What is self insured car insurance?

Self-insured car insurance is a type of insurance where a car owner takes on the financial responsibility of paying for any damages or injuries resulting from an accident involving their vehicle. Rather than paying premiums to an insurance company, the car owner sets aside a specific amount of money to cover potential losses. This money is often kept in a separate account and can be used to pay for damages or injuries resulting from an accident. Self-insured car insurance is not the same as being uninsured. While the car owner is taking on the financial responsibility of paying for damages or injuries, they are still complying with state laws that require drivers to have insurance coverage. In some cases, self-insured car insurance may be used by businesses or organizations that have a fleet of vehicles. Self-insured car insurance may be a good option for individuals who have a high net worth and can afford to cover potential losses out of pocket. It may also be a good option for individuals who have a low-risk driving record and may not need to file claims frequently. However, it's important to note that self-insured car insurance is not for everyone and may not be a good fit for those who cannot afford to cover potential losses. Additionally, state laws may have specific requirements for those who choose to self-insure their vehicles.