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Cost-of-Inaction Calculator

What is ungoverned AI reporting costing you?

One wrong number from an AI used to get caught by an analyst. Now it ships at machine speed. Estimate your annual exposure — and see how small the cost of governing it is by comparison.

Built for the executive who has to sign off. Forward it, or generate the estimate yourself in 30 seconds — sized to your institution.
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Estimate your annual exposure

An illustrative range for the potential annual cost of ungoverned AI in your reporting — undetected error, restatement, exam finding, and remediation — composed transparently from published industry benchmarks. Not a prediction or a quote.

Illustrative annual exposure
potential cost of ungoverned AI reporting
Single major incident
Exposure vs. governance
Annual exposure
Cost of governing ita fraction

Illustrative only — built from published benchmarks below, scaled to your inputs. The governance figure is directional; exact pricing is on the pricing page.

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How this is estimated

This is a transparent, benchmark-anchored model — not a proprietary black box and not a prediction of your specific loss. It starts from a published incident cost, then scales it by how much ungoverned AI surface you have.

  • Anchor incident cost. We start from the IBM Cost of a Data Breach 2024 financial-services average of $6.08M per incident (the all-industry average is $4.9M, up 10% year over year). A governance failure in regulated reporting — a wrong number in a filing, a missed control, a fair-lending error — sits in the same severity class.
  • Size factor. Community FI ≈ 0.25×, Regional ≈ 0.6×, Large / national ≈ 1.3× — bigger balance sheets, bigger reporting surface, bigger downside.
  • AI-surface factor. More AI tools touching reporting = more places a confident-but-wrong answer can reach a decision or a regulator. None 0.35× → 6+/agentic 1.4×. Agentic workflows score highest because they act with no analyst in the loop and often sit outside model risk (SR 11-7).
  • Maturity multiplier. Ad hoc governance multiplies exposure (errors go undetected); mature governance reduces it. Mature 0.45× → Ad hoc 1.5×. MIT Technology Review (2024) found governance/security/privacy is the #1 barrier (59%) to scaling AI — maturity here is the lever.
  • Regulatory multiplier. Each regime in scope adds remediation, exam-finding (MRA/MRIA), and restatement cost. +0.18× per regime selected (SOX restatement, CFPB/fair-lending, OCC/Fed exam findings, EU AI Act penalties).

The composite drives an annual exposure range (we show roughly the −30% to +35% band around the central estimate, framed as low–high), a representative single-incident figure, and the ratio of annual exposure to a typical cost of governing it. Round numbers are intentional — this is for directional discussion, not a financial projection.

Sources behind the numbers

Illustrative estimate only. The figures above are derived from published industry benchmarks and scaled by your inputs — they are not a prediction, quote, or guarantee of any loss, fine, or cost specific to your institution. For directional discussion, not a financial projection. The cost of governance shown is a relative contrast, not a price; engagement figures are on the pricing page.

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