Israel : Engagement in Directors and Officers Liability Insurance Policy

This is an English convenience translation of the original Hebrew version. In case of any

discrepancy, the binding version is the Hebrew original

Immediate Report

Nature of Event: Engagement in Directors and Officers Liability Insurance Policy

Reference numbers of prior reports on the subject: _________

Attached Hereto Immediate Report - Engagement in Directors and Officers Liability Insurance Policy

Explanation: According to regulation 5 of the Periodic and Immediate Reports Regulations (5730-1970), a report submitted under these regulations will be signed by the authorized signatories on behalf of the corporation. A staff position on the subject can be found on the Authority's website: Click here.

Name of report authorized signatory and name of authorized electronic signatory: Maya Alcheh Kaplan

Position: Vice President, General Counsel and Company's Secretary

Signature date: 3/3/2024

Reference Numbers of Previous Reports in this Matter (this does not constitute a generalization by way of reference):

Securities of the corporation are listed in the Tel Aviv Stock Exchange Short name: Israel Corporation

Address: P.O.B. 20456, Tel Aviv 61204 Tel: 03-6844517,03-6844500, Fax: 03-6844587

Email:MAYAAK@ISRAELCORP.COM

Former names of reporting entity: Israel Corporation Ltd.

Name of Electronic Reporter: Maya Alcheh Kaplan. Position: Vice President, General Counsel and Company's Secretary.

Address: Aranha 23, Tel Aviv 61204. Phone - 03-6844517, Fax: 03-6844587,

Email:mayaak@israelcorp.com

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March 3, 2024

To:To:

www.isa.gov.ilwww.tase.co.il

Subject: Immediate Report - Engagement in Directors and Officers Liability Insurance

Policy

1. The Company hereby reports regarding an engagement in a purchase of directors and Officers Liability Insurance Policies ("Insurance Policies"), which are currently serve in the Company and as will serve in the Company from time to time, following the approval of the Audit and Compensation Committee and the Board of Directors of the Company, and according to legal opinion No. 101-21 of the Israeli Securities Authority regarding compensation policy (as Amended on August 2020) ("ISA's Opinion") and according to the Companies Regulations (Facilitating Transactions with Stakeholders), 5769-2000
   ("Facilitation Regulations").1
2. The Insurance Policies are for period of 12 months, incorporating a policy which includes two layers -The first layer, is shared with ICL GROUP LTD, and the second layer is separate for the Company. The aggregate insurance coverage by the Insurance Policies is within the limit of liability, as set forth in the Company's Compensation Policy. The cost of the annual premium to be paid by the Company during the insurance period, in aggregate, will be lower than the premium amount payed by the Company in the previous year (The share of the company in the premium payment in the shared layer coverage with ICL shall be 20%, based on an evaluation made by the insurance entities). The Company's participation fee for actions against the directors and officers shall be determined according to the cause of action and the place of filing. The Insurance Policies includes exceptions as common in similar insurance policies.
3. The Compensation Committee and the Board of Directors of the Company have decided that the engagement in purchasing of the Insurance Policies is at fair market value and is not material to the Company.

1 Regulations 1b1, 1b and 1a1. For details regarding Company's compensation policy, see in the Company's Convening of an Annual General Meeting report dated July 19, 2022 (Reference No.: 2022-01-076254) and the meeting results report dated August 3, 2022 (Reference No.:22-01-098533), incorporated herein by reference (the "Compensation Policy").

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4. Hereinafter, a summary of the reasons of the Compensation Committee and the Company's Board of Directors to approve the engagement:

1. Providing insurance coverage to the office holders is for the Company's benefit, as it allows the Company's officers to act properly and for the benefit of the Company, taking into consideration the risks involved in the Company's activity and in the responsibility imposed under the law on the Company's officers and Directors, especially regarding their actions as office holders.
2. During negotiations for purchasing the Insurance Policies, the Company was advised by brokers operating in the international and local insurance market. According to the recommendation of the Company's brokers, the terms of the
   Insurance Policies, are on fair market value, considering the Company's activity and the risks involved in it, and considering the trends of the liability insurance market, as of the date of the report.
3. The engagement in the Insurance Policies are in the same terms for all of the office holders in the Company, and it is in market value and may not materially affect the Company's profitability, assets or liabilities.
4. The engagement in directors and officers insurance policy is common in Israeli public companies and is part of the existing and customary terms of office holders during the normal course of Company's business.

Sincerely,

Israel Corporation Ltd.

Name Authorized to sign the report and Name of Electronic Reporter: Maya Alcheh Kaplan.

Position: Vice President, General Counsel and Company's Secretary.

Signature date: March 3, 2024