Team size: 5

How do you approach managing legal aspects during periods of instability or crises, and how does your legal strategy align with the broader business strategy to ensure the organisation’s resilience?

The risk profile of a natural catastrophe insurance pool is unique due to its high exposure to catastrophic events. Such events can be exceptionally high in severity and occur with a low frequency. Therefore, we conduct comprehensive risk scenarios and risk mitigation measures relevant to the company’s distinct profile.

Since 2021 I coordinated the legal team within the Mass Claims Project. The participants to this project are all insurers underwriting housing insurance in Romania. It is aimed to prepare the operational capacity of the insurance market in case of an extended natural disaster- especially in the event of an earthquake affecting at least 200,000 homes. Such a scenario requires smart and efficient solutions for processing a very large number of claim files in order to accomplish the company’s purpose. To this end, the legal department offers support to implement simplified rules and working procedures applicable to a Mass Claims situation, thus creating an adequate balance between compliance, risk mitigation and the social implications.

A key factor in the company’s resilience is its reinsurance programme, which in case of occurrence of a catastrophic event will also help build resilience in Romania’s economy and in the affected communities. PAID benefits of the largest reinsurance programme in Central and Eastern Europe with a value of EUR 1.3 bn, concluded with a consortium of over 50 top rated international reinsurers. The legal department aids in connection with the legal terms of the treaties.

Strengthening the company’s resilience also implies contributing to the definition and revision of the legal provisions impacting its activity. The legal department has actively contributed to changes in the law regarding Romanian mandatory housing insurance. The new law provides for a significant increase of the state’s role to extend the insurance cover to more homes’ owners, as well as other significant changes aimed to further strengthen the housing insurance market. I had a key involvement in drafting the changes in the law, together with the Romanian insurance regulator (ASF), such as participating in the debates of a parliamentary committee, drafting the application norms and implementing the changes in the internal policies and operations.

What emerging technologies do you see as having the most significant impact on the legal profession in the near future, and how do you stay updated on these developments?

Artificial Intelligence has already started to have a significant impact on the legal profession and its use and impact are expected to expand in the near future. AI can be used to automate routine tasks such as contract review, research, and generative legal writing and has the advantage of giving attorneys more time to focus on strategic planning and case analyses.

Data science in law is also notably a game changer, which improves decision-making capacity of legal practitioners. With access to historical data, precedents, and statutes, lawyers can make informed decisions and strategise more effectively. They can leverage data science to identify patterns, anticipate opposing arguments, and better navigate the complex legal landscape. At the same time, when using legal tech, including AI, the practitioner needs to identify the tasks that require creativity, oversight and judgement of a human, even if the machine is highly sophisticated.

To be prepared to work with AI, studies have shown that legal professionals must seek to develop combined technical and cognitive skills, in addition to lifelong improvement of legal knowledge. One of my priorities is to stay educated regarding the legal tech improvements, by following legal tech newsletters and engaging in peer-to-peer knowledge sharing.

Nevertheless, the emerging technologies also introduce challenges, including bias, discrimination, and privacy concerns. So, while there are real benefits of AI in law, the legal and ethical considerations play a central role in ensuring that data science in legal proceedings is both just and reliable. Therefore, the professionals need to ensure that the technologies used comply with the following principles: data quality, transparency, algorithmic fairness, oversight and accountability.