Today, there are 900,000 digital freelancers in France (IT developers, graphic designers, consultants, etc.)* and 3.6 million independent workers in all sectors. Unfortunately, self-employed workers do not enjoy the same rights as salaried workers in terms of social protection. However, rest assured it is possible to protect yourself well! Here are 8 tips to help you.
[*] according to Anthony Hussenot, professor at the University of the Côte d'Azur, expert in organization theory in the Journal des Entreprises of January 2022Tip #1: Make sure you understand the difference between health insurance and life insurance
Very often, freelancers get health insurance and life insurance mixed up. However, these insurances offer very different guarantees which complement each other. Health insurance covers your health costs while life insurance allows you to maintain your income in the event of sick leave. In the event of long sick leave or long-term convalescence, health insurance is essential, since it will cover and allow you to smooth out your health expenses over time. Life insurance, also called income maintenance, will allow you to maintain your income during your convalescence.
Tip #2: AN-TI-CI-PATE
Any type of insurance contract is preventive. This means you need to take out an insurance policy before an accident occurs or an illness is diagnosed. Even if you are at the beginning of your self-employed activity, it is important to be well insured. In fact, pension contracts cannot be taken out or are increased if you have a health history, for example.
Tip #3: Make sure you have 3 to 6 months of cash in advance
It is important to be able to prepare for possible absences or interruptions of activity, linked to a health concern. This precautionary cash can allow you to cope in the event of a short shutdown for short interruptions of activity or a long shutdown to save time to collect life insurance benefits.
Tip #4 Know your rights according to your status
In the event of sick leave, benefits may vary depending on your status. It is therefore important to know your rights! Here is a small summary table by our our partner Wemind, the neo-insurance for self-employed workersTip #5 Be vigilant about the level of guarantee included in your life insurance contract!
Most life insurance contracts include coverage in the event of accidents, but hospitalization and illness are often excluded. However, most long-term sick leave is due to hospitalization or illness! So be careful that these three levels of guarantees are included in your contract. Options such as a pension for the education of your children or for your spouse are also possible depending on your needs.
Tip #6: Make sure you understand your health insurance
The social security system only covers a portion of your medical costs. It is therefore important to know to make sure that you have good health coverage, i.e. high coverage between 120 and 150%, on medical expenses (general practitioner, blood test, hospitalization costs, etc.). Paramedical expenses may also be covered, such as optical, dental or alternative medicine charges.
Tip #7: Get in touch with your accountant
Created under the French Madelin law, tax deductions are possible: you may deduct health insurance and life insurance expenses, and even your retirement savings plan, from your taxes on your company. Do not hesitate to contact your accountant to find out more!
Tip #8: Compare and share with your peers!
There are several reference sites and influencers that you can check online to help you choose your health insurance and your life insurance. What better than user feedback to help you? For example, you can exchange with the Slack community of Comet.
Do not hesitate to ask for a quote estimate or to meet different insurers and make comparisons before making a decision.
A more ethical and sustainable future of work
Comet has set itself the mission of making freelancing sustainable and ethical. Positioning and services that delight the 10,000 experts in its community with long assignments, a dedicated account manager for each freelancer before, during and after a assignment and unique services that promote the well-being of freelancers, such as the payment of invoices on receipt each month (and not 60 days later), professional liability insurance, access to training, coworking spaces and exclusive content from our partners.
Did you like this topic? Watch our webinar dedicated to social protection for freelancers with our partner Wemind, the neo-insurance for freelancers.