Insurance in Switzerland: what is mandatory and what do you really need?

The short answer

Moving to Switzerland often comes with an impressive collection of forms, deadlines and unfamiliar insurance terms. Some policies are compulsory. Others are optional but can still be extremely useful — or even expected by a landlord.

The main complication is overlap. Accident cover may come through your employer, household contents is not the same as personal liability, and several travel benefits may already exist in another policy.

1. Basic health insurance

Basic health insurance — Grundversicherung, assurance de base or assicurazione di base — is compulsory for most people who live in Switzerland.

New residents generally have three months from the beginning of residence to arrange it. Every family member, including every child, needs an individual policy.

If you enrol within the deadline, cover and premiums normally apply retroactively from the date your Swiss residence began. Waiting until the end of the three-month period therefore does not eliminate the premiums for the earlier months.

Limited exemptions exist for certain groups, including some diplomats, international-organisation employees, students and cross-border workers with equivalent cover. An exemption is not automatic: the relevant cantonal authority must approve it.

What does basic insurance cover?

The legally defined benefits are the same regardless of the insurer. They include medically necessary examinations and treatment, approved medicines, maternity care and hospital treatment in the general ward under the applicable rules.

Insurers offering basic cover must accept eligible applicants. They cannot exclude someone because of age or a pre-existing condition. Differences between insurers instead include the premium, insurance model, customer service, administration and billing arrangements.

Deductible and co-payment

For adults, the standard annual deductible is CHF 300. Choosing a higher voluntary deductible reduces the monthly premium but increases the amount you may have to pay yourself.

After the deductible, adults generally pay 10% of further covered costs, capped at CHF 700 per year. A CHF 15 daily contribution can also apply to hospital stays, with exemptions for certain groups. Different rules apply to children.

2. Accident insurance

Everyone needs accident cover, but how it is arranged depends largely on employment.

Employees are insured against occupational accidents and occupational illnesses through their employer. If you work at least eight hours per week for the same employer, that policy also covers non-occupational accidents during your free time.

If you work fewer than eight hours per week for an employer, their policy generally covers occupational accidents only. In this situation, accidents while commuting are treated as occupational accidents, but leisure accidents need cover elsewhere.

Children, students, retirees, stay-at-home partners and many other people outside salaried employment normally include accident cover in their compulsory health insurance. People receiving unemployment benefits are generally insured through Suva. Self-employed people should review their arrangements separately.

3. Personal liability insurance

Personal liability insurance — Privathaftpflicht, responsabilité civile privée or responsabilità civile privata — pays for covered injury or damage that you unintentionally cause to someone else.

Examples can include:

• damaging fixtures in a rented apartment
• knocking someone over while cycling
• your child breaking another person's property
• your dog injuring someone
• financial loss connected to covered bodily injury or property damage

It can also defend you against an unjustified claim. The insurer does not simply pay every demand: it first assesses whether you are legally responsible.

Is it mandatory?

It is not generally compulsory under Swiss law. In practice, landlords often want evidence of cover before renting out an apartment. It is also compulsory for dog owners in many cantons.

Check the insured amount, deductible, family or individual cover, rented-property damage, damage caused by children or pets, and cover while using someone else's vehicle. Normal wear and tear, deliberate damage, professional activity and damage within your own household are commonly excluded.

4. Household contents insurance

Household contents insurance protects the belongings inside your home — such as furniture, clothes, electronics, bicycles and sports equipment — against specified events. Typical risks include fire, water damage, burglary and natural hazards, subject to the contract.

It is often sold together with personal liability, but the two policies do different jobs:

• Personal liability covers damage you cause to other people or their property.
• Household contents covers your own belongings against insured events.

The insured amount should reflect what it would cost to replace all your belongings, not their second-hand value. Depending on the policy, underinsurance can reduce a claim payment.

Check whether theft away from home, bicycles and expensive items are included or require extensions. Also verify limits for cellars, shared rooms, luggage and cash. Building insurance is separate, and the rules for homeowners vary by canton.

5. Car and other motor vehicle insurance

Third-party motor liability insurance is compulsory before a car or other relevant motor vehicle can be registered. It covers covered injury and damage caused to other people, vehicles or property.

It does not normally pay for damage to your own vehicle. For that, insurers offer additional cover:

• Partial casco commonly covers selected risks such as theft, glass damage, fire, natural events or collisions with animals.
• Full casco normally adds collision damage to your own vehicle, even when you caused the accident, subject to the policy.

These additional forms of cover are generally optional by law. A leasing company may nevertheless require full casco as a contractual condition.

6. Supplementary health insurance

Supplementary health insurance is optional and legally separate from compulsory basic insurance. Depending on the product, it may cover private or semi-private hospital accommodation, wider choice of hospital or doctor, complementary medicine, or contributions towards dental treatment, glasses, fitness and preventive care.

The important distinction is underwriting. Basic insurers must accept eligible residents, but supplementary insurers can ask health questions, impose exclusions or reject an application.

You can keep basic and supplementary insurance with different companies. Bundling them may be convenient, but it is not compulsory.

7. Legal protection insurance

Legal protection insurance can cover advice, legal representation, court costs and certain other expenses for disputes included in the contract. Private and traffic legal protection are often offered separately or together.

Before buying, check:

• which areas of law are covered
• waiting periods and maximum benefits
• whether you can choose your own lawyer
• whether employment, tenancy, family, tax or immigration disputes are included
• exclusions for disputes that already existed or were foreseeable

It is optional, and not every legal dispute is covered. The exclusions are at least as important as the advertised benefits.

8. Travel insurance

Travel insurance can combine cancellation, interruption, medical costs, assistance, search and rescue, repatriation and luggage cover.

Swiss basic health insurance provides some protection abroad, but limits and rules depend on the destination and circumstances. Treatment in countries outside the EU, EFTA and United Kingdom can be particularly expensive. The Federal Office of Public Health recommends considering travel or supplementary health cover to avoid gaps when travelling outside those areas.

Before buying another policy, check your credit card, supplementary health insurance, automobile assistance and household contents contract. You may already have partial travel protection.

9. Pet insurance

Pet insurance can cover part of the veterinary costs resulting from illness or accident. Some policies focus on operations and major treatment, while others include routine care or preventive contributions.

Pay attention to the pet's age at enrolment, waiting periods, pre-existing conditions, annual payout limits, deductibles, co-payments and exclusions connected to breed or hereditary conditions.

For smaller routine bills, a dedicated savings reserve may be more economical. Insurance becomes more valuable when the risk is a large, unpredictable bill.

10. Life, disability and income protection

Switzerland's social insurance and occupational pension systems already provide some protection against death or disability. The amount, however, may not be enough for every household.

Private cover may be relevant if:

• your family depends heavily on your income
• you have children or other dependants
• you share a mortgage or substantial debt
• you are self-employed
• your partner would face a major financial gap without your income

Start by checking your AHV/IV and pension-fund benefits. The objective is to close a real gap, not to duplicate protection you already have.

Five common insurance mistakes

1. Paying twice for accident cover

Confirm whether you work at least eight hours per week for the same employer and have non-occupational cover. If so, ask your health insurer whether the accident component can be removed.

2. Confusing liability with household contents

One protects you against covered claims from other people; the other protects your own possessions. A combined package still contains two different policies.

3. Choosing a deductible based only on the monthly premium

Calculate the annual best- and worst-case cost. Keep enough accessible savings to pay the deductible and co-payment if necessary.

4. Cancelling supplementary insurance too early

Obtain unconditional written acceptance from the new insurer before cancelling the existing policy.

5. Buying overlapping cover

Travel assistance, theft away from home, legal help or device protection may already exist through another policy, employer benefit, membership or payment card. Compare the actual terms first.

FAQ

Which insurance is mandatory in Switzerland?
Basic health insurance is mandatory for most residents. Everyone also needs accident cover, either through an employer or basic health insurance. Third-party motor liability is mandatory if you own a relevant motor vehicle.

Do I need accident cover in my health insurance?
If you work at least eight hours per week for the same employer, your employer normally covers occupational and non-occupational accidents. Otherwise, the accident component generally needs to remain in your basic health policy.

Is personal liability insurance mandatory?
Not generally. However, landlords often expect it, and it is compulsory for dog owners in many cantons. It is widely recommended because liability claims can be financially serious.

Are personal liability and household contents the same?
No. Liability insurance covers specified damage you cause to others. Household contents insurance protects your own belongings against insured events.

Can a supplementary health insurer reject me?
Yes. Supplementary insurance is optional and insurers can ask health questions, impose exclusions or refuse an application. Basic health insurers cannot reject eligible residents because of their health.

Sources

• Federal Office of Public Health — Health insurance requirement for residents
• Federal Office of Public Health — Premiums and co-payment
• Federal Office of Public Health — Basic health insurance benefits
• ch.ch — Swiss accident insurance
• ch.ch — Personal liability insurance
• ch.ch — Taking out, changing and cancelling health insurance
• Federal Office of Public Health — Treatment abroad