In the 1993–94 UEFA Cup, Pancaro made his European debut, scoring the match winning goal in the first leg of the semi-final, after coming on as a substitute, as Cagliari beat eventual champions Inter 3–2.

His consistency and work-rate made him an important part of Milan's squad, as he won his second Serie A title, as well as an Italian Supercup, also reaching the final of the 2004–05 UEFA Champions League, notably scoring a goal in an away victory over Brescia in 2003.

[5] In 2005, Pancaro moved to ACF Fiorentina on a free transfer, for two seasons, making 18 appearances, as his former Lazio teammate Giuseppe Favalli was brought in to replace him at Milan.

[7][8] A strong, reliable, and tenacious left-back, who was effective in the air, Pancaro was known for his stamina and work-rate, as well as his technical qualities and distribution, which allowed him to overlap and contribute both offensively and defensively.

In June 2014, he was named new head coach of recently relegated Lega Pro club Juve Stabia.