The bill ensures that self-employed people also have income if they become incapacitated for work.
The Basic Insurance for Self-Employed Persons Basic Insurance Act recently went into internet consultation. This internet consultation gives citizens, companies and institutions the opportunity to obtain information about legislative proposals via the internet and to give their suggestions. The bill concerns mandatory insurance against loss of income in the event of disability for self-employed persons. This can be done through both public insurance and private insurance that meets specific conditions.
The proposal led to different reactions, especially from self-employed people concerned about the financial implications. A taxi driver responded: “I am a small business owner and I simply cannot afford to pay 175 euros every month.” This ruling highlights concerns about the affordability of mandatory insurance for small entrepreneurs.
The bill is intended to ensure that self-employed people receive income if they become incapacitated for work. This reduces the differences between employees and the self-employed, as well as the differences among the self-employed themselves. For many self-employed people, such as taxi drivers and other small entrepreneurs, this represents a significant change, as there is currently no compulsory disability insurance for them.
criticism
Frank Hermans expressed his criticism of the proposal: “The VVD has promoted independence and did not see the misery of hundreds of thousands of uninsured people coming. This 'fix' is too little too late, but better than nothing.” His words reflect the frustration of many who believe that they waited too long to provide a solution for the social security of the self-employed.
Many self-employed people currently have some social security through a bread fund. In a bread fund, members receive financial support in the event of temporary or permanent disability for a maximum of two years. A response to the proposal suggests: “It therefore seems logical and desirable that an exception be made for bread fund members, so that they can take out insurance that only pays out after two years of disability. In this way, Bread Fund members are constantly provided with income in the event of disability, society does not incur unnecessary costs and Bread Fund members can take out significantly cheaper insurance.”
Concerns about the costs of the proposed insurance are widely shared. Hoffmann from Den Bosch noted: “We self-employed people have bread funds and other means to ensure financial security. Around 2400 euros per year is ridiculously high for what we are offered: 1 year waiting period for a benefit equal to the minimum wage. This will also be a major problem, especially for many people who are considering working as a self-employed person, because you often have little profit at the beginning.”
The proposed legislation introduces a waiting period of 52 weeks before the insured person can claim disability benefits. This means that self-employed people have to wait a year before receiving benefits, which is considered unrealistic and financially unfeasible for many.
The responses to the internet consultation show a wide range of opinions and concerns, mainly focused on the financial burden that mandatory insurance entails. The bill clearly has an impact on self-employed people, who are already indicating that the proposed contribution of 175 euros per month can be a heavy burden.
The government now faces the task of carefully considering these responses and making possible adjustments to make the law fair and feasible for all self-employed people involved.
