Damages distribution

Damages distribution refers to how the potential financial impact of a legal case, such as a lawsuit or insurance claim, is spread across various possible outcomes. It models the range of damages that might be awarded, from the smallest to the largest, along with the likelihood of each. This helps predict the expected value of damages by considering uncertainty and variability. Essentially, it’s a statistical way to understand the range and probability of different financial damages that could result from a legal issue, assisting parties in assessing risks, setting reserves, or making informed decisions.