Swiss cantons increase financial help towards health insurance premiums

Health insurance rates will rise by 8.7 percent in 2024.

That’s the national average, but as each canton determines its own rates, you could end up paying much more.

For instance, Ticino residents will experience the highest increase — a hefty 10.5 percent.

Premiums in a number of other cantons will also exceed the 8.7-percent national average — for instance, Zug (10.2), Nidwalden and Thurgau (9.5), Vaud (9.9); as well as Geneva and Neuchâtel (both 9.1).

On the other hand, Zurich’s increase will be below the national average — 8.3 percent.

And  Basel-City’s residents, along with Appenzell-Innerrhoden’s, will be able to enjoy the country's lowest increase: 6.5 percent.

The increased premiums will strain many household budgets, especially for low-income  families.

In such cases, you could be eligible for subsidies from your canton — that is, reductions in healthcare premiums.

While only a handful of cantons have so far released the amount of financial contributions they will pay toward health insurance subsidies for low-income people, all will increase the payment in 2024 to reflect the higher premiums. 

In Zurich, for instance, “1.2 billion francs will be available for premium reductions, which corresponds to an increase in the contribution of 10 percent compared to the previous year,” the canton said in a press release on Friday. 

And other cantons too "are in the process of increasing their budgets for individual premium reductions,” SRF public broadcaster reported on Friday.

In Geneva, monthly subsidies will increase by 10 to 20 francs for adults, by 15 francs for people between 18 to 25 years of age, and 10 francs for children, the canton said. 

For Valais, 250 million francs is earmarked for next year’s subsidies, which is 11 million more than currently. 

In coming weeks each canton will release its own updated figures.

Are you eligible?

If your premiums eat up at least the aforementioned 8 percent of your income, you qualify for financial aid.

Before deciding whether you receive the assistance, however, your canton of residence will look not only at your earnings, but at any other financial assets you hold as well as .

So if your income is low but you have plenty of money in the bank in the form of savings or other investments, you will not qualify.

Generally speaking, anyone who is a low earner or has a large number of children, could be eligible for subsidised premiums, though criteria, as well as amounts, may vary from one canton to another.

Note, however, that state subsidies apply only to the obligatory KVG / LaMal insurance, not to any supplemental polices you buy.

How do you apply for subsidies?

This process depends on the canton where you live; in all cases, however, it is based on your most current tax declaration, which allows the authorities to see not only how much you earn and how many children you have, but also your total assets.

Some cantons will notify those who are eligible automatically when you file your tax return. In others, you must apply for the reduction yourself every year.

This is a list of all the cantonal authorities responsible for subsidies.

READ ALSO: How do I apply for healthcare benefits in Switzerland?

There is no shame in asking for financial help for your health insurance, as this is quite common in Switzerland: on average, one in four people in receive a premium reduction.

In some cantons, the proportion of residents relying on insurance subsidies is higher than in others.

In Geneva, for instance, over 42 percent receive this financial help — the highest rate in Switzerland.