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HEALTH INSURANCE

How to save money by changing your Swiss health policy

Switzerland’s compulsory health insurance is notoriously expensive, but you can lower the cost of premiums substantially by changing your company or coverage.

How to save money by changing your Swiss health policy
You can save thousands of francs on your health insurance coverage. Photo: Pixabay

The cost of health insurance premiums usually represents at least 7 percent of a typical household budget.

An adult spends nearly 4,600 francs a year on average on the mandatory basic coverage (KVG / LaMal) alone – covering only medical care, not dental. If any extra policies are taken out, the cost is even higher.

Not only that, but premiums have been rising practically each year, and look set to go up again in 2023, possibly by as much as 10 percent — the sharpest hike in 20 years.

READ MORE: Why Swiss health premiums are set to rise — and what you can do about it

Even though these costs are high and climbing, many people keep the same health insurance for years.

However, significant savings — to the tune of thousands of francs a year — could be made simply by switching carriers or plans, from the more expensive to the cheapest ones, according to a new study by the cost comparison site Comparis.

How much and where

The amount of the savings varies depending on policyholder’s place of residence, because rates are determined by cantons.

However, Comparis calculated that over a 10-year period, people living in Zurich could have saved 33,396 francs in premium costs and for those living in Bern this amount is 30,064.

Lausanne residents could cut their costs by 36,494 francs over 10 years, 31, 032 in Geneva, and 33,490 in Basel-City.

“With the strong premium increases expected this fall, the savings potential is even greater,” said Felix Schneuwly, health insurance expert at Comparis.

So how can you save money? Here are some of the ways:

Increase your deductible

In Switzerland, the deductible (franchise) ranges from 300 to 2,500 francs – this represents the medical costs that you have to pay out of your own pocket before your health insurance kicks in.

As with most types of insurance, the lower your deductible, the higher your premiums, and vice-versa.

If you are young, healthy, and are not on any long-term medication then you can save substantially with the highest franchise.

Keep in mind, however, that if you choose the highest deductible and end up having an accident or falling sick and needing medical care, you will have to pay a greater proportion of the costs.

Switch to a less expensive plan.

The standard model for healthcare in Switzerland is that you can consult any medic that you want, and you do not need a referral to see a specialist.

However, there are some types of health insurance plans that have cheaper premiums, but impose certain limits on your access to non-emergency medical care.

For instance:

Health maintenance organisation (HMO)

Under this model, policyholders are required to consult a particular HMO practice. Two disadvantages of this alternative is a limited choice of doctors and you also need a referral to see a specialist.

However, the benefit is a premium reduction of up to 25 percent compared to the conventional insurance.

Family doctor model

Your family doctor, a general practitioner, will be designated by your insurance company and will be in charge of all your non-emergency medical treatment.

He or she will refer you to a specialist if necessary. 

If you opt for this option, you could save 20 percent on your insurance.

READ MORE: Five tips for getting cheaper health insurance in Switzerland

The Telmed alternative

If you choose this option, you have to call a telephone service and get a referral to a doctor or hospital.

This does not apply to medical emergencies and there are other exceptions, such as eye exams and annual gynaecological check-ups.

Total savings could range between 15 and 20 percent. 

Cancelling or changing your policy

If you want to cancel your current insurance policy and take up a cheaper one , you have to do so by registered letter before November 30th.

By then, you will know what your premiums will be in 2023 because your carrier must notify you of the new rates by October 31st.

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LIVING IN SWITZERLAND

REVEALED: Are these the ‘best’ places to live in Switzerland?

German-speaking cities dominate the list in a new quality of life in Switzerland study - here are the best places to live in the Alpine country.

REVEALED: Are these the 'best' places to live in Switzerland?

Zurich, Geneva, Basel are all beautiful cities with plenty of offers for their residents, but which would top the list of the best place to live in Switzerland? Turn out, none of them.

A new quality of life study commissioned by the daily newspaper Handelszeitung looked into several criteria to determine the best places in the country. The Gemeinderatings 2022 evaluated 944 municipalities with more than 2,000 inhabitants to make the ranking.

READ ALSO: Health, prices, and safety: Is Switzerland a good country to retire in?

Among the criteria to determine how attractive each area is, they looked into taxation issues, how safe the cities are, how many jobs are available, the quality of the real estate market (both when buying and renting properties) and the level of support for elderly residents.

Additionally, Handelszeitung looked into matters such as the availability of leisure offers, access to public transportation, and sustainability factors as well.

These are the top ten places to live in Switzerland:

  1. Cham, Canton Zug
  2. Zug, Canton Zug
  3. Risch, Canton Zug
  4. Altendorf, Canton Schwyz
  5. Walchwil, Canton Zug
  6. Meggen, Canton Lucerne
  7. Meilen, Canton Zurich
  8. Hergiswil, Canton Nidwalden
  9. Hünenberg, Canton Zug
  10. Baar, Canton Zug

German-speaking Switzerland dominates the list

The best city, Cham, did exceptionally well in the criteria of taxes (reaching the fifth spot) and real estate (11th in the ranking for this criteria). The neighbouring city of Zug secured second place, followed by Risch, all in the same canton.

Switzerland’s French or Italian-speaking areas have certainly not fared well, and all the country’s top ten cities are in German-speaking cantons. Moreover, Canton Zug gets an impressive number of six towns (and the top 3) in the best 10.

READ ALSO: MAP: The best cantons for business in Switzerland

The first French-speaking city in Switzerland to show up in the ranking comes only in 63rd place: Pregny-Chambésy, in the canton of Geneva. Then, Saint-Sulpice (VD) follows in 69th place, Carouge (GE) in 73rd, and Lutry (VD) in 95th).

Italian-speaking Switzerland does even worse: it only appears in 90th place with Collina d’Oro.

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