Which insurances do you really need as a freelancer?
A decision guide to freelancer insurance: mandatory vs strongly advised vs optional, by profession, prioritised on a tight budget.
The insurance question is uncomfortable: you're a new freelancer with thin margins, and suddenly everyone is selling you policies. "You need disability insurance." "What about liability?" "What if something goes wrong?" This post cuts through the noise. It prioritises insurance into three tiers: mandatory (you have to buy), strongly advised (you almost certainly should), and optional (depends on your situation). Then we match them to common professions so you can work out what you actually need.
The three tiers
Tier 1: Mandatory
Health insurance (zorgverzekering) — required by law. You can't opt out. Budget €110–150/month, plus the income-dependent Zvw contribution (~5% of profit). No choice here.
That's it. Everything else is voluntary, though some are practically essential.
Missing health insurance is a legal and financial trap
The tax authority issues hefty fines for non-compliance. And if you're injured and uninsured, you pay medical bills out of pocket. It's not worth the risk.
Tier 2: Strongly advised
Disability income protection (AOV or broodfonds) — if you get sick or injured and can't work, your income stops instantly. You have no employer sick pay, no benefits. This is the biggest financial risk for a freelancer.
- If your income is under €3,000/month: a broodfonds (€20–60/month) is sensible and affordable.
- If your income is €3,000+/month: a private AOV (€80–150/month) is wise. It's protection you can rely on.
You can also skip this and rely on savings (if you have a 6–12 month buffer), but most freelancers don't.
Liability insurance (BAV or AVB, depending on your profession):
- If your work can cost a client money (consultant, accountant, designer, etc.): BAV (professional liability).
- If your work involves on-site presence or physical items (tradesperson, event worker, delivery, etc.): AVB (general liability).
- If clients require it: you have no choice. Many contracts specify a minimum cover.
Both run €30–150/month depending on profession and income. If you're starting and costs are tight, get a quote but don't panic if you can't afford it immediately — just get it before taking on higher-risk clients.
Let ZZP Belasting do the maths
Automatic BTW returns, income-tax forecasts and depreciation — from the invoices you already have.
Try it freeTier 3: Optional (situation-dependent)
Business contents insurance — covers your equipment, tools, and stock if they're damaged, stolen, or lost. Cost varies hugely. Optional if your business assets are low (digital freelancer) or replaceable (you have a small budget loss). Essential if you have €10,000+ in equipment.
Professional indemnity add-ons — some professions have specialized extra covers. Ask your insurer what's available.
Cyber insurance — for freelancers handling sensitive client data or who are targets (designers, developers, consultants). Not common yet but growing. €30–80/month.
Legal expense insurance (rechtsbijstand) — covers lawyer fees if you get into a dispute with a client or the tax authority. €20–40/month. Helpful but not essential unless disputes are common in your field.
By profession: what you probably need
| Profession | Health | AOV/Broodfonds | BAV | AVB | Notes |
|---|---|---|---|---|---|
| Consultant / Coach | Yes | Strongly | Yes | Optional | Clients often require BAV |
| Accountant / Tax advisor | Yes | Strongly | Yes | Optional | BAV essential; very likely required by clients |
| IT Developer / Designer | Yes | Strongly | Possibly | Optional | BAV if you advise; AVB if on-site |
| Writer / Translator | Yes | Advised | No | No | No liability risk; skip insurance if budget is tight |
| Photographer | Yes | Strongly | Possibly | Yes | AVB for events; BAV if you advise clients |
| Electrician / Plumber / Tradesperson | Yes | Strongly | No | Yes | AVB essential; high physical risk |
| Hairdresser / Beauty therapist | Yes | Strongly | No | Yes | AVB covers injury risk; personal care = liability |
| Event organiser / Production | Yes | Strongly | Possibly | Yes | Both AVB (physical risk) and BAV (client loss) common |
The budget-tight prioritisation
If you can't afford everything, here's the order:
- Health insurance (mandatory, non-negotiable)
- AOV or broodfonds (your income is your livelihood; protect it)
- Liability insurance required by clients (get quotes, negotiate rates, or delay costly clients until you can afford it)
- Liability insurance for genuine risk (only if your work truly carries risk)
- Nice-to-haves (cyber, legal expense, contents)
On a tight budget, buy #1 and #2. Get liability only if:
- A client requires it in their contract
- Your profession carries genuine physical or financial risk
- You have the cash flow
Once you're stable (6+ months in), add liability. It's a scale: a solo designer might skip BAV but a consultant needs it.
How to get insurance cheaply
- Get quotes from 2–3 providers. Most give quotes free. A 15-minute comparison might save €20–40/month.
- Bundle policies. Buy health + AOV + liability from the same insurer and ask for a bundle discount (often 10–15%).
- Increase your excess (deductible). A higher excess (pay more out-of-pocket per claim) lowers the premium. If you rarely claim, this saves money.
- Delay non-critical insurance. Skip cyber and legal expense insurance until you're profitable.
- Annual review. Your risk profile changes. Re-quote every year.
Don't over-insure yourself into poverty
Insurance is risk transfer, not perfection. You can't insure against every bad outcome. Buy what protects your income and covers genuine liabilities. Skip the rest.
The checklist
Use this to decide:
- Do I have legal health insurance? (Yes = proceed; No = buy immediately)
- Is my income my sole livelihood, with no other income stream? (Yes = add AOV/broodfonds)
- Do my clients require liability insurance in their contracts? (Yes = add BAV or AVB as specified)
- Does my work carry physical risk (on-site, equipment, injury)? (Yes = consider AVB)
- Does my work carry financial risk (advice, professional mistakes)? (Yes = consider BAV)
- Do I have €10,000+ in business equipment? (Yes = consider contents insurance)
- Do I handle sensitive data or operate in a high-dispute field? (Yes = consider cyber or legal expense insurance)
If you answer "yes" to the first one (you must), then work down. Each "yes" below that is a case for adding that insurance.
Can I start without liability insurance?
Do I need all five types?
What if I make a loss in my first year?
Freelance insurance isn't one-size-fits-all. But the core is simple: mandatory health, essential disability, and profession-specific liability. Everything else is a bonus. Build your coverage as you grow, and revisit it annually. ZZP Belasting helps you forecast your profit so you can see where insurance fits in your budget and what you can actually afford to prioritise.