INSURANCE OPTIONS FOR SELF-EMPLOYED PERSONS IN THE NETHERLANDS

One of the opportunities provided to non-Dutch nationals by Dutch law is the option of being self-employed, without the need for an employment permit. As long as you have a residence permit and a talent or knowledge that you wish to offer in self-employment, you have the chance to give it a go. The term for someone working in self-employment is ZZP (Zelfstandige Zonder Personeel; Independent with no Employees), and you are then referred to as a ZZPer.

Where to Start?

An important matter, when working in self-employment, is that of insurance – and this may be daunting. This is a different culture, with different laws – so, how do you know how to arrange insurance? And what to insure? And how much it costs? One in ten people on the Dutch labor market is ZZPer, which fortunately means that the insurance market for this group covers a wide range of topics.

Anyone who wishes to set up a company in the Netherlands will quickly find themselves directed to the Kamer van Koophandel (KvK) – or Chamber of Commerce. The KvK is where you register your company, but also where you can find advice – such as on what type of insurance to arrange. Examples given are: professional liability, company liability, legal aid, inventory, disability –and more.

Liability Insurance

A good place to go for a complete overview of types of insurance available is, offered by the insurance company Nationale Nederlanden (NN). First on the list is business liability insurance in case of damage you have caused to other people or their property. This could be because of something you sold, but also if you rented something and damaged it – as well as financial damages incurred by patients if you are a medical practitioner. It also covers so-called ‘previous damages’; perhaps you are responsible for damage that occurred before you took out the insurance, without you being aware of this – this is covered, also in the case of projects in the construction industry. You can even choose to take out insurance that covers damage caused while insured, though you have since stopped working in self-employment and have terminated the insurance.

Transportation

The type of insurance you will need depends greatly on what services you will be offering. Should this be in the realm of transportation, you can insure against damages suffered by goods you are transporting – but also expenses in connection with late delivery, legal aid or the cleaning up of damaged cargo. Additional insurance is available to cover damages caused by others if you have outsourced the distribution, as well as for the consequences of the failing of a cooling mechanism during transportation.

Cyber Security

In this day and age, a risk that is far from negligeable is that of cyber security. NN protects you against the consequences of data theft, hacking, systems breaches, and other types of cyber criminality. The insurance not only covers the damage suffered by your clients, but also costs you incur in connection with image repair, or stolen data. Additional coverage is available for those who want to insure themselves against the consequences of their website being down for a longer period of time due to a cyber attack.

Buildings

Should you be working from an office, you can choose to have this insured for the consequences of storm, water (precipitation as well as leaks), fire and vandalism. Options are: repairing the damaged areas or items – or, if this is not feasible, property reinstatement. If you turn out to be underinsured, NN guarantees that you will be compensated for the full damage.

Installation Services

If you offer installation services, you can take out insurance to cover material damages, damages to equipment, and the costs of setting up and removing auxiliary equipment – as well as the theft of these items. The insurance covers not only you, but also your client, the builder and subcontractors.

Final Words of Advice

This is just a selection of available insurances, and just two words of advice remain. Do not forget to arrange legal aid insurance (rechtsbijstandverzekering; because navigating the law in another country and language can be a considerable challenge. And second, be sure to check exactly which issues are covered by the insurance you are considering so as to avoid unpleasant (and avoidable) surprises in the future.