The practice of an individual, group of individuals, employer, or organization assuming complete responsibility for losses which might be insured against, such as malpractice losses, or medical expenses and other losses due to illness. In such cases, medical expenses would most likely be financed out of current income, personal savings, a fund developed for the purpose, and/or some other combination of personal assets. Self-insurance is contrasted to the practice of purchasing insurance, by the payment of a premium, from some third party (an insurance company or government agency).