Co-developed with a Global Digital Energy & Building Services Company
Co-developed with a Global Commercial Insurance Company
6×
Your risk costs 6× more than your insurance report shows.
The hidden gap between COR and TCRO
Invisible.
It never shows up in your financials - until something fails.
Downtime · Capital timing · Compliance · Reputational exposure
What is TCRO?
Cost of Risk measures what happened. TCRO measures what it actually costs.
Traditional Cost of Risk (COR) is an insurance construct. It captures what the insurer sees: claims, premiums, deductibles. TCRO is a financial standard. It captures the full burden - including every cost that never makes it into a risk report.
For most institutional portfolios, the costs COR misses are larger than the costs it measures.
TCRO is co-developed with the two organizations whose data makes it defensible at scale.
7.2M
Buildings in the data foundation
Building Intelligence Partner
Global Digital Energy & Building Services Company
The world's largest operator of building infrastructure data - contributing the live physical telemetry that turns TCRO from an estimate into a real measurement.
20yr
Institutional claims history in the actuarial model
Insurance Intelligence Partner
Global Commercial Insurance Company
One of the world's leading commercial insurers - contributing two decades of claims data that connects building conditions to financial outcomes boards and underwriters can act on.
Common Questions
Questions worthanswering directly.
What is TCRO and who introduced it?
TCRO - Total Cost of Risk Ownership - is the financial standard for measuring the complete cost of building risk. It was introduced by Novem and co-developed with a Global Digital Energy & Building Services Company and a Global Commercial Insurance Company. Where traditional Cost of Risk captures what the insurer records, TCRO captures what the portfolio actually costs - including every category of financial exposure that COR misses.
Why doesn't COR capture the full picture?
COR is an insurance construct, designed to measure what insurers see: claims, premiums, and deductibles. It was never designed to capture operational costs, capital inefficiencies, or reputational exposure. TCRO was built specifically for institutional portfolio operators who need a financial model that reflects their actual risk burden - not just the portion their insurer records.
How is the TCRO Calculator calculated?
The calculator produces a directional range based on aggregate outcomes from institutional portfolio operators. It is designed to illustrate the scale of hidden TCRO - not replace a formal assessment. A full TCRO measurement is produced through platform deployment and portfolio-specific data integration.
Can any organization apply TCRO?
Yes. TCRO is a vendor-neutral framework. The whitepaper is available for download. Novem Digital is the platform built to implement it - generating the continuous data record that makes TCRO a live measurement rather than a one-time estimate.
Get Started
Know what failure costsbeforeit happens.
Download the TCRO framework or book a session to see what it surfaces in your portfolio.
