BB Seguridade Participações S A : Comunicado ao Mercado

MD&A

3Q22

#Pública

• P R E S E N T A T I O N

The Management Discussion and Analysis - MD&A presents the economic and financial status of BB Seguridade Participações S.A. (BB Seguridade). Directed to financial analysts, shareholders and investors, this quarterly report provides an analysis of economic and financial

indicators of BB Seguridade, stocks' performance and other aspects considered relevant for the assessment of the company's

achievements.

The consolidated financial statements were prepared in compliance with the International Financial Reporting Standards - IFRS.

All the analyses in this report are based on IFRS Financial Statements, but are occasionally supplemented by managerial data, besides other information calculated based on accounting principles determined by the Superintendência de Seguros Privados - SUSEP (the regulator of the insurance industry in Brazil).

In the investees, since the fourth quarter of 2020, the financial statements are prepared in compliance with the accounting standard of the respective regulator, except when mentioned in a different accounting standard.

• O N - L I N E A C C E S S

This MD&A is available at BB Seguridade's IR website, where additional information about the Company is also available such as: corporate

structure, corporate governance, historical data, among other important information for shareholders and investors. The company's website can be accessed through www.bbseguridaderi.com.br.

This report makes references and statements about expectations, expected synergies, growth estimates, earnings forecasts and future strategies regarding BB Seguridade. Such statements are based on current expectations, estimates and projections of the Managementabout future events and financial trends that may affect the businesses that the company is involved in.

These forward looking statements are not guarantee of future performance and involve risks and uncertainties that could overextendthe control of the management, and thus can result in balances and values different from those anticipated and discussed in this report. The expectations and projections depend on market conditions (technological changes, competitive constraints on products, prices, etc.), on the country's macroeconomic performance (interest and exchange rates, political and economic changes, inflation, changes in tax rules, etc.) and on international markets.

Future expectations based on this report should consider the risks and uncertainties that involve BB Seguridade's businesses. BBSeguridade has no responsibility to update any estimate contained either in this report or in previously published reports.

Tables and charts in this report show, in addition to the accounting balances, financial and managerial figures. The relative variationrates are calculated before the rounding procedure in R$ million. The rounding method used follows the rules established by Resolution 886/66 of IBGE's Foundation: if the decimal number is equal or greater than 0.5, it increases by one unit, if the decimalnumber is less than 0.5, there is no increase.

BB Seguridade Participações S.A. | Management Discussion & Analysis 3Q22	2

3Q22 Earnings Conference Call

November 7th, 2022

Portuguese with simultaneous translation into English

Time: 11:00 AM (Brasilia time) 09:00 AM (EST)

Livestream via ZOOM platform

To register for the event and receive the connection

information, access: https://bbseguros- br.zoom.us/webinar/register/WN_61mIOLFPSG6uAf9H A1L6Nwor the investor relations website www.bbseguridaderi.com.br/en

Contacts

Investor Relations

• [phone]

• [e-mail]

IR Website: www.bbseguridaderi.com.br/en

Rua Alexandre Dumas, 1671 - Térreo - Ala B Chácara Santo Antônio - São Paulo - SP CEP: 04717-903

Index

1.	Summary	4
2.	Earnings Analysis	14
3.	Balance Sheet Analysis	17
4.	Underwriting and Accumulation	20
	Brasilseg	23
	Brasilprev	44
	Brasilcap	59
	Brasildental	73
5.	Distribution	75
5.1	BB Corretora	76
6.	Definitions	84

BB Seguridade Participações S.A. | Management Discussion & Analysis 3Q22	3

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1 . S U M M A R Y

• N E T I N C O M E A N A L Y S I S

Table 1 - Income statement of the holding

		Quarterly Flow		Chg. %	9 Months Flow	Chg. %
R$ thousand	3Q21	2Q22	3Q22	On 3Q21	On 2Q22	9M21	9M22	On 9M21
Equity income	974,497	1,407,388	1,648,550	69.2	17.1	2,699,916	4,235,022	56.9
Underwritting and accumulation businesses	404,481	766,748	883,131	118.3	15.2	1,114,203	2,256,001	102.5
Brasilseg	242,185	546,845	636,121	162.7	16.3	665,733	1,445,518	117.1
Brasilprev	119,072	172,298	217,118	82.3	26.0	349,576	691,325	97.8
Brasilcap	39,633	42,783	25,002	(36.9)	(41.6)	86,094	103,240	19.9
Brasildental	3,591	4,822	4,890	36.2	1.4	12,800	15,918	24.4
Distribution businesses	579,169	631,810	750,605	29.6	18.8	1,609,169	1,957,719	21.7
Other	(9,153)	8,830	14,814	-	67.8	(23,456)	21,302	-
G&A expenses	(4,160)	(5,900)	(5,542)	33.2	(6.1)	(13,016)	(17,433)	33.9
Net investment income	6,256	4,698	10,673	70.6	127.2	22,785	21,894	(3.9)
Earnings before taxes and profit sharing	976,593	1,406,185	1,653,681	69.3	17.6	2,709,685	4,239,483	56.5
Taxes	(772)	186	(1,501)	94.5	-	(3,100)	(1,501)	(51.6)
Net income	975,821	1,406,371	1,652,180	69.3	17.5	2,706,585	4,237,982	56.6

In 3Q22, BB Seguridade reported net income of R$1.7 billion (+69.3% YoY), in a quarter with strong commercial performance of insurance, pension plans and premium bonds segments, loss ratio improvement and higher net investment income. The R$676.4 million increase was mainly driven by:

• Brasilseg (+R$393.9 million): boosted by the growth in earned premiums (+21.5%), the drop in loss ratio, which improved in the main business lines (term life, credit life and rural), and the increase in the net investment income;
• BB Corretora (+R$171.4 million): supported by the growth in brokerage revenues and the higher net investment income, driven by the spike in the average Selic rate and the expansion of average volumes; and
• Brasilprev (+R$98.0 million): with a lower negative result of net investment income compared to 3Q21, explained by positive MtM result partially offsetting the temporal mismatch in the adjustments of defined benefit plans reserves, which was more severe this quarter due to the sharp deceleration of inflation rates.

On the other hand, Brasilcap contribution decreased R$14.6 million, with the contraction in the net interest margin, due to the higher costs of liabilities, which is justified by the spike of the reference rate (TR), and the negative adjustment of the hedge on prefixed portfolio classified as available for sale.

Year-to-date, net income increased R$1.5 billion (+56.6%), to R$4.2 billion, highlighting:

• Brasilseg (+R$779.8 million): supported by the increase in both the earned premium and financial result, and by the loss ratio improvement;
• BB Corretora (+R$348.6 million): driven by the growth in brokerage revenues and the increase in the net investment income;
• Brasilprev (+R$341.7 million): supported by the improvement in net investment income, with the expansion of the average volume of earning assets and the lower impact of negative MtM results; and

Figure 1 - Non-interest operating results¹

	Chg. On 3Q21	Chg. On 9M21
Brasilseg	147.0%	124.8%
Brasilprev	3.5%	4.6%
Brasilcap	(80.0% )	(52.8% )
Brasildental	20.0%	7.5%
BB Corretora	22.0%	14.3%
Total	40.4%	30.7%

¹Non-interest operating results before taxes, weighted by the equity stake

Figure 2 - Normalized net income (R$ million)

4,361

										4,238
								2,817
					1,753	2,707
				1,482
1,044			1,652
1,406
976
(69)		(75)			(101)		(111)			(123)
3Q21	2Q22		3Q22	9M21	9M22
	Net income	IGP-M lag	Normalized net income¹

1. Net income excluding the impacts of the one-month lag in the IGP-M accrual on liabilities.

• Brasilcap (+R$17.1 million): with the improvement in the net interest margin and the expansion in the average volume of

earning assets.

BB Seguridade Participações S.A. | Management Discussion & Analysis 3Q22	4

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• N E T I N V E S T M E N T I N C O M E A N A L Y S I S

Figure 3 - Consolidated investment income

11.8	14.1		14.9
1.4		(0.8)	631

		232
	166
14
			-23
3Q21	2Q22	3Q22	9M21	9M22

In 3Q22, the consolidated financial result of BB Seguridade and its investees reached R$232.4 million, compared to R$14.1 million recorded in the same period of 2021. The spike in the Selic rate, combined with the volumes expansion and the flattening real yield curve, the last one benefiting specifically Brasilprev, were the main drivers to the net investment income growth. On the other hand, the positive impact was partially offset by the temporal mismatch in the adjustments of defined benefit plans assets and liabilities of Brasilprev, due to the sharp deceleration of inflation rates over 3Q22.

In 9M22, the combined financial result was positive by R$631.0 million, compared to a financial loss of R$22.9 million in 9M21, as a result of the higher average Selic rate benefiting all companies in the group and the improvement in Brasilprev's net investment income, with the expansion in the volume of financial assets and a lower negative MtM result, considering the lesser extent of the upward shifting of the foward yield curve as compared to 9M21.

Net investment income (R$ million)

% Net income

Figure 4 - Inflation rate (%)
		5.5
3.0	3.0		3.7
4.6
2.1	1.5	3.2	2.5	0.1
0.8			2.2
0.02			-1.3
				-1.4

3Q21	4Q21	1Q22	2Q22	3Q22
	IPCA	IGP-M	IGP-M (lagged)¹

1. IGP-M with a lag of one month.

Figure 7 - Financial investments (%)

	8.2
Sep/22	39.6
	52.2
	8.9
Jun/22	33.1

58.0

12.7

Sep/21

31.8

55.5

Available for sale Trading

Held to maturity

Figure 5 - Average Selic rate (%)

			12.37	13.47
		10.42
	7.62
4.86
3Q21	4Q21	1Q22	2Q22	3Q22

Figure 8 - Financial investments by index (%)

	0.2
Sep/22	14.6
30.2
	55.1
	0.1
Jun/22	16.1
22.7

61.1

	0.1
Sep/21	25.3
19.4
	55.2
	Other
	Pre-fixed
	Floating
	Inflation

Figure 6 - Forward yield curve (%)

13.76 13.44

	12.75	12.63	12.65	jun/22
13.70	11.61		11.54
11.50
12.81	sep/22

sep/21

		10.25	10.45	10.63
	9.90
		jun/21
9.16
			8.49
		8.06	8.27
	7.71
7.08

DI1F23 DI1F24 DI1F25 DI1F26 DI1F27

Figure 9 - Trading portfolio by index

(%)

	0.5
Sep/22	3.4
20.3
	75.8
	0.3
Jun/22	4.8
27.3
	67.7
	0.4
Sep/21	8.2
31.2
	60.2
	Other
	Pre-fixed
	Inflation
	Floating

BB Seguridade Participações S.A. | Management Discussion & Analysis 3Q22	5