Self Insurance Law and Legal Definition
Self insurance is a risk management approach in which an entity sets aside a sum as a protection against a probable loss, instead of transferring the risk by purchasing an insurance policy. In other words, self insurance establishes reserves for future losses instead of purchasing insurance. However, full or exclusive self-insurance is rare. A combination of self-insurance and commercial insurance usually provides the best cover for the self-insured. The overall process of self insurance is cheaper than buying a commercial insurance.
Legal Definition list
Related Legal Terms
- Accelerated Life Insurance Benefits
- Accident Insurance
- Accidental Death and Dismemberment [Insurance]
- Accommodation Line [Insurance]
- Accountants Professional Liability Insurance
- Accounts Receivable Insurance
- Actual Cash Value Insurance
- Actual Delivery of Insurance Policy
- Actuarial Documents [Federal Crop Insurance Corporation]
- Actuarially Appropriate [Federal Crop Insurance Corporation]
