Which insurance do I need when I become self-employed in Germany?
In short
When you become self-employed in Germany, only health insurance is compulsory for everyone, from about EUR 270 a month in the public system. Which insurance do you need on top? Professional or business liability, often EUR 60 to 300 a year, daily sickness benefit, disability cover and your own pension, because the protection through your employer ends.
Guide values from published 2026 premium examples, depending on job, age and health.
Example
Typical range
Public health insurance, minimum contribution incl. care
about EUR 270 to 290 a month
Public health insurance, maximum contribution incl. care
about EUR 1,200 to 1,270 a month
Professional liability, IT freelancer or developer
about EUR 120 to 300 a year
Business liability, office, consulting, administration
about EUR 60 to 200 a year
Daily sickness benefit EUR 150 from day 29, age 35
about EUR 76 to 150 a month
Disability cover EUR 1,500 a month, age 30, office job
around EUR 70 a month
Guide values as of October 2026 from publicly quoted examples.
The totals in the worked example are a guide value from our quoting practice.
Your premium depends on job, profit, age and health; we obtain the exact quotes for you.
Worked example
IT freelancer, 35, right after starting
This is how the monthly budget adds up with private health insurance and the main gaps closed.
Private health insurance with care and sickness benefit
about EUR 800 to 1,100
Professional liability, EUR 120 to 300 a year
about EUR 10 to 25
Disability cover, EUR 1,500 a month
about EUR 70 to 100
Voluntary unemployment insurance
only if applied for within three months
Together about EUR 880 to 1,225 a month, before retirement savings. Build this into your rates.
What is compulsory when you are self-employed
Everyone living in Germany must have health insurance, set out in section 193 (3) of the Insurance Contract Act (VVG) for private cover. Long-term care insurance (Pflegeversicherung) comes with it.
Pension insurance is compulsory only for the groups listed in section 2 of Social Code VI (SGB VI). Some chamber professions, such as lawyers and tax advisers, must prove professional liability cover before they may practise.
Insurance
Compulsory when self-employed?
Health and long-term care insurance
yes, for everyone
Statutory pension insurance
only for the groups in section 2 SGB VI
Professional liability
only in certain professions, such as lawyers and tax advisers
Unemployment insurance
no, possible on application
Statutory accident insurance
depends on the sector, otherwise voluntary with the trade association (Berufsgenossenschaft)
What you lose without an employer
As an employee you get six weeks of continued pay when ill, then sick pay. Once self-employed, you have no public sick pay unless you file an election (Wahlerklärung), and even then the fund only pays from the seventh week.
Unemployment insurance also ends. Under section 28a SGB III you can continue it if you were insured for at least twelve of the 30 months before and apply within three months of starting. Miss the deadline and the option is gone.
Liability: professional or business cover
Your private liability insurance (Privathaftpflicht) excludes work. If you advise, plan or write code, you need professional liability that covers pure financial loss, because a typical mistake costs your client money without breaking anything.
If you see clients, sell goods or work on site, you need business liability (Betriebshaftpflicht) for injury and property damage. For an office without walk-in clients it often costs only EUR 60 to 200 a year.
Protecting your income: sickness benefit and disability
When you are self-employed, rent, leases and insurance keep running while you are ill. Private daily sickness benefit (Krankentagegeld) from day 15 or 29 bridges the gap to week seven or replaces public sick pay altogether.
Disability insurance (Berufsunfähigkeitsversicherung, BU) pays if you can no longer work in your job for the long term. Take it out early, because every year and every new diagnosis makes it more expensive.
Retirement without a compulsory pension
If you are not covered by section 2 SGB VI, nothing goes into the state pension any more. Voluntary contributions are possible under section 7 SGB VI, and private plans work as well. What matters is a fixed monthly amount, even in weak months.
When you need less
If you start a side business and stay employed, health, pension and unemployment insurance usually continue through your job. Then the main new need is liability cover for the self-employed work.
Contents cover for office equipment only pays off if a fire or burglary would really hurt you. A laptop in your home office may already be covered by your household contents insurance (Hausrat), so check that first.
Step by step
Before you start, decide: stay public or go private, and whether to opt into sick pay.
Check whether your work falls under compulsory pension insurance in section 2 SGB VI.
Decide within three months whether to continue unemployment insurance.
Choose liability cover that fits your work: financial loss for advice, injury and property for trades and retail.
Take out sickness benefit and disability cover while you are healthy.
Set a fixed monthly amount for retirement.
Checklist
Health and care insurance from day one
Sick pay or daily sickness benefit sorted
Unemployment insurance application within three months
Professional or business liability with a suitable sum
