Damages pattern analysis compares resolved matters to identify relationships between case characteristics and outcome values, isolating factors such as injury severity, surgery, permanent impairment, venue, and claimant demographics.
It is used for valuation, reserve setting, and identifying which case features most affect exposure.
Alternative Names:
Damages Analytics, Damages Benchmarking
Why it Matters?
The analysis is most reliable when run against an organization's own resolution data rather than published verdicts, since settlements are unreported and published outcomes overrepresent large awards. Where a carrier or firm has structured historical data, this analysis can identify which factors actually move value in their book, which frequently differs from the intuitions guiding evaluation.
Frequently Confused with
Related terms
Frequently asked questions
What data supports damages pattern analysis?
Why must venue be controlled for?
