Trintech (NASDAQ: TTPA), a leading provider of transaction reconciliation and payment infrastructure solutions, today announced that Broker Network Holdings PLC has selected ReconNET to automate the verification and reconciliation of its central depository account and insurance premium payments between its independent insurance brokers and insurance providers.
In addition to streamlining internal operations, ReconNET will also strengthen Broker Network's financial controls.
Broker Network Holdings PLC provides service to more than 130 independent, community insurance brokers in the UK that specialize in commercial insurance for small businesses. Broker Network provides its brokers with the benefits of collective buying power as well as offering access to a wider range of insurers.
In January 2005, the Financial Services Authority (FSA), an independent non-governmental body, was given regulatory oversight over the insurance industry in the UK. Insurers and brokers must now be authorized by the FSA, which requires compliance with a number of new regulations, including one that requires brokers and providers to demonstrate that they have adequate financial controls in place.
"The functionality and flexibility of ReconNET addresses our need to automate reconciliation and exception management processes to enable us to grow the business more cost effectively. It will also help us comply with industry regulations in a more efficient manner," said Julie Hale, Group Finance Director, Broker Network. "The gains we expect in efficiency and financial control will improve our work practices and overall operational effectiveness."
The installation of ReconNET will automate Broker Network's reconciliation procedures, increasing the efficiencies of finance staff, and provide effective risk management and reporting for its daily and month-end operations. Additionally, ReconNET will help Broker Network better meet industry compliance requirements through built-in detective and preventative financial controls.
"Industry regulations like FSA have necessitated the move to automated transaction reconciliation to reduce manual processes and mitigate risk," said John Harte, General Manager of Trintech's Funds Management Systems Division. "Companies like Broker Network rely on ReconNET because the solution supports financial accountability, audit and reporting requirements for data integrity through automation and a closed system architecture."