The Romanian Natural Disaster Insurance Pool (PAID) has teamed up with a local fintech firm, Finqware, to introduce an innovative financial automation solution. This partnership leverages FinqTreasury, a platform designed for real-time reconciliation and payments.

Enhancing Reconciliation and Payments

This integration directly connects PAID’s operations with banks through API-based Open Banking infrastructure, allowing for real-time insurance premium reconciliations. Previously, this task was handled manually using bank statements. The new system also facilitates automated compensation payouts to policyholders, providing full traceability.

Addressing Operational Challenges

Representatives from PAID explain that the move aims to tackle growing transaction volumes and the rise of real-time payments. By shifting from manual processing, the company hopes to increase transparency and reduce both operational costs and human error.

PAID’s Role in Home Insurance

Currently managing about 2.35 million compulsory home insurance policies under the PAD system, PAID safeguards homes against three major risks: earthquakes, floods, and landslides. Since its inception in 2009, PAID has played a crucial role in rebuilding thousands of damaged properties.

Collaboration with Finqware

Finqware, authorised as a pan-European payment institution, focuses on automating corporate financial processes. Its clients include non-financial firms and banks such as Banca Transilvania, CEC Bank, and Salt Bank.