I thought he might mean more with it. In generel the new damage system is one of my darlings concerning 5th, but in many ways size has a lesser impact on combat than before - less calculations being influenced by it, such as in Damage (as in the size of the attacker) and Defense Totals.
Basically, I guess it means that you get wound less severely than other people and so gain an edgge in the long end against a similarly skilled opponent.
** House-Rule Warning **
Of course... Doing the same thing to fatigue as to wounds opens op things in a new way as well. (We run it as missing a cast spell by 5 (normal size) gives light fatigue, by more than five but less than 10 gives medium and I am even accepting a fail by fifteen giving a heavy fatigue since it tends to take the one doing so out of the equation totally. ) At a total of -8 you get to start rolling willpower vs the total of the penalty to not faint.