amjoie That error is happening on dedicated Windows machines too. I'd suggest keeping an eye on this master thread for updates that have to do with addressing that error:
Sims 1 crash on launch, post Feb 4 update | EA Forums - 11865576
If and when it gets fixed for standard Windows installs, it may be fixed for you as well.
It's also possible that this will remain a limitation of Parallels and you won't be able to play. I did see a well-made, detailed video covering how to run Sims 1 in an ARM Mac using Whisky, so that's an alternative.