Media Coverage
Dec 9, 2025
What CFOs Don’t Know About AI Could Cost Their Company Dearly
Another major financial issue that impacts nearly all companies but has flown under the radar is the potential liability costs of enterprise AI—especially how they impact corporate insurance coverage. I spoke about this issue with Russ Fradin, cofounder and CEO of Larridin, a platform that shows companies their AI use and possibilities; and Michael Levine, an insurance attorney and partner at law firm Hunton Andrews Kurth. An excerpt from our conversation is later in this newsletter.
OFF THE LEDGER
What You Don’t Know About AI Could Cost Your Company Dearly
By Megan Poinski, Forbes Staff and CFO, Forbes Staff.
When you look at AI use in the enterprise from a financial perspective, the figures that immediately come to mind are the cost of the technology itself and the ROI you hope to receive. But there’s another number that CFOs need to think about: Financial liability if something goes wrong, and insurance to protect you from the steepest damages. Liability and insurance issues are among the biggest challenges with AI today, and CFOs need to consider them just as much—if not more—than cost and ROI.
I spoke with Russ Fradin and Michael Levine about how CFOs should start examining this issue. Fradin is cofounder and CEO of Larridin, a platform that shows companies their AI use and potential, and Levine is an insurance attorney and partner at the law firm Hunton Andrews Kurth. This conversation has been edited for length, clarity and continuity.
What are some of the things that CFOs may not not be aware of when it comes to AI and their company's liability?
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