Notes:

1. Pending proceedings do not include a matter where during the Financial Year 2021-22, GST authorities had initiated an industry-wide investigation on account of alleged ineligible input tax credit where claims are settled to insured and applicability of GST on salvage adjusted on motor claims settled during the period from July 2017 to March 2022. The Company, in its Reply to Notice of Summon dated March 29, 2022, and additional summons received, had submitted requested details from time to time and appeared before tax authorities to record statements and deposited ^ 1,037 lakhs under protest. The Company received a Show Cause Notice (“SCN”) on December 27, 2023 for ^ 2,547 lakhs and against this SCN, company has duly filed its response on December 17, 2024 and attended the personal hearing on this matter as well. Further on perusal of our reply, GST Authorities has accepted our view and dropped the entire demand amount of ^ 2,547 lakhs by passing Nil Demand order on January 24, 2025. We are in the process of filing Refund application against amount deposited.

2. GST authorities had initiated an industry-wide investigation on account of alleged non payment of GST on coinsurance inward premium and reinsurance commission. Company received show cause notice on September 23, 2023 stating GST Liability of ^ 15,480 lakhs for non-payment of GST on Coinsurance premium accepted as a follower and non-payment of GST on Reinsurance Commission earned on reinsurance ceded for period July 2017 to March 2022 against which Final Demand Order was raised on December 30, 2023. Company has filed writ petition in the Mumbai High Court on March 11, 2024 against the demand issued. Further, Ministry of Finance has issued circular on January 28, 2025, Regularizing payment of GST on co-insurance premium apportioned by the lead insurer to the co-insurer and on ceding /re-insurance commission for the past period as well. Company has filed Interim application in the Mumbai High Court on February 10, 2025 for consideration of the above circular while issuing order.

4. Encumbrances on assets

The assets of the Company are free from all encumbrances except for fixed deposit as on March 31, 2025 amount to ^ 29 Lakhs ( as on March 31, 2024 - ^ 27 Lakhs) which is placed under lien against bank guarantee issued by the banks.

5. Capital commitments

Outstanding capital commitments as on March 31, 2025 amount to ^ 1,587 Lakhs (as on March 31, 2024 -^ 175 Lakhs).

[Claims settled and remaining unpaid for more than six months to policyholders/Beneficiaries as on March 31, 2025 - ^ 34 lakhs (as on March 31, 2024 is ^ 34 lakhs)]

7. Claims where the payment period exceeds four years are Nil (for the year ended March 31, 2024 - Nil)

8. Premium

All premium net of reinsurance is written and received in India.

Premium income recognised on varying risk pattern is Nil (for the year ended March 31, 2024 is Nil).

9. Extent of risks retained and reinsured

Extent of risk retained and reinsured with respect to gross written premium (excluding excess of loss reinsurance and catastrophe reinsurance premium of ^ 4,204 lakhs (for the year ended March 31, 2024 ^ 4,025 lakhs) is set out below

11. Managerial Remuneration

IRDAI vide its circular no IRDAI/F&A/GDL/MISC/141/6/2023 dated June 30, 2023 has prescribed, Guidelines on Remuneration of Directors and Key Managerial Persons of Insurers effective from financial year 2023-24, which replaced and superseded Guidelines on Remuneration of Non-executive Directors and Managing Director /Chief Executive Officer / Whole-time Directors of Insurers issued by IRDAI vide circular bearing number IRDA/F&A/ GDL/LSTD/155/08/2016 dated August 5, 2016.Pursuant to the same, the Company has adopted new policy on appointment and remuneration of Directors and policy on remuneration of employees, in substitution of its erstwhile remuneration policy to align it with IRDAI’s new remuneration guidelines.

No remuneration has been paid to the Non-Executive/Independent directors of the company for financial year 2024-2025 except sitting fees paid for meetings attended.

Expenses towards gratuity and compensated absences provision are determined actuarially on an overall company basis quarterly and accordingly have not been considered in the above information. In addition to the above MD and KMPs are entitled to ESOP under the Company’s ESOP Scheme. During the year ended March 31, 2025 Company has granted - 21,852 ESOP’s to MD & 1,85,879 to KMPs (For the year ended March 31, 2024 - Nil of ESOP to MD & 6,494 to KMPs).

For FY 2024-25, the Company was governed by IRDAI ((Rural, Social Sector and Motor Third Party Obligations) Regulations, 2024 for the purpose of compliance to rural and social sector obligations. As per these Regulations, the Company is required to certify compliance with Rural and Social obligation on annual basis. Disclosure of Gross Direct Premium Income (GDPI),

No. of Policies, No. of Lives and % of GDPI in notes to account for the year ended March 31, 2025 and March 31, 2024 are based on analysis done by the Management till March 31, 2025 and March 31, 2024 respectively.

The lease expense recognised for cancellable and non-cancellable agreements for the year ended March 31, 2025 is ^ 3,255 lakhs (for year ended March 31, 2024 ^ 1,851 Lakhs) has been charged to Revenue Account.

14. Taxation

The Company has unabsorbed depreciation and carried forward losses under tax laws. In the absence of virtual certainty supported by convincing evidence that sufficient future taxable income will be available against which deferred tax assets can be recovered, deferred tax assets are recognised only to the extent there is a deferred tax liability.

FMS- Facility Management Services

21. Loan restructuring

The Company has not given any loans as on March 31, 2025 (as on March 31, 2024 - Nil)

22. Summary of Financial Statements

The summary of Financial Statements is included as Annexure VI.

23. Foreign exchange gain / (loss) net

During the year ended March 31, 2025 foreign exchange net gain earned by the Company is ^30 Lakhs (for the year ended March 31, 2024 net gain ^ 29 Lakhs) which is netted off in Schedule 4 under the heading ‘Miscellaneous expenses’.

During the year ended March 31, 2025, foreign currency exposure is ^ 931 Lakhs (For year ended March 31, 2024 ^ 959 Lakhs).

27. Premium deficiency

Premium deficiency for the Company as on March 31, 2025 is Nil (as on March 31, 2024- Nil) in accordance with the applicable provisions of the IRDAI Actuarial, Finance and Investment Functions of Insurers Regulations, 2024 read with Master Circular issued their under Actuarial & Allied Functions, 2024.

28. Statement showing age-wise analysis of unclaimed amounts of policyholders

The Statement is included as Annexure VII.

29. Corporate Social Responsibility (CSR)

During the year ended March 31, 2025, the Gross amount required to be spent and actually spent by the company on CSR initiatives is Nil. (For the year ended March 31, 2024 - Nil)

30. Provision for free look period

As on March 31, 2025, the provision for free look period is ^ 0.12 Lakhs (as on March 31, 2024 ^ 0.07 Lakhs), as certified by Appointed Actuary.\

31. Litigations

The Company’s pending litigations/proceedings comprise of claims against the Company in various tribunals/ courts, proceedings pending with Tax Authorities and the Company’s/counterparty’s appeal against orders of lower courts/tribunals/tax authorities. The Company has reviewed all pending litigation/proceedings and ensured adequate provisions, wherever required and disclosed the contingent liabilities, wherever applicable, in its financial statements. The Company does not expect any material impact on its financial position with respect to the outcome of such litigations/proceedings. (Refer Note no. 3 of Schedule 16 for details on contingent liabilities) (as on March 31, 2024- Nil)

32. Long term contracts

As on March 31, 2025 the Company did not have any outstanding long term derivative contracts. (as on March 31, 2024 - Nil)

33. Investor Education & Protection Fund

For the year ended March 31, 2025 & March 31, 2024 the Company is not required to transfer any amount into the Investor Education & Protection Fund.

36. Share Capital

The Company has allotted 4,13,60,294 Equity Shares of ^ 10 each at a premium of ^ 262 through the Initial Public Offer during the year ended March 31, 2025.

During the year ended March 31, 2025, the Company, pursuant to it’s Employee Stock Option Plan, allotted 27,07,578 equity shares of ^ 10 each at face value of ^ 10 per share; 24,92,633 equity shares of ^ 10 each at a premium of ^ 17 per share; 11,18,816 equity shares of ^ 10 each at a premium of ^ 65 per share; 1,64,569 equity shares of ^ 10 each at a premium of ^ 162 per share; 15,587 equity shares of ^ 10 each at a premium of ^ 304 per share; 2,053 equity shares of ^ 10 each at a premium of ^ 375 per share.

During the year ended March 31, 2024, the Company allotted 48,301 equity shares (under ESOP exercised) of ^ 10 each at book value of ^ 10 per share; 4,30,925 equity shares of ^ 10 each at a premium of ^ 17 per share; 6,47,740 equity shares of ^ 10 each at a premium of ^ 65 per share; 18,911 equity shares of ^ 10 each at a premium of ^ 162 per share; 634 equity shares of ^ 10 each at a premium of ^ 304 per share.

Share Application Money pending allotment as on March 31, 2025 amounts to Nil (As on March 31, 2024- Nil).

37 Code on Social Security

The Parliament of India had approved the Code on Social Security, 2020 which could impact the contributions by the Company towards provident fund and gratuity. The Ministry of Labour and Employment has released draft rules for the Code on Social Security, 2020 on November 13, 2020 and has invited suggestions from stakeholders which are under active consideration by the Ministry. The Company will complete its evaluation once the rules are notified and will give appropriate impact in the Financial Statements in the year in which the Code and related rules becomes effective.

38 Rent Equalisation Charges

For the year ended March 31, 2024, Rent equalisation charges have been split into Rent, rates and taxes & Facility management charges based on underlying contracts.

For the year ended March 31, 2025, Rent equalisation charges have been charged to Profit and Loss account.

39 Borrowings (Non-Convertible Debentures)

On December 11, 2023 & March 14, 2024, The Board of Directors of the Company have approved raising of capital by issuance of Unsecured, Unrated, Unlisted, Subordinated Redeemable Bonds in the nature of Non-Convertible Debentures (“NCDs”) of ^ 20,000 Lakhs & ^ 15,000 lakhs on a private placement basis, in accordance with the provisions of the IRDAI (Other Forms of Capital) Regulations, 2022, and the Companies Act, 2013.

40 Contribution To Environment Relief Fund

During the year, an amount of ^ 5 Lakhs (Previous year ^ 4 Lakhs) was collected towards Environment Relief Fund for public liability policies and an amount of ^ 6 Lakhs (Previous year ^ 4 Lakhs) has been transferred to "Central Pollution Board”, Environment Fund Account” as per Notification of Environment Relief Fund (ERF) scheme under the Public Liability Insurance Act, 1991 as amended. The balance amount of ^ 0.5 Lakhs (Previous year ^ 0.5 Lakhs) is included under statutory dues payable in Schedule 13.

41 Disclosure on Expenses Of Management

In line with IRDAI (Expenses of Management of Insurers transacting General or Health Insurance business) Regulations, 2024, the Company’s expenses relating to the insurance business is in excess of regulatory limits for the year ended March 31, 2025, the company has applied for further forbearance, as available under the regulatory framework, which is currently under consideration with IRDAI.

Further In accordance with the IRDAI Regulations, operating expenses in excess of prescribed limits are required to be shown under ‘Other Income’ as ‘Contribution from Shareholders Funds towards Excess EOM’ and simultaneously to be charged to Profit & Loss account as ‘Contribution to Policyholders Funds towards Excess EOM’. Accordingly operating expenses in excess of overall limits of ^ 32,401 Lakhs (Motor ^ 29,577 Lakhs, Workmen compensation- ^ 182 lakhs, Personal accident - ^ 2,190 lakhs,Travel - ^ 192, Miscellaneous - ^ 260 lakhs) ( previous year - operating expenses in excess of overall limits of ^ 46,752 Lakhs (Motor ^ 41,674 Lakhs, Workmen compensation- ^ 299 lakhs, health & personal accident - ^ 4,633 lakhs, Miscellaneous - ^ 146 lakhs)) is reported as other income under Miscellaneous segment of the revenue account.

42 Disclosure on Audit Trail

The Company has implemented a framework to identify relevant applications from the overall IT universe as "Books of account” as per the Companies Act 2013. The Company’s books of account maintained electronically comply with the requirements of the Companies Act 2013, read with relevant rules and notifications, except: -

(a) The Company has enabled database level audit trail (edit logs) feature for its accounting on August 05, 2024 and investment application on June 12, 2024. Access of personnel to database is severely restricted, provided only on exceptional basis and is well documented during financial year 2024-25 and 2023-24. The application-level audit trail (edit logs) feature was operating effectively during the whole financial year 2024-25.

(b) Company has enabled audit trail (edit logs) feature for all identified financial accounting tables on 07 Jun 2024 for policy and claims administration system.

43 Disclosures pursuant to Rule 3(1) of the Companies (Accounts) Rules, 2014:-

The Company has not advanced or loaned or invested (either from borrowed funds or share premium or any other sources or other kind of funds) to or in any other person or entity, including foreign entity ("Intermediaries”), with the understanding, whether recorded in writing or otherwise, that the Intermediary shall, directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Company ("Ultimate Beneficiaries”) or provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries;

The Company has not received any funds from any person or entity, including foreign entity ("Funding Parties”), with the understanding, whether recorded in writing or otherwise, that the Company shall, directly or indirectly, lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Funding Party ("Ultimate Beneficiaries”) or provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries

45 Expenses other than those related to Insurance Business (profit and loss account):

Expenses other than those related to insurance business includes, director sitting fees, shareholders charge for brand value creation expenses, managerial remuneration, audit fee payable for special purpose financial statements, provision for tax matters, investor engagement expenses, investment operations expenses related to shareholders funds, rent equalisation levy and ESOPs fair value charge.