Can be used in one of two instances
1. When it would be literally impossible for things to get any worse.
or
2. When things are bad, but not as bad as possible. If used in this way, things are bound to get much worse.
Synonyms for It could be worse
On this page, you will find 30 slang terms related to it could be worse. Some of the top words include: Penises, crumby, Dodgy, dammit, doggish, and 25 more.