The Romanian Natural Disaster Insurance Pool (PAID) has partnered with local fintech firm Finqware to introduce a new financial automation solution. This integration involves integrating FinqTreasury, a platform designed for automated reconciliation and payments, into PAID’s operations as it manages Romania’s mandatory home insurance system.

This move allows PAID to real-time reconcile insurance premium payments by directly connecting to banks through API-based Open Banking infrastructure, replacing the previous manual handling of bank statements. The platform also enables automated compensation payouts to policyholders with full traceability.

According to representatives from PAID, implementing FinqTreasury addresses challenges associated with managing growing transaction volumes and increasing demand for real-time payments. Moving away from manual processing improves transparency while reducing operational costs and the risk of human error.

Finqware officials noted that this partnership demonstrates how insurance providers can adopt automated financial processes to better align with today’s digital expectations. They stated that such collaborations reflect an industry shift towards speed and automation due to the rise of instant payments.

PAID currently manages around 2.35 million compulsory home insurance policies under the PAD system, which covers three primary risks in Romania: earthquakes, floods, and landslides. Since its establishment in 2009 under Law no. 260/2008, PAID has played a crucial role in rebuilding thousands of homes affected by covered events.

Finqware, authorized as a pan-European payment institution, develops Open Banking solutions aimed at automating corporate financial processes. Its clients include both non-financial firms and banks such as Banca Transilvania, CEC Bank, and Salt Bank.