What type of insurance do I need for my self-employed business?
A frequently asked question for self-employed people is “What insurance do I need as a self-employed person?”. Whether you are an independent project manager or a freelance carpenter, discover that self-employed insurance policies are important. You can reduce the risks that you face as an entrepreneur by knowing what they are. You can limit it. You can insure the remaining risks. When you’re just starting out as a freelancer, you have a lot of things on your mind.
We have compiled a list of self-employed insurance policies that are the most popular among entrepreneurs. If you are already a self-employed person, it is wise to check whether you are sufficiently insured for the work you perform. FreshZPP’s network of partners can provide advice on the various types of self-employed insurance policies.
Health insurance self-employed person
For the time being, the compulsory insurance for the self-employed is health insurance. Everyone in the Netherlands must have health insurance. Even if you are an independent entrepreneur. In paid employment, the employer pays the employer’s tax, as an entrepreneur you pay an income-related contribution. This contribution is based on your taxable income, the Health Insurance Act premium. Were you collectively insured for healthcare through your employer? You can continue this health insurance, but not the collective. This one expires, of course. You can also make use of other collective self-employed insurance policies for healthcare.
Liability Insurance self-employed
A liability insurance policy (AVB), is essential. As a self-employed person, there are then two forms of liability that you can have to deal with. The professional and business liability insurance zzp. Contrary to popular belief private third-party insurance does not cover damage you cause to other employees of your company. A business liability insurance zzp is therefore necessary.
Self-employed person Business liability insurance
A business liability insurance zzp (AVB) covers damage that you cause to others during your work. Imagine a customer who trips over your paint supplies, and ends up in plaster for months. You might deliver the washing machine and accidentally bump into a wall-hunging painting. You will be responsible financially for any injury or damage that results from this accident if you do not have business liability insurance.
Professional liability insurance self-employed person
Professional liability insurance for the self-employed is not mandatory. But more and more clients only assign assignments if the self-employed person has good professional liability insurance. This insurance may also be required by a trade association. Incorrect advice can cause financial damage to professional groups like accountants, architects, and consultants. For example, a parking garage that is damaged by an architect’s calculation error could collapse. An accountant who makes a mistake and the tax return is incorrect. Professional liability insurance is highly recommended in such cases.
CAR insurance self-employed for the construction sector
If you carry out construction work, a CAR insurance self-employed person (Construction AllRisk) is the right choice. You insure yourself against any consequential damage of the construction work carried out. All work related to the construction of a building is considered structural work. This includes installing load-bearing walls and roofs, as well as supporting and supporting beams. For example, if you build a load-bearing wall incorrectly and part of the building collapses, the costs are a lot higher than just installing a new load-bearing wall. We refer to all damage around this as consequential damage. You insure this consequential damage during construction work with a CAR insurance zzp. If you work as a self-employed person in the construction sector, clients require you to have a special CAR insurance self-employed. What is the difference between an AVB and CAR insurance? An AVB covers general liability and damage to client’s equipment. CAR insurance is required for consequential damage to your construction project and your own materials. Therefore, make sure that you take out the necessary self-employed insurance before you start working on an assignment in the construction world.