MedMalPredict

Glossary · Legal Concept

Outcome Severity Distribution

The spread showing how comparable medical malpractice cases divide across small, significant, and large payments, used to gauge how volatile a case profile is; distinct from insurance "severity," which is average cost per claim.

Also known as: severity distribution, outcome severity, severity spread

What it is

Outcome severity distribution shows how comparable cases spread across outcome sizes, from small payments to significant payments to large verdicts. It is one of the three core outputs of the Hooper Engine, alongside payment probability and payout range.

How to read it

Two case profiles can share the same expected payout yet differ sharply in their distributions: one clustering near the midpoint, the other carrying a long tail of large results. A narrow distribution means outcomes bunch close together; a wide one means the profile is volatile and can resolve well above or below its expected figure.

Why it matters

A single expected value cannot show volatility, but the severity distribution can. It tells a negotiator how often cases like this one resolve far from the midpoint, which is often the difference between a safe settlement posture and a risky one. It is distinct from insurance "severity," which measures the average dollar cost per claim across a book of business.