The micro-entrepreneurs and insurance

Like any business, there are insurance requirements for the micro-entrepreneurs, in fact it is compulsory to take a professional insurance to cover any damage caused by their activities and their workers. The formula should be selected according to the sector of activities and of the activities of the contractor.

The required insurance

The status of micro-entrepreneur does not imply a mandatory insurance, but these are the regulated activities which would require it. The professional liability insurance you choose depends on its sector of activities. We can mention :

  • inherent defects insurance compulsory for professionals of the building :

This insurance covers the contractor for a period of 10 years from the delivery of a real estate. She takes care of all the damages threatening the foundations of the new building delivered.

  • Insurance delivery delay

Ensure on-time delivery is one of the things that the contractor must adhere to learn more about the insurance delay in delivery .

  • professional liability insurance (RCP) for all other professionals :

This warranty covers damage that the materials and/or the workers in the micro-entrepreneur can cause to others : death following a road accident, material damage to the property of others, injury to third parties due to activities of the company, …

Insurance optional, but recommended

If the RCP and the inherent defects insurance is mandatory and will cover the damage caused by the activities of micro-entrepreneurs, the latter can apply to other types of guarantee in order to have a good coverage. We can in particular quote :

  • the liability insurance that covers the micro-entrepreneur in the case of personal injury, immaterial or material damage caused to third parties in the exercise of its activities
  • the legal protection which advises and financially supports the micro-entrepreneur in the case of a dispute with a third party
  • the insurance operating loss, which helps the company to overcome the financial difficulties caused by a disaster and can prevent it to continue its activities
  • the insurance stock and material that compensates for the micro-entrepreneur in case of damage or loss of inventory or materials

Choosing the right insurer

Before signing a contract, it is important to compare different offers in order to secure the best rates and to find the guarantees which meet your needs exactly. For all proposals, it is advisable to check for :

  • the risks covered by the contract, the guarantees proposed in option and the risks non-covered
  • the amount of the deductible that is to say, the amount that the micro-entrepreneur must pay out of pocket in the event of a disaster

In regard to the franchise, the micro-entrepreneur needs to know that when the cost of repair of the disaster is less than a minimum amount, it is up to the professional to carry it out. He won’t even need to declare it as a statement is an increase in the cost of the insurance purchased. Compare the amounts of the deductibles proposed by insurers is, therefore, essential.