Updated 6.5.2026
The insurance covers legal expenses in employment-related disputes, personal and property damage, as well as financial losses. The insurance is valid for full members who are employed or operating as sole entrepreneurs, as well as for student members. The exception is entrepreneurs who have employees.
Insured persons
The insurance applies to TEK members who are employed under an employment or public-service relationship in matters that concern the employee’s own employment or service relationship. TEK members who are not employed by another party are therefore generally not covered by the liability and legal expenses insurance. Such groups include, for example, entrepreneurs (except so‑called sole entrepreneurs), unemployed persons, stay‑at‑home parents, and retirees.
A managing director is covered by the insurance only if the combined voting rights of the managing director and their family members living in the same household are less than 50% of the voting power in the company. A member acting as a full‑time chair of the company’s board is not insured in that capacity.
Independent professionals who have no employees are also insured for matters related to their professional activities. This activity may be carried out in corporate form, provided the member is the sole owner of the company.
Territorial scope of the insurance
The insurance is valid in the Nordic countries. It is also valid outside the Nordic countries in matters concerning work performed abroad by a Finnish employer and employee, provided that the employment contract stipulates that the matter is to be handled in Finland. The insurance does not cover other situations occurring outside the Nordic countries.
Insurance limits and deductibles
The maximum compensation under the legal expenses insurance is €10,000 per insured event. If the member is assisted by TEK’s lawyer and the lawyer recommends transferring the matter to an attorney or other external legal representative, the maximum compensation under the legal expenses insurance is €20,000. For all disputes relating to employment or public‑service relationships, members should always use TEK’s lawyers, as doing so grants access to the higher €20,000 limit. If TEK’s lawyer is not used, the maximum compensation is €10,000.
The deductible for the legal expenses insurance is 15% of the costs per insured event, with a minimum of €200. If the disputed benefit can be valued in money and is less than €1,500, the insurance will compensate no more than twice the value of the disputed benefit.
If the legal expenses exceed the maximum limit, the member is responsible for the excess unless it can be recovered from the opposing party. TEK does not reimburse legal expenses that are not covered by the insurance.
Under the liability insurance, the maximum compensation per insured event is €84,100 for personal and property damage, and €42,050 for financial losses. The deductible for liability insurance is €100.
Time of loss and TEK membership
For a member, the insurance becomes valid after six months of continuous TEK membership, and the insured event must occur after this six‑month period. This waiting period does not apply if the grounds for the legal proceedings arose during the membership period.
Costs covered by legal expenses insurance
As a rule, the legal expenses insurance covers fees and expenses of the lawyer handling the dispute. For arbitration proceedings, only the insured person’s own expenses are covered.
For employee inventions, costs incurred before the Employee Invention Committee or the Market Court are covered.
Costs covered by liability insurance
The liability insurance covers personal, property, or financial damage caused to another party if the insured is legally liable for the damage. It also covers the legal expenses associated with such a claim if the matter is brought before a court.
It is especially important to note that the liability insurance does not cover consultant liability towards a client.
Using the insurance
In all employment- or public‑service‑related disputes, members should always use TEK’s lawyers, as this ensures access to the higher €20,000 legal expenses limit. If TEK’s lawyer is not used, the maximum is €10,000.
The insurance terms and claim forms for professional liability and legal expenses insurance are available from Pohjola Vakuutus Oy. The claim form is submitted directly to the insurance company, which verifies TEK membership and TEK’s position regarding the use of the insurance. Pohjola Vakuutus Oy will then issue a written decision.
This is not a complete description of the content of the liability and legal expenses insurance, so the insurance terms should also be consulted. Before using the legal expenses insurance, members should always contact TEK’s lawyers to try to resolve the matter through negotiation.
Further information is available from TEK’s lawyers and from the liability and legal expenses department of Pohjola Vakuutus Oy. The insurance number is 16‑714‑613‑9.