Governance-first AI systems for regulated industries

Governed AI for
regulated financial
document workflows

AI-assisted triage designed for banks and insurers — auditable, explainable, controlled.

Regulatory Reality

Financial institutions operate under strict regulatory oversight from authorities including BaFin, EBA, and EIOPA. Document intake and processing represent a significant compliance risk, subject to internal audits, model risk management requirements, and extensive documentation obligations.

Uncontrolled AI systems create audit exposure. Without proper governance mechanisms, automated decision-making introduces regulatory risk rather than reducing it. Traditional AI automation, optimized for speed and autonomy, fundamentally conflicts with the accountability requirements of regulated financial environments.

Governance is not an optional feature. It is a prerequisite for AI usage in financial services.

Solution Overview

NP – Document Triage

NP – Document Triage is a controlled AI agent designed specifically for document triage in regulated financial environments. The system assists classification but never makes final decisions.

Every operation produces audit-ready decision records. The system integrates into existing compliance workflows without bypassing established approval processes or accountability structures.

This approach allows financial institutions to leverage AI efficiency while maintaining the control and oversight required by regulators and internal audit functions.

What it does

Assists document classification and triage

What it does not do

No autonomous decisions or automatic approvals

Integration

Works within existing compliance workflows

Governance & Control

Control mechanisms are not retrofitted. They are integrated into the system architecture from the foundation.

Fixed Confidence Thresholds

Deterministic thresholds define when human review is mandatory. No dynamic adjustment, no learning drift.

Human-in-the-Loop Enforcement

System architecture prevents completion without human approval. Not optional, not configurable.

Approval Gates

Explicit approval gates enforce authorization requirements and role-based access control.

Immutable Audit Artifacts

Every operation generates a structured, immutable audit record. No retroactive modification.

Clear Responsibility Attribution

Every decision is attributable to a specific authorized individual. No ambiguity in accountability.

Audit Readiness

Every operation generates a per-run audit record containing all decision-relevant information. These records are structured for programmatic analysis and human review.

Traceability is maintained across time. Decisions made months ago remain fully explainable and reproducible. The system is designed for internal audit, external audit, and regulatory examination.

Audit artifacts are not an afterthought. They are a primary system output, designed with the same rigor as operational functionality.

// Example: Audit Record Structure
{
  "transaction_id": "tx_2026_02_01_abc123",
  "timestamp": "2026-02-01T14:23:45Z",
  "document_type": "complaint_intake",
  "confidence_score": 0.87,
  "classification": "priority_review",
  "threshold_met": false,
  "human_review_required": true,
  "reviewed_by": "compliance_officer_456",
  "approval_timestamp": "2026-02-01T14:45:12Z",
  "decision": "approved"
}

Typical Financial Use Cases

Complaint Intake

Pre-classification of customer complaints for regulatory reporting and internal escalation.

Contract & Claim Pre-Classification

Initial triage of contracts and insurance claims to support manual underwriting and claims processing.

Regulatory Correspondence Triage

Classification of incoming regulatory correspondence for appropriate routing and response prioritization.

Internal Risk Documentation

Organization and classification of internal risk assessment documentation for audit and review.

Pilot Model

We propose a limited-scope pilot to validate technical feasibility, governance compatibility, and audit acceptance.

1
Limited Scope

Defined document types, limited volume, controlled environment

2
Real Documents, Real Workflows

Integration with actual processes, not synthetic demonstrations

3
Compliance Review Included

Joint evaluation with compliance, risk, and internal audit teams

4
No Lock-in

Clear evaluation criteria, no long-term commitment required

About NovaPact

NovaPact develops governance-first AI systems for regulated industries. We understand that financial institutions require AI solutions that reduce risk rather than introduce it.

Our approach prioritizes risk control, auditability, and accountability over speed or automation. We design systems that work within regulatory constraints, not against them.

Based in the EU, we build solutions that meet the requirements of European financial regulators and internal audit standards.