Self-insured retention (SIR)

Term · Insurance and risk management · MLC-T-INS-003056

A specified amount of a loss that an insured must pay out of pocket before their insurance policy begins to cover the remaining loss. Unlike a deductible, the SIR is typically not paid to the insurer but is retained by the insured, who also handles the claims administration for losses within that amount. SIRs are common in liability policies for larger organizations and can significantly reduce premiums.

Table 1. Record
Identifier	MLC-T-INS-003056
Field	Insurance and risk management
Abbreviation	SIR

Record as JSON

{
  "id": "MLC-T-INS-003056",
  "term": "Self-insured retention (SIR)",
  "field": "Insurance and risk management",
  "definition": "A specified amount of a loss that an insured must pay out of pocket before their insurance policy begins to cover the remaining loss. Unlike a deductible, the SIR is typically not paid to the insurer but is retained by the insured, who also handles the claims administration for losses within that amount. SIRs are common in liability policies for larger organizations and can significantly reduce premiums.",
  "abbreviation": "SIR",
  "url": "https://mlchart.com/terminology/insurance/self-insured-retention-sir/"
}

Record 3,080 of 3,682 in Insurance and risk management terminology (MLC-0106). Request the full dataset.