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existential cost of risk (XCOR)

Existential cost of risk (XCOR) is the "premium" that would be charged by an insurer if a company insured all of its risk exposures.

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existential cost of risk (XCOR)

Existential cost of risk (XCOR) is the "premium" that would be charged by an insurer if a company insured all of its risk exposures.

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This can be considered the cost a company incurs to finance the risk of its continued existence. Not all business risks can be reasonably called "insurable," but XCOR provides a proxy for such a cost.