Personal insurance cover
The beginning of your self-employment marks your exit from the social network. An accident or a prolonged illness can threaten your future and that of your family. You should therefore take into account your specific risks when contemplating your insurance cover.
The following risks should be covered by insurance.
Illness
Self-employed persons like all other citizens are obliged to take out health insurance. You can choose between a private health insurance and a voluntary membership in the statutory health insurance system. If however you leave the statutory health insurance system, you can no longer return to it at a later date. Get advice on this matter. Inform your health insurance company in good time if you want to become self-employed.
Self-employed persons do not get continued pay when they are sick. The health insurance should therefore cover all important living expenses during the first six weeks of illness.
We also recommend taking out daily benefits insurance. Daily benefits allowance helps you to compensate at least part of the loss in your income as a result of prolonged illness.
Accident
An accident insurance is effective in the event of invalidity as a result of an accident. The statutory accident insurance provides protection for accidents during work and on the way to and from work. Once the relevant Employer's Liability Insurance Association (Berufsgenossenschaft) has received your business registration, they will inform you whether you are covered by the statutory accident insurance.
A private accident insurance covers additional accidents at home, during your leisure time, at work and on the street around the clock.
Insurance covering occupational disability and incapacity to work An illness or an accident could result in an occupational disability or incapacity to work. We therefore recommend taking out an occupational disability insurance policy. Compare the different prices and benefits of the insurances.
Nursing care
Self-employed persons who voluntarily pay into a statutory health insurance scheme are also covered by its nursing care insurance. However, you can also take out a private nursing care insurance policy. To cover such benefits as e.g. the costs of a nursing home, you can also take out additional nursing care insurance.
Pension
Self-employed persons can voluntarily pay into the statutory pension insurance scheme. Get advice as to whether it is worthwhile continuing to pay contributions on a voluntary basis. Please note that for some self-employed persons (depending on the industry) there is compulsory insurance in the statutory pension insurance scheme. There is also the possibility of making private provisions for old-age and family.
Release note
The German original version of this text was drafted in close cooperation with the relevant departments. The Wirtschaftsministerium released it on 31.07.2018. Only the German text is legally binding. The Federal State does not assume any liability for the translated texts.
In cases of doubt or if you have any questions or problems, please contact the relevant authorities directly.