New mandatory AOV for self-employed persons: what do you need to know?

The Self-Employed Persons' Basic Disability Insurance Act (BAZ) is coming. For every entrepreneur and ZZP'er this means: you will soon be required to take out basic disability insurance. What does this new law entail, what are the pitfalls, and how can you as an entrepreneur respond to this in a smart way? In this blog I share the most important points and practical tips.

What does the mandatory AOV entail?

• The BAZ obliges every IB entrepreneur and hybrid worker to basic disability insurance via the UWV.
• Premium: 6.5% of your profit, with a maximum of €195 per month (profit above €36,000).
• Benefit: 70% of the last earned income, up to a maximum of the minimum wage.
• Waiting time is 1 year by default (possibly even 2 years).
• Strict disability criterion: you must be almost completely disabled to receive benefits.

Who is covered by the scheme?

• Well: IB entrepreneurs, hybrid workers, small business scheme (KOR)
• Not: Managing directors, profit beneficiaries, AOW beneficiaries

Key Points of Interest

• Opt-out possible: Do you have a private AOV that is at least equivalent? Then you can withdraw from the BAZ.
• Transitional law: Existing disability insurance policies from before the reference date remain valid (under certain conditions).
• Complexity: Uncertainty about the profit basis, risk of recoveries, scarce capacity at UWV and Tax Authorities.

How can you respond to this as an entrepreneur?

1. Compare the compulsory BAZ with a private AOV:
   • Private disability insurance often offers faster payouts, higher coverage and flexibility.
   • You can choose coverage that really suits your income, expenses and profession.
2. Include the premium in your hourly rate:
   • Easily calculate how much your hourly rate needs to increase to cover the AOV premium.
   • Example: premium of €3,600 per year = €1.99 per hour at 1,960 billable hours.
3. Make disability a topic of discussion:
   • The income risk is often much greater than you think. Make it concrete and discuss alternatives.
4. Focus on customization and prevention:
   • Private insurers are increasingly offering preventive services, business expense insurance and reintegration support.

• Do you want to know what the best solution is for your situation?