The standard deviation divided by mean or the expected value. A measure of the dispersion, scattering or variation of the outcomes in a probability distribution. The larger the coefficient of variation, the less predictable is the future outcome.Expected Loss : The average loss in the long run. The expected loss is the mean of the probability distribution of losses, not the mode.Probability Distribution of Total rupee Losses Per Year : A listing of all the total rupee losses that might occur in a year and the probabilities of each possible total rupee amount. The two component probability distribution that determine this probability distribution are the probability distributions of (01) the number of occurrences and (02) the rupee loss per occurrence.,Spatial Probability of Loss : he proportion of similar units exposed to loss over a given time period that will experience a loss, given a very large number of units exposed.Theoretical Probability Distribution : Probability distribution for which a formulae has been developed based on some assumptions about the behavior of the variable. Useful distributions in risk management are the Poisson distribution, the normal distribution, the log normal distribution, the log normal distribution, and others.Temporal Probability of Loss : The proportion of similar times during which a unit is exposed to a loss that the loss will occur, given a very large number of times exposed.Probable Maximum loss (P.M.L. ): See Also: “Loss, probable maximum.”
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The ratio of the standard deviation to the mean of a probability distribution.