Business interruption for self-employed professionals
Business interruption insurance pays for the loss of your gross profit after covered material damage, and it is precisely that condition which determines whether this policy comes into the picture at all for a self-employed professional (zzp'er).
The calculator and the quote form below are in Dutch. Prefer to do this in English? Email info@finassverzekert.nl or call 072 - 509 24 56 and we will take it from there.
Work out your own premium with the calculator.
Enter your details; you will receive a proposal within one working day.
We compare the offerings of several insurers
An adviser checks whether the cover suits your activities
A premium indication, not personal advice. Prefer to talk it through? Call 072 - 509 24 56.
In brief
The cover only takes effect once something has first been damaged: fire, burglary, storm, water from a burst pipe, or another covered cause affecting your premises, contents or goods. Without that material damage the policy does not pay. Assignments falling away, a client going bankrupt, an empty order book or your own illness are not covered causes. That distinction is the heart of it: this is consequential loss cover, not income protection.
The sum insured is the annual gross profit: your turnover minus the costs that fall away by themselves during a standstill. For a self-employed professional with no staff and no large business premises, that item is sometimes small, while the additional costs of keeping going are large: replacement workspace, hired equipment, a courier, temporary help. In that case additional costs insurance fits better. Those two forms are often confused when quotations are compared.
Two provisions deserve attention when taking out the policy. Article 7:960 of the Dutch Civil Code prohibits a payment above the loss actually suffered, so over-insuring does not help; declaring too little leads instead to a proportionate payment. And Article 7:941 of the Dutch Civil Code requires you to report the loss as soon as you are aware of it, which with business interruption is earlier than many business owners think: the day of the fire, not the day you calculate the loss of turnover.
What does business interruption cover for self-employed professionals cover?
The structure of the cover in three parts, with an overview per situation below.
The basics
Liability
AVB for property damage and injury, BAV for professional errors.
Damage to third parties
Employers' liability
Care, custody and control as an extension
Your business
Assets and continuity
Business contents, goods and lost turnover during downtime.
Business contents at replacement value as new
Goods at cost price
Business interruption or additional costs
If you employ people
Staff
Sickness absence, accidents and the traffic risk.
Continued pay for 104 weeks
Group personal accident
WEGAS for traffic risks
What is covered
Situation
AVB
BAV
Cyber
Injury to a visitor or customer
Yes
No
No
Damage to a client's property
Sometimes
No
No
Financial loss caused by an advisory or calculation error
No
Yes
No
Downtime after a ransomware attack
No
No
Yes
Data breach involving personal data
No
Sometimes
Yes
Damage to property in your care
No
No
No
This overview is general in nature and is not personal advice. What is actually covered, including exclusions, limits and the excess, is set out in the policy conditions and the insurance card (verzekeringskaart) of the insurer; you receive both before you take out cover. Taking out cover without advice? Then read what execution only means for you.
Where things go wrong in practice
Four points that make the difference between a policy that pays out and one that does not.
No material damage, no business interruption loss
If the work stops because of a power cut on the network, a failure at your hosting provider, an access road dug up or a client going under, nothing of yours has been damaged and the policy does not pay out. Only with separate clauses, such as failure of utilities or dependence on a supplier, do those causes come within the cover. Ask about them expressly; they are not included as standard.
The indemnity period is the real choice
The period determines how long the loss is paid for, not how much. If you choose a short one and the rebuilding takes longer because of a permit, the delivery time for specialist equipment or a contractor who cannot start sooner, the gap falls at the end. Take into account as well that customers go elsewhere during the standstill and do not all come back; turnover is rarely back up to level straight after reopening.
Fixed costs do not stop during a standstill
Rent, lease instalments, subscriptions, insurance premiums and a hired assistant run on while nothing is coming in. That is precisely the item this insurance covers. Your own income is not included if you are the one who is out of action: that is incapacity for work and belongs with disability insurance (AOV). Work both scenarios through separately before you decide which policy takes priority.
What the policy does not pay out
Excluded are incapacity for work and death, penalties and contractual damages payable to your client, standstill through government measures or a pandemic, digital interruption without material damage, and loss arising from deferred maintenance or an inherent defect. Deliberate acts and reckless conduct remain excluded under Article 7:952 of the Dutch Civil Code. If the gross profit declared is too low, you also carry the difference yourself.
What does your premium depend on?
Annual gross profit — Turnover minus the variable costs that fall away during a standstill; this is the sum insured and the basis.
Indemnity period — The period over which the loss is paid, matched to the rebuilding time and the delivery time for equipment.
Nature of the work — Working with fire, wood, fat or dust leads to a higher fire class than office or advisory work.
Construction type and use of the building — Construction, roofing, neighbours in the same building and whether you work at home or elsewhere.
Dependence on a location or a machine — Anyone depending on a single workplace or machine with no fallback needs a longer period.
Excess in days and claims history — The waiting period before payment begins, together with earlier claims, determines the premium.
Insurers weigh these details differently. That is why comparing pays off.
How we arrange it
You request a quoteWe take stock of your activities, turnover and wishes.
We compareseveral insurers, on premium as well as conditions.
You receive a proposalWith an explanation of the differences and the exclusions.
We arrange the switchIncluding cancellation, so there is no gap in cover.
Customers rate our service on four aspects: personal service, service delivery, availability and the outcome. The reviews are collected and published by NH1816 and come from customers who have actually taken out a policy with Finass Advies B.V. or reported a claim.
I fall ill and cannot work. Does this insurance pay?
No. There is then no material damage to your premises, contents or goods, and that is the condition on which this cover takes effect. Absence through illness or an accident belongs with disability insurance or a broodfonds (a Dutch mutual sickness fund). For most self-employed professionals that risk is greater than fire, and therefore the first policy to work through.
I work from home. Can I insure this then?
Yes, but not on your private policies. An ordinary home contents insurance (inboedelverzekering) usually does not cover business use, or covers it only to a limited extent. Report the business use of your home to the insurer and arrange the business contents, your tenant's improvements and the business interruption cover separately. Concealing it bears on your duty of disclosure and can stand in the way of payment on a later loss.
What is the difference from additional costs insurance?
Business interruption insurance pays the gross profit you lose. Additional costs insurance pays the costs you incur in order to keep working: replacement space, hired equipment, subcontracting. Anyone who can move elsewhere quickly and has few fixed costs is often better and more cheaply served by the second form.
What happens if I declare my gross profit too low?
Then you are underinsured and the loss is paid proportionately: the shortfall is for your own account. If you knowingly give incorrect information when applying, that also bears on the duty of disclosure under Articles 7:928 and 7:930 of the Dutch Civil Code, and the insurer can reduce or refuse payment. Update the amount each year.
Finass Verzekert is a trading name of Finass Advies B.V. We advise on and arrange non-life insurance on the basis of an objective analysis of several insurers, and receive commission for this from the insurer, which is included in the premium. You pay no separate advice fee. Before you take out cover, we establish your wishes and needs.
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