Self-employed
Working on your own account combines management, production, and finance in one person. Therefore, the programme is sized based on the payment schedule that continues when the activity stops, and on the scope of what has been committed to with the person who hires you.
Liability, loss of income and continuity of trade
Those who work on their own account are liable with a single estate
A company is liable with its capital; in self-employment, the universal patrimonial liability of Article 1911 of the Civil Code also extends to personal assets. From this arise two decisions: the limit of civil liability is sized based on the claim that the activity may generate, and the income cover is calculated based on the fixed expenses that continue to accrue during the downtime.
Post-completion liability, with the work delivered
During the intervention, operational civil liability applies; when the defect manifests months after delivery, the applicable guarantee is post-completion. It is a guarantee decided upon at the time of contracting, because the defect that activates it appears with the intervention already delivered.
Temporary incapacity benefit and days deductible
The daily indemnity is added to the public benefit and is sized based on the expenses that do not stop with the downtime, starting with the fee. The days deductible is the variable that determines from when it is paid, and it is advisable to adjust it to the cash flow available to the business.
The declared activity and the cover certificate
The companies that hire you request a certificate with a minimum limit and, sometimes, to be listed as an additional insured. The delicate point is the description of the activity: if what you do today has expanded compared to what was declared, this aggravation must be communicated.
The limit of civil liability measured with the scale
Personal injury to a third party is assessed with the scale of Law 35/2015, mandatory in traffic accidents and applied as a guideline by the courts in the rest of civil liability. It sets an amount per sequela and per day of harm, and putting numbers to it before contracting allows setting a proportionate limit instead of inheriting the previous policy's limit.
Lo que nos preguntan en self-employed
What limit of public liability do I need as a self-employed person?
The one that withstands the claim your activity may generate, which rarely correlates with turnover. It is estimated based on the type of possible damage —personal, material, or economic— and valuing personal damage with the scale of Law 35/2015, which courts use as a reference outside of traffic accidents. With that figure, limits per claim and per annum are chosen.
Does the subsidy cover the self-employed quota during a sick leave?
The subsidy pays a daily agreed compensation, and you decide its destination: the RETA quota, the rent of the premises, and utilities continue to be due with the activity stopped. It is received in addition to the public benefit, without one deducting from the other, and begins to accrue once the chosen days' deductible is fulfilled.
I have expanded the services I provide, does the same policy serve me?
Only if the activity described in the policy still encompasses what you do now. Articles 11 to 13 of the Insurance Contract Law require the communication of risk aggravation, and an undeclared expansion allows for the reduction of compensation in proportion to the premium paid and what would have been charged. Communicating it in time keeps the cover aligned with the actual activity.