Being a self-employed worker comes with a long list of benefits, but also the responsibility to protect yourself and your freelance career from risk. Your best bet is to ensure you have all the coverage you need, especially since your only source of income is now...you!
Illness, accident, , computer crash, client injures themselves on your property, or disaster strikes… There’s always a risk that your professional activities can be disrupted. It is essential that you acquire sufficient insurance coverage, particularly when you work for yourself. Contact your insurance broker o set up a personalized protection plan that meets your specific requirements.
To help you get started, here is a list of the main insurance products that you may need to explore now that you are a self-employed worker.
Business insurance for self-employed workers
There exists a type of business insurance specifically designed for self-employed workers, which ensures adequate protection based on your professional activity. This insurance can include protection related to civil liability, property intended for professional use, cyber risk, fraud, and any loss of revenue that may arise from risks being covered by the policy.
This type of insurance is needed when you work from home and your house insurance does not cover professional activities—for example, if you’re an artist or you own several valuable works of art.
It’s important to understand that business insurance for self-employed workers is based on your specific needs and professional profile. These needs can vary greatly from one profession and individual to another, and your insurance broker can put together an insurance policy tailored to your specific situation.
Home insurance and insurance for property intended for professional use
If you work from home, you also need to make sure that all equipment intended for professional use is adequately covered by your home insurance’s eligibility criteria. If it is, be sure to ask about the maximum compensation you are entitled to in the event of theft, disaster, or other risk. As a general rule, you will be required to add supplemental insurance to your policy or subscribe a specific insurance policy for your professional activities
Remember it’s vital to let your insurance company or broker know that you’re working from home! If ever you need to file a claim, any omission of information could reduce your settlement and you may risk encountering issues when trying to get reimbursed.
Liability insurance
As a general rule, home insurance offers coverage for your private life; therefore, it most likely will not cover you in the event a client is injured in your home or if your professional activities cause damage to the property where you’re working. Most insurance companies allow you to add additional coverage to your home insurance, under specific conditions that are determined by the services you offer. It’s important to speak to your broker to ensure that you have sufficient coverage. The broker will work with your best interest at heart and adjust your contract accordingly in order to offer you the right coverage.
Professional liability insurance
Anyone can make a mistake. Professional liability insurance exists to protect you should you ever face a lawsuit related to a professional error or omission. This insurance is critical, and many Quebec professional associations require mandatory professional liability insurance for all members.
Car insurance
Are you required to use your personal vehicle to conduct business? Be sure to let your insurance company know. Adequate coverage is required to protect you - in the event of a car accident that may occur while conducting business.
Note that car-insurance policies do not cover the contents of vehicles, nor any material for professional use that you may transport in your vehicle. This must be included in your business insurance policy. Contact your insurance broker for any changes related to the use of your vehicle for business purposes such as delivery service or paid ride-sharing so they can give you proper protection.
As a self employed worker, you are embarking on a wonderful adventure. Make sure to contact your insurance broker to help you navigate all of your insurance options in order to acquire adequate coverage for your complete peace of mind. Your AccèsConseil insurance broker is there to help you navigate various insurance options that meets your specific needs and budget. Contact us today!
Special collaboration with François Nadeau, Damage Insurance broker at AccèsConseil.