Ilmarinen
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Self-employed
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YEL insurance
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Who is YEL insurance for and when?
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Light entrepreneurship
Light entrepreneur – do you need to take out YEL insurance?
Light entrepreneurship makes self-employment simple, and you do not need your own company. But are you responsible for YEL pension insurance? Here you will find the key facts so you can see if YEL applies to you and how to proceed.
When do you need YEL insurance as a light entrepreneur?
You need to take out YEL insurance if all of the following apply:
- ✓you are between 18 and 68 years old
- ✓you work as a light entrepreneur for at least 4 months
- ✓the value of your work (your YEL income) is at least €9,423.09 per year, or about €786/month (2026)
- ✓you work in your own business or as a freelancer
- ✓you live in Finland
If this sounds like your situation, YEL applies to you.
*Ilmarinen has the most satisfied customers in the industry, EPSI rating 2025
Do you need YEL insurance?
As a light entrepreneur, you need YEL insurance if the insurance conditions are met. Take our quick test to find out if YEL applies to you.
What are the benefits of YEL insurance?
You build up your pension
YEL insurance accumulates your pension even if you also earn pension through employment. In that case, your pension grows from both your YEL income and your salary.
You improve your social security
YEL insurance increases your level of social security, even if you also have TyEL insurance through an employer. Your YEL income affects, for example, benefits paid by Kela (such as sickness allowance and parental allowance) alongside your wages.
You protect yourself in case of unemployment
If you are covered by YEL insurance and are a member of an entrepreneurs’ unemployment fund, you may be eligible for earnings-related unemployment allowance.
How to get started?
1. Check if you need YEL insurance
Take the test and confirm your situation
2. Take out YEL insurance online
You can get YEL insurance online in just a few minutes
3. Enjoy the security it brings
YEL starts affecting your social security and pension right away
22% discount for new entrepreneurs
You get a 22% discount on your YEL contributions if your insurance has been valid for less than 4 years (for a maximum of two entrepreneurial periods). The discount is applied automatically when you take out the insurance online.
How much does YEL cost for a light entrepreneur?
Your YEL contribution is based on the value of your work, i.e. your YEL income.
- contribution is 24.4% of your YEL income in 2026
- new entrepreneurs receive a 22% discount
- YEL contributions are tax-deductible
If you work part-time, your contribution is usually lower
Frequently asked questions
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Yes – if you meet the conditions for YEL insurance. What matters most is the nature of your work.
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If your activity is short-term and not recurring (for example, not on an annual basis), and the value of your work (your YEL income) stays below the minimum threshold (€9,423.09 per year, or about €786/month in 2026), YEL insurance is usually not mandatory.
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Yes. You can be covered by both TyEL and YEL insurance at the same time.
As a light entrepreneur, you are required to take out YEL insurance if you meet the conditions for YEL insurance—even if you are employed and covered by TyEL insurance.
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Think about how much you would pay annually to someone equally skilled for doing the same work.