SICK PAY SELF-EMPLOYED INSURANCE
This article is mainly directed at Artisans, Commerçants and people who work for themselves, who moan all the time about having to pay their cotisations to URSSAF!! Well, I can’t please everyone all the time!
I found out the other week that some people did not know that they are entitled to some benefits from CPAM if they are off sick even though they are self-employed!
Yes, it may come as a surprise to you but your cotisations are not for the French government but to pay for illness, accidents, pensions, unemployment, invalidity and even death!
So, let’s have a look at how much you are entitled to and why you might also need extra insurance to complement it. Note that all the figures below are up to date for 2025.
- What you are entitled to:
- Death: OK, I’ll start with the worst one. When you die, Cpam will pay a lump sum to your spouse, your children or your rightful heir. The capital paid is 9 420 € if you were still working or 3 868 € if you were retired but have worked and accumulated at least 80 quarters. There is also an amount of 2355€ per child under the age of 16 and still under your tax form or under 20 if studying and under your tax form)
- Invalidity: If you are an invalid and cannot work anymore, Cpam gives you 50% of your average yearly revenue. This will be given to you until you retire. This is based on the average of your best 10 years of work. Minimum of 728.69€ per Month and maximum of 1962.50€ per Month.
- Partial Invalidity: If you have partial invalidity that stops you from working, you get 30% of your best 10 years average revenue. Minimum amount of 517€ per Month and maximum of 1177.50€ per Month.
- Incapacity and sickness: In France, it is called “Indemnités Journalières” and it means that CPAM gives you a revenue equal to 1/730 of your average yearly revenue of the last 3 years if you are off work due to health problems. Maximum 64.52 € per day. This is given to you from the 4th day if you are sick or hospitalized. So, you receive nothing for the first 3 days of being ill and you must off work for at least 7days unless you are hospitalized. This is during a maximum period of 3 years in case of long sickness or 360 days stretched over a period of 3 years for any other cases. E.g.: You have earned an average of 8000€ in the last 3 years, you get 8000 x 1/730= 10.96€ per day
You can only be entitled to all the above compensations if you have been working fully for the last 3 years and earning at least 4383.20€ on average in the last 3 years. So, if you have just started your business or are earning less than 4383.20€ per year, you get nothing! That should make you think twice about working on the black! You are entitled to some compensation if you were an employee in France prior to opening a business.
- Self-employed compensation insurance:
If you are self-employed and more importantly if your family is entirely relying on your revenues, you had better look at an insurance policy to top up those benefits. Especially, if you are just starting out, as the benefits from Cpam are low or even non-existent!
With Allianz, we do an insurance policy where you decide the amount you want to be insured for in case of death, invalidity and sickness (you can choose just one of those guarantees or two or all three).
To give you an idea, basic cover for death for 50 000 € can be as little as 6.56 € per month. If you add a sickness cover of 25 € per day (with a waiting period of 4 days), it is 42€ per Month. If you also add an invalidity cover for a benefit pension of 10 000 € per year, the total is 54€ per month (prices based on an Artisans aged around 40 years old, non-smokers). So, for less than 54€ per month, you can have peace of mind! Come on, what are you waiting for! Some of you might think it is expensive, but it is nothing compared to the cost of not having it!
If you are not an auto-entrepreneur (SARL, societe individuelle, SA, EURL, etc), the cost of this insurance can be added to your charges (under the Madelin law) to reduce your income tax!
Note that this insurance is subject to a health questionnaire. So, do not wait until you get ill before you take it out.
Conclusion: OK, I know, some of you will say “yet another insurance policy”! But some insurances are more important than others! This one, to my mind, is vital if you have a family that depends on you financially or if you have just started working (not fully yet for 3 years). So don’t put it off and get a quote! It’s free!
And remember to check out our web site www.bh-assurances.fr/en for all my previous articles (“practical information”) and register to receive our monthly Newsletter.
And don’t hesitate to contact me for any other information or quotes on subjects such as Funeral cover, inheritance law, investments, car, house, professional and top up health insurance, etc…