Insurance of the individual contractor

Verified 07 July 2026 - Entreprendre Service Public / (Prime Minister)

Want to set up an individual business? Depending on the activity carried out, you are subject to the obligation to take out certain insurance.

An individual business may be subject to the obligation to take out certain insurance depending on its activity. One professional property and casualty insurance is an adaptable contract that allows you to choose the scope of the guarantees. All compulsory insurance can therefore be combined in this property and casualty insurance.

Property insurance

Vehicle Insurance

If you own or rent one or more vehicles, you must be insured for each of these vehicles.

You must take out insurance for vehicles you use in the course of your professional activity .

This insurance covers all journeys made in the professional context. It makes it possible to cover liability of the driver to compensate for damage caused during the use of a vehicle. It can also guarantee against theft, fire or ice breakage.

It must be taken out with an insurance company authorized to carry out insurance operations against accidents caused by the use of motor vehicles.

The cost insurance varies depending on the number of vehicles you own.

Insurance of the premises

If you are tenant from your premises, you must take out insurance. It may also cover company material, fittings and stocks.

Insurance allows you to be covered if any of the following events occur :

  • Fire
  • Explosion
  • Water damage
  • Natural disaster

You can also foresee other risks to be guaranteed according to your needs: theft, infringement, etc.

The cost your insurance varies depending on the size of your premises and the municipality in which they are located.

FYI  

If you own your premises, you are not subject to the insurance obligation of the premises, however this is strongly recommended.

Employee insurance

If you have employees, you must take out insurance called supplementary social protection for employees to enable them to benefit from a mutual health insurance.

The company must participate in height of 50% minimum the financing of the mutual insurance scheme for its employees.

You negotiate the insurance contract with the insurer. You can therefore extend the benefit of this social protection to the children and spouses of your employees.

The cost insurance varies according to the number of employees and the turnover of the business.

Insurance of the activity

Some regulated activities or regulated professions may be subject to an insurance obligation in order to cover the risks associated with the exercise of the profession.

Depending on the activity concerned, this obligation may include professional indemnity insurance (RCP). This is the case, for example, for certain legal professions such as lawyers or certain health professions such as nurses.

One ten-yearly liability insurance (or ten-year warranty manufacturers) is also required for certain building professions, such as the painter in building.

Even when you are not required to insure for your business or premises, it is highly recommended to take out insurance to guarantee certain risks. Here are a few examples.

Supplementary health insurance of the head of company

You can take out health insurance that allows you to select levels of reimbursement on the types of care you choose. This may include medical care, dental and optical equipment, and hospitalization.

You can benefit according to the plan you choose the following advantages :

  • Reimbursement in case of excess of fees
  • Support for certain dental care and orthodontic treatment of your children
  • Full or non-full reimbursement of glasses lenses

The cost of insurance will vary depending on your activity and options that you choose.

Micro-insurance

Microinsurance provides access to insurance contracts at reduced cost and that meet the needs of a VSE. VSE is understood to mean companies using less than 10 employees and of which annual turnover or total balance sheet is less than €2 million.

To benefit from it, we must respond to certain conditions :

  • Be at the beginning of the activity
  • Do not need to build up large stocks
  • Be followed by a company creation support network with funding

It allows to choose the guarantees, e.g. professional civil liability, complementary health.

To take out professional insurance, the company can contact an insurance company directly or call on an insurance broker.

Subscribe with an insurance company

The insurance companies offer guarantees adapted to the activity carried out by the individual businessand his needs. They can also advise the company on compulsory or recommended insurance depending on the risks associated with its activity.

Subscription can generally be made:

  • in agency
  • by phone
  • directly online, depending on the company

The insurer asks in principle several pieces of information to assess the risks to be covered, in particular:

  • the company's activity
  • its turnover
  • the number of employees
  • the premises or equipment used
  • history of potential claims

On the basis of these elements, the insurer establishes a quotation specifying the proposed guarantees, exclusions, compensation limits and the amount of the contribution.

Using an insurance broker

The individual contractor may also call upon a insurance broker. The broker acts asintermediary between the company and insurance companies.

He supports the company in the search for a contract adapted to its needs and can compare several offers on the market. It can also help the company better understand the guarantees offered, the exclusions from coverage or the recommended level of protection depending on the activity carried out.

Please note

The use of a broker can be particularly useful when the company is engaged in an activity that presents specific risks or requires several insurance contracts.

Insurance compensation deadlines are governed by regulations in order to ensure prompt payment of claims.

1. Treatment of the claim by the insurer

After the declaration of a claim, the insurer has a period of time to analyze the situation and propose compensation. When the file does not require expertise, the insurer must present an offer of compensation in a 2 months delay.

On the other hand, if an expertise is necessary to assess the damage, this period is extended and may go up to 6 months. This phase makes it possible to determine precisely the extent of the loss and the amount of compensation.

2. Payment of compensation

Once the insured accepts the offer of compensation, the insurer must proceed quickly with its execution. It has a one month delay to arrange repairs when necessary.

Where the compensation takes the form of a financial payment, it must be made in a 21 days.

Any contract can be terminated at any time after one year of engagementwithout charge or penalty and without the insured having to justify his decision.

Please note

When an insurer terminates a contract (unilateral termination of the insurance contract), it is required to clearly explain the reasons.

Where an insurance company refuses to guarantee a company for a risk which is nevertheless subject to an insurance obligation, the individual entrepreneur may, after 2 refusals from insurers, refer the matter to the Central Pricing Office (CPO).

Who shall I contact

  • By phone

    +33 (0)1 53 21 50 40

    From 9am to 11:45am

    By courier

    bct@agira.asso.fr

    By post

    26 boulevard Haussmann

    75311 Paris cedex 09

The BCT then sets the amount of the premium which the insurer will have to apply to guarantee this risk.

Warning  

The central pricing office shall be competent only for the following insurance:

  • Motor Vehicle Liability
  • Construction insurance (ten-year liability/damage to works)
  • Insurance of natural disasters
  • Medical Third Party Liability Insurance
  • Civil liability insurance for tenants, co-owners and syndicates of co-ownership

FAQ