Disability (AOV) and mandatory insurance

Written by Ilias Aarrass7 min read · Published on 10 May 2026 · Last reviewed on 15 September 2026

In short

Disability insurance is not mandatory in 2026; you deduct the premium as an income-provision expense in your income tax return, and any later benefit is taxed in box 1.

The bill for a basic disability insurance for the self-employed has been before parliament since March 2026.
Under that bill the premium is 5.4 per cent of profit, capped at around 171 euros a month, with a two-year waiting period.
Insured amount, waiting period, end age and incapacity criterion together set what you pay.
A mutual aid fund usually supports you for two years at most and is not insurance.

As a freelancer you have no employer who continues paying your salary if you fall ill. If you become disabled long-term, your income disappears. A disability insurance (AOV) can cover that. In addition, work is being done on a mandatory insurance. This article explains how it works.

What is a disability insurance?

A disability insurance pays out an amount if you can no longer work due to illness or an accident. This way you keep income, even if you're temporarily or long-term out of action. The premium and the cover differ per insurer and depend on your profession, age and desired payout.

Is a disability insurance mandatory?

At the moment a disability insurance is not mandatory for freelancers; you choose yourself whether to insure. However, the government is working on a mandatory disability insurance for the self-employed. The exact arrangement and start date of it may still change, so keep an eye on developments.

Is the premium deductible?

The premium of a disability insurance is deductible for a freelancer with a sole trader business, but not as business costs. You deduct the premium as an expense for income provision in your income tax return. The later payout is then taxed. Take this into account in your planning.

What alternatives are there?

Besides a regular disability insurance there are alternatives, such as a 'broodfonds', where a group of self-employed people temporarily support each other during illness. You can also build a buffer yourself. Each solution has pros and cons in terms of costs and certainty; choose what suits your risk and situation. See also the overview of business insurance.

Four dials that set your premium

Premiums between two freelancers in the same trade can differ by hundreds of euros a month. That is almost always down to these four choices, not the insurer.

The insured amount. Insure what you need to cover your fixed costs, not your entire turnover.
The waiting period: how long you bridge yourself. Going from two weeks to a year saves a lot of premium, but demands reserves.
The end age. Running to state pension age costs more than a policy that stops earlier.
The incapacity criterion. A policy that asks whether you can still do your own trade costs more, but pays out sooner than one that looks at any suitable work.

The mandatory disability insurance: where does it stand?

A mandatory disability insurance for the self-employed has been discussed for years. The bill for a basic disability insurance for self-employed people was submitted to parliament in March 2026 and is being debated there now. Under the proposal the premium is 5.4 per cent of profit, capped at around 171 euros a month, with a two-year waiting period and a benefit of at most the minimum wage. Those figures can still change during the debate.

Important for your planning: even if the law passes, implementation will take years. After debate in both chambers the scheme still has to be implemented, and the government itself counts on several more years. So for now you remain responsible for your own safety net, and waiting for the mandatory version means years without cover.

The four dials that set your premium

Two freelancers with the same income can pay premiums that differ by a factor of two. These four choices are why.

What determines a disability insurance premium
Dial	Effect on the premium	What to watch
Waiting period (own risk period)	Waiting longer lowers the premium sharply	Only sensible with a buffer covering that period
Insured amount	Directly proportional	Insure your fixed costs, not your full turnover
End age	Running to state pension age costs more	A shorter term is cheaper but leaves a gap
Occupational class	Physical work is considerably more expensive	Based on your actual work, not your SBI code
The premium in your tax return	Deductible as an income provision expense	The later benefit is then taxed in box 1

Frequently asked questions

Is disability insurance mandatory for freelancers in 2026?

No. The bill is before parliament, but the scheme is not yet in force, and even once passed the rollout will take years. Until then you choose whether to insure yourself.

Is my disability insurance premium deductible?

Yes, but not as a business cost. You deduct the premium as an income-provision expense in your income tax return. In return, any later benefit payment is taxed in box 1.

What is a waiting period and why does it matter?

The period between falling ill and the first payment. A longer waiting period substantially lowers your premium, but you must bridge those months yourself. Match it to the reserves you have.

What is a bread fund and does it replace insurance?

A group of entrepreneurs who support each other temporarily during illness, usually for up to two years. It is not insurance and does not cover long-term incapacity. Many freelancers therefore combine it with a policy that starts paying after two years.

What happens if I fall ill without cover?

Your income stops while your fixed costs continue. There is no safety net as for employees; social assistance only comes into play once your savings are gone as well. See ill without cover.

Can I take out cover through a BV?

Yes. The BV can take out the policy and deduct the premium as a business cost, but then the benefit is taxed at the BV. The outcome differs per situation, so have it calculated.

Sources

Plans for mandatory disability insurance for the self-employedRijksoverheid · rijksoverheid.nl

Sources checked on 15 September 2026

This article provides general information based on the rules known for 2026 and does not replace personal tax advice. For your specific situation, we're happy to take a look with you.