
It has also established privileged links with companies in this sector.
43
COVID post-pandemic Private debt that

recovery plans integrating ESG criteria
From the outset, Ethias has provided signif- • Eiffel Impact Debt is the first private
icant financial support (€80 million) to the impact debt fund in Europe.
various regional and federal recovery plans, • OfficeCenter: this loan funds charging
through participations in the following organ- stations for electric vehicles with an
isations interest rate level that is dependent on
• Welvaartsfonds: a €205 million Flemish the achievement of ESG objectives
regional fund aimed at strengthening • WDP “Chocolate Box”: Ethias financed
the solvency of companies and the world's largest and most sustainable
achieving a successful transition chocolate warehouse. It is the first building
towards a sustainable economy in the Benelux to be certified "BREEAM
• Amerigo: a €160 million Walloon regional Outstanding", the highest standard
fund dedicated to the recovery of for sustainable logistics. It is the first
Walloon companies affected by COVID building in the Benelux to be certified
• boosting.brussels: a Brussels regional "BREEAM Outstanding", the highest
fund improving the solvency of standard for sustainable logistics.
companies after COVID with €80 million
• Belgian Recovery Fund: the € 218
million federal fund aims to provide
subordinated and/or convertible loans
to companies that were financially
sound before the coronavirus crisis,
but had to face a reduction of their
equity due to the pandemic
Through investments with
environmental impact
Ethias invests in financing the energy transi-
tion towards a low-carbon economy.
• Green4You: In collaboration with
Luminus, Ethias created the company
Green4You, whose goal is the installation,
maintenance and financing of photovoltaic
panels, cogeneration units and charging
stations for electric vehicles. Through
Green4You, Ethias supports the
transition towards low-carbon energy
• Infrastructure funds: Ethias has
continually increased its investments
in infrastructure funds that invest in
renewable energy (wind, solar, biomass),
public transport, energy efficiency, etc.
• Biobest: Ethias has participated
in financing the growth of Biobest,
a subsidiary of La Floridienne, a
holding company active in Flanders
in the biological crop protection and
pollination market. Thanks to this
investment, Biobest was able to take
over an American partner in the sector,
Beneficial Insectary. The latter is the
most important producer in the market
44 of biological crop protection by insects.
Through investments with Financial participation

added value for society Ethias invests, for example, in the capital of
Ethias reserves a large part of its investments numerous organisations granting social loans
for sectors that are, as the crises of the last or loans to people in need. When finance meets
two years have shown, the foundations of our solidarity.
society: • Incofin
• Social housing corporations • Socrowd
• Hospitals and nursing homes • Inclusie Invest
in the real estate sector
• Trividend
• Scientific research (university
• Carolidaire
funds, spin-offs)
• Impulse Microfinance Investment Fund
• Qbic Feeder Fund
• Triodos
• ICC (UGent)
• Epimède
• ICAB (VUB)
• Belgian Growth Fund
• Gimv Health & Care Fund
Direct investments
in green bonds
Investments in sustainable bonds include both Green bond
"green bonds" and "social bonds". investments in
In 2021, Ethias continued to invest in sustain- millions of euros
able bonds, so that this investments portfolio
reached an amount of € 619 million at the end 619
430
of the year. This represents an increase of 44%
231
(168%) compared to 2019 (2018). 111
2018 2019 2020 2021
Direct investments
in passive and
sustainable real estate
Ethias is particularly attentive to ensuring that Responsible investment
its real estate investments meet the most de-
manding environmental and social criteria.
products in life
in officecs buildingThe total amount invested Investments insurance contracts
in 2021 in "sustainable real estate" remains in office & Ethias is gradually developing its range of
significant but still lower than in previous years logistics buildings sustainable investment products linked to life
due to less overall activity in this market seg- insurance policies for individuals, companies
ment in 2021 compared to previous years. and local authorities.
138 138
Some examples:
89 For our institutional clients
• Stationstraat 51 (Mechelen), State 65
Archives (Namur and Ghent), the new Through the Global 21 Ethical Fund: The Ethi-
headquarters of BDO (Luxembourg), as Global 21 Ethical Fund is intended for the 45
NAOS (Luxembourg)... management of pension and group insurance

2018 2019 2020 2021
reserves. It carries the “Ethibel Excellence”
• Joint venture with the Belgian logistics
label. This fund has two solidarity mecha-

company Weerts Group: Ethias acquired
nisms, for the benefit of the Réseau Financité
two logistics properties in 2021, one
and Fairfin. Depending on the client's choice,
located in Tessenderlo and the other
Ethias pays one of these partners 0.05% of the
in Bury St Edmunds in England. As
average capital invested in the fund at year-
part of its policy of direct investments
end. Affiliates who so wish may also retrocede
in sustainable real estate, Ethias has
all or part of their yield to the association of
made sure that these new buildings
their choice.
are certified BREEAM Very Good. This
certificate, which corresponds to a global Through the “Ethical” sub-fund of the Ethias
environmental approach, guarantees that Life Fund offered in our dedicated asset funds:
the building will be as environmentally The objective of this sub-fund is to invest in
friendly as possible throughout its units of funds that invest in shares and/or
life cycle (design, use, demolition). bonds of companies that integrate ecological,
social or ethical criteria into their long-term
strategy and are certified Towards Sustaina-
bility by Febelfin.

Through the Invest 23 Mundo fund: Our pri-
vate clients also have the opportunity to in-
vest in the Ethias Life Fund's "Ethical" sub-
fund through our Ethias Boost Invest Mundo
insurance product (which received the Towards
Sustainability label in 2021).
46
Planet
Our
approach
environmental
Our environmental approach
It is increasingly imperative for a company to thrive in
harmony with the environment around it. It is no longer
possible to drain or degrade our ecosystem without
paying a price at some point. Instead, companies will have
to move towards a kind of regenerative prosperity.
Even if the service activities of Ethias do not in themselves seem polluting, the company and its employees still
represent an "environmental impact" through their travel, energy consumption, waste and CO2 emissions, or
even water and paper consumption. Ethias must reduce its harmful impact on the environment and increase its
positive impact.
Each year, Ethias measures its carbon footprint, in partnership with the company CO2logic. This measurement
gives rise to suggestions for action to reduce the footprint.
CO2 Neutral Company. In 2021, Ethias extended the “CO2

Neutral” label granted in 2020. This label, certified by an in-
dependent organisation, guarantees that the labelled organisa-
tions measure, reduce local and global impacts and offset their REFORESTING
residual CO2 emissions.
With the Verra certified project "Reforesting in Zambia", launched
IN ZAMBIA
47
in 2020 and continued in 2021, we offset our CO2 emissions in
2021. Read more about our “Change Over” plan on page 51.

As a responsible and committed insurer, Ethias is particularly attentive to
climate issues and the impact on the environment. Since 2007, Ethias has
had an annual audit of its carbon footprint.
In 2021, Ethias has reduced its carbon emissions by 6.2% compared to 2020
(-30% compared to 2019). We are several years ahead of the 33% reduction
target set for 2025 in our Change Over plan. Ethias' 2020 direct carbon foot-
print amounts to 3,839 tons of CO2 , 90% of which comes from mobility (vehicle
fleet) and buildings.
6,2%
Annual consumption
(in tons of CO2) Since 2019, Ethias has
included in its carbon
footprint the CO2 emissions
962
of the "Flex@Ethias" plan Reduction of 6.2%
814 661
vehicles (cafeteria plan compared to 2020
4 907 4 718 4 533 3 279 3 178 for Ethias employees)
launched the same year.
2017 2018 2019 2020 2021
n Excluding Flex n Flex

In order to reduce its impact on environment, Ethias developed a
policy to reduce its carbon footprint in the following 5 areas:
Mobility Waste reduction Green IT Suppliers and Building

responsible purchasing Management
Mobility Waste reduction

Although waste sorting is part of everyone's
A mobility policy
habits in private life, it is still more difficult
for employees to organize this in companies and, above all,
Ethias has made a public commitment to to anchor it in people's mentalities. Ethias
the theme of active mobility because it is regularly raises staff awareness about waste
convinced that mobility is crucial for the future collection and sorting.
of our society, but also because the company The various internal awareness campaigns
positions itself as a pioneer in this field. combined with the homeworking policy have
48 Indeed, the company has for many years boast- had a positive impact on:
ed a dynamic and proactive travel policy that • Consumables: -9% compared to 2020
relies on intelligent and more environmentally
• Meat: -46% compared to 2020
friendly mobility, using public means of trans-
port, carpooling and active mobility devices to • Other waste: -32% compared to 2020
improve employee travelling. It is also imple-
Paper consumption
menting technological resources for more re-
mote meetings and working from home in order By digitalising our communication flows and
to support its 2030 carbon neutrality goals. In raising awareness internally and with our
early 2021, a large-scale internal survey was partners, we reduced consumables by 9%
launched to analyse the employee’s mobility compared to 2020 and residual waste by 22%.
habits and to find solutions. Thanks to this
Other consumables
survey, we implemented a new company fleet
policy aimed at drastically reducing the CO2 In addition to paper/cardboard consumables,
emissions of our vehicle fleet, in line with the Ethias also aims to optimize the recycling of
goals of our Change Over plan (see page 51) equipment and other consumable items:
• Order of office chairs with "cradle-
to-cradle" certificate (90% recycling
- Quality Office certification)
• Donation of office desks and other
furniture to charities and schools
• Battery collection in
collaboration with Bebat.
Green IT Suppliers and
While IT tools support environmental aspects responsible purchasing
through the paper savings they generate, they
Since 2017, our procurement department is in
can be a source of energy consumption them-
charge of purchasing all material goods and
selves.
services in order to get the best guarantees
Ethias is working with its IT subsidiary NRB to
at the best conditions.
reduce this impact by optimizing its infrastruc-
Ethias ensures that tenders for products and
ture and processes, but also by:
services include environmental sustainability
• launching an internal campaign to criteria by choosing recyclable and energy-sav-
reduce Ethias' digital storage space ing materials, ecological and biodegradable
• migrating mail archives to cloud solutions products.
• donating, via Digital4Youth, Ethias laptops Ethias also ensures that the general conditions
to schools and non-profit organizations of all order forms include an article in which
in order to extend their lifespan the supplier undertakes to respect the basic
• dematerialising NRB's servers principles of the International Labour Organi-
to reduce the number of physical zation (ILO) and to ensure that any subcontrac-
servers and therefore the energy tor respects them.
requirements for power and cooling In 2020, Ethias subscribed to the Green Deal
• creating of a wind turbine that produces Achat Circulaire to promote the development
60% of NRB's energy needs of a circular economy in Wallonia.
Ethias signed electricity supply contracts with
a guarantee label for the green origin of the
electricity. This label guarantees the supply 49
of energy generated by hydroelectricity, wind

power, co-generation or solar energy (energy
2030).

A partnership has also been concluded with
bpost in order to ensure the CO2 offset of postal
shipping.
Staff restaurant
Although the health crisis forced the shutdown
of its restaurant operations, Ethias launched
in 2021 a new formula for the catering servic-
es for its staff. It has therefore entered into
a partnership with ISS Facility Services. This
partnership includes:
• Use of organic and/or locally
produced products
• Compliance with the Fairtrade@Work Label
• Waste reduction
• Adherence to the Green Deal -
Sustainable Canteens Charter.
Building management Strategic renovation
Compared to 2020, the energy balance choice
Ethias monitors the exact energy
of our buildings decreased by 1% and consumption of its various buildings
electricity consumption has been reduced and regional offices. Thanks to the
installation of energy metering
by 54%. Natural gas consumption has modules and presence detectors,
we can take corrective or innovative
increased by 33% in order to ventilate our measures to reduce our emissions.
premises in the context of the health crisis. As we renovate and build our offices,
we will benefit from the latest
technologies, in particular by integrating
Reduction of more Smart Building sensors.
occupancy area When choosing its equipment and

In 2021, Ethias continued its real estate initi- infrastructure suppliers and partners,
ative aimed at reducing the number of square Ethias naturally takes into account
meters of office space occupied and thus its ecological criteria (choice of recyclable
carbon footprint. This approach is supported in and energy-efficient materials, ecological
particular by the implementation of homework- and biodegradable products).
50
ing in combination with a desk sharing policy,
in order to optimise work spaces.
Liège
In 2021, Ethias chose the location of its future

offices in Liège, a brand-new building in the
emerging “Rives Ardentes” eco-district, which
will reduce its current surface area by 25%.
Hasselt
In order to keep on reducing our surface area
and achieving our carbon neutrality goal, Ethi-
as renovated its Hasselt building and imple-
mented a desk sharing policy, thus allowing
a 40% reduction in the surface area per work-
station.
Brussels
In 2021, Ethias
In July 2021, Ethias inaugurated its premises supported the
in the Spectrum building. This energy-efficient installation of beehives
site houses meeting and reception rooms as on the roofs of its
well as shared offices for the Ethias Group buildings in Alleur and
(Ethias and NRB). Hasselt to promote
biodiversity and the
protection of bees.
Change Over: towards
carbon neutrality!
Since 2003, Ethias has adopted a participative approach in its CSR policy and has
been proactively following climate developments.
In response to climate change, Europe has launched the "Green Deal" with the aim
of becoming the first climate-neutral continent by 2050.
In 2020, Ethias took another step forward by developing its multi-year "Change
Over" plan with the aim to become a carbon-neutral insurance company within 10
years, while initially offsetting its current emissions. This plan rests on two main
pillars:
• Sobriety & efficiency: having passive buildings, limiting
unnecessary travel, promoting working from home,
reducing excess consumption as much as possible.
• The energy shift: gradually shifting to low-carbon forms of electricity.
This transformation will mainly concern the infrastructure and
the overall mobility of employees. Ethias has taken the lead by
deciding to quantify its ecological impact in order to better reduce
this impact through numerous actions on the ground.
In order to make employees aware of this change and to involve them in

its approach, Ethias has initiated in 2021 the gradual conversion of its car
fleet to hybrid and electric vehicles and has pursued its homeworking po 51
licy to reduce commute.

Change Over plan in 3 steps:
2020 2025 2030

Launching the plan Reducing our CO2 Achieving carbon
Offsetting our emissions by one third neutrality
emissions through a We will achieve this by: We will achieve
reforestation project • renovating or this through:
in Zambia aiming at: building new • low-carbon buildings
• sustainably increasing premises according • a fleet of zero
crop yields, incomes to the principles emission vehicles
and welfare of of sustainable
smallholder farmers • reducing our
construction
digital footprint in
• reducing uncontrolled • continuing our partnership with NRB.
forest loss and efforts to reduce the
degradation by carbon footprint of
increasing net our vehicle fleet
forest cover
Ambitions 2022
Ethias' new Sustainability
strategy remains closely
linked to our Brand Purpose
"Daring to be human
together". All actions
considered for 2022 and
beyond will always be
guided by our mission to
make people and solidarity
our main concern.
52
Towards carbon
neutrality!
Since 2008, Ethias has been measuring

its CO2 emissions and working year
after year to reduce its carbon footprint.
Since 2020, Ethias has committed
to an ambitious strategy to take the
company carbon neutral by 2030! It also
offsets all its residual emissions and
has obtained the "CO2 Neutral" label.
It has also set itself the ambition
of decarbonising its investment
portfolio by 2050, and intends to
join SBTi in order to give itself the
means to achieve this objective.
Read more about our Change Over
plan on the Change Over on page 51.
If there is one lesson to be learned from the crises of the last two years,
it is clearly that division and individualism get us nowhere. It is to-
gether that we can create a more resilient, just and inclusive society.
A Corporate Fund to help fight poverty and exclusion. We will commit all
our forces to the fight against poverty and exclusion among young people
and the most disadvantaged. In concrete terms, we will reorganise our
philanthropic partnerships to develop a network of strong and committed
actors to accompany us in this mission and create our own corporate fund
dedicated to this fight (SDG 1 & 2).
Health and well-being for all (SDG 3) will also be at the heart of our actions.
We have set ourselves the ambition to further improve the well-being of
our employees and to continue to be a trusted partner for our clients.
Ethias is also continuing on its path towards net zero carbon by 2030,
and is giving itself even greater resources to achieve this. Through the
initiatives it has just joined (BACA and SBTi), it is committed to defin-
ing an ambitious plan to reduce its CO2 emissions. These ambitions go
hand in hand with a growing desire to reduce our carbon footprint in a
sustainable way, as well as our footprint on biodiversity.
All these projects force us to rethink the way we operate in an innovative
way. Let us be ambitious, but humble, willing and willing to listen, and
above all, let us dare. Let us dare to be human, let us dare to be creative,
let us dare to be disruptive!
Let us create, step by step and together, the world we want to live in
53
tomorrow.
End poverty in all its

forms everywhere
Economic growth must be shared to create sustainable jobs and promote
equality.
Ensure healthy lives and promote

well-being for all at all ages
Empowering people to live healthy lives and promoting well-being for all
at all ages is essential for sustainable development.
Sustainable cities and communities

Make cities and human settlements inclusive, safe, resilient
and sustainable
Combat climate change

and its impacts
The fight against global warming has become an integral part of achieving
sustainable development.
Entry into the United Nations Global Compact
In 2021, Ethias renewed its membership to
the United Nations Global Compact (became a
member in 2006). The Global Compact remains
fully integrated into the company's strategy:
10 UN principles for
engaging business to Ethias’ answers
• Joint Ethics Committee

• Integrity policy
Support and respect the protection of
• Social Ethical Code
internationally proclaimed human rights
• Sustainable investment policies
• UN PRI
• Sustainable and responsible procurement policy

Make sure that they are not complicit
in human rights abuses
• UN PRI
54 Uphold the freedom of association and the effective

• Social governance
recognition of the right to collective bargaining;
Contribute to the elimination of all forms

• Sustainable and responsible procurement policy

of forced or compulsory labour
Contribute to the effective abolition of child labour • Sustainable and responsible procurement policy
• Diversity Charter
Contribute to the elimination of discrimination
• “Women in Finance” charter
in respect of employment and occupation.
• Talent Management Policy
• Change Over (carbon neutrality from

2030) and carbon offset projects
Support a precautionary approach
• Environmental governance
to environmental challenges
• UN PRI / PBAF / Climate Action 100+ / BACA
• Change Over (carbon neutrality from

Take initiatives to promote greater 2030) and carbon offset projects
environmental responsibility • CO2 emissions balance
• Actions in favour of multimodal mobility
Encourage the development and diffusion of • Responsible suppliers

environmentally friendly technologies • Strategic choice of renovation
• Integrity policy
Work against corruption in all its forms,
including extortion and bribery
• UN PRI
55
Our employees,
who illustrated this
5th report, are proud
of our sustainable
commitments and
achievements.
Why this non-financial report?
For Ethias, the drafting of this non-financial report
is a continuation of an approach that was initiated
in 2007 with the drafting of what was then called
the "Corporate Social Responsibility Report".
This fifth edition of the report goes
beyond the legal requirement.
This document is intended to be a unifying instrument.
It reflects the collaboration of all entities within
the company to achieve a common goal: to be and
remain a socially responsible insurer, redoubling
its efforts to address the health crisis.
Hence, the entire company contributes to the elaboration
of this report by updating the CSR team on all the
initiatives taken in the different departments over the year.
This report is part of the financial report and follows
the same approval procedure before the Executive
Committee, Board of Directors and the company’s General
Assembly. This report contains Ethias SA’s activities.
Ethias has based this report on the 10 principles
of the United Nations Global Compact and the
United Nation’s 17 SDGs. Each of Ethias’ actions
is guided by an overall strategy founded on these
principles and the resulting commitments.
Responsible editor: Nicolas Dumazy, rue des Croisiers 24 à 4000 Liège · [email protected]
147

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CONSOLIDATED

INTRODUCTORY WORD FROM THE CHAIRS.......................5 V.9 Receivables...................................................................83

IV GENERAL INFORMATION...........................................42 VII.2 Related parties............................................................104

PHILIPPE LALLEMAND MYRIAM VAN VARENBERGH

CHAIR OF THE EXECUTIVE COMMITTEE CHAIR OF THE BOARD OF DIRECTORS

I.1 Presentation Ethias

6 SMAP) for the insurance against fire, lightning and explosions.

over time, we remain true to our values and our mission to

With the new “Flora by Ethias” insurance for co-

The majority of Ethias' activities are focused on the Belgian

1 Based on Assuralia data 31/12/2020.

Non-Life 1,404,328 1,382,016 1.61%

Public bodies and Companies 808,583 792,510 2.03%

Life 1,362,541 1,338,171 1.82%

Total premium collection Life and Non-Life 2,766,869 2,720,187 1.72%

Group’s share 188,970 207,672 -9.01%

I.2.2 Essential data of the consolidated financial position

I.2.3 Regulatory coefficients

I.2.4 Other key figures

COVID" strategy (systematic regional lockdowns) and has had

Insurance risks Financial risks

Termination risk Revision risk Concentration risk

Non-financial risks External and environmental risks (*)

Workforce and active management Concentration risk

Violation of legal and regulatory obligations (Compliance)

Internal and external client satisfaction

Subcontracting consultancy and supply

Data privacy (GDPR)

II.4.5.3 Concentration risk

II.4.6 Financial risks

II.4.6.1.2 Maximum exposure and mitigation of credit risk

Participating interests, shares

Maximum Total amount

Available for sale 950,999 - 950,999

II.4.6.2.1 Sectoral distribution

Bonds and similar securities:

n Raw n Cyclical n Raw n Cyclical

n Energy n Funds n Energy n Funds

n Public Services n Public Services

Shares, participating interests and investment funds:

In thousands of euros, in market value 31 December 2021 31 December 2020

Germany 687,135 403,191

Austria 182,849 174,182

Belgium 3,164,039 3,981,258

Spain 874,069 966,220

Central and Eastern Europe 559,857 565,218

France 1,383,082 1,519,345

Ireland 551,890 559,948

Italy 777,451 434,799

The Netherlands 13,820 20,677

Scandinavia 99,958 46,547

Portugal 806,847 847,423

Supranational securities 830,249 691,969

Others 266,467 215,598

Total 10,202,248 10,426,376

II.4.6.3 Liquidity risk

II.4.6.3.2 ALM risks