Business insurance for Swiss SMEs: review and bundle BVG, UVG, daily sickness allowance and business liability

Which insurance is mandatory for companies?

As soon as you employ staff, several types of insurance are mandatory: the social insurance schemes AHV/IV/EO (old-age, disability and loss-of-earnings insurance, OASI) and unemployment insurance, family allowances via the compensation fund, accident insurance under the UVG (Accident Insurance Act) and – above a certain annual salary – occupational pension provision under the BVG (Occupational Pensions Act). For company vehicles, motor vehicle liability insurance is added.

Daily sickness allowance insurance (Krankentaggeld) is not required by law, but is often required by a collective labour agreement or promised in the employment contract. Business liability insurance is also voluntary for most sectors – yet without it, a single claim can threaten the existence of an SME.

• Mandatory: AHV/IV/EO, unemployment insurance and family allowances
• Mandatory: accident insurance under the UVG
• Mandatory above the entry threshold: occupational pension under the BVG
• Often required by contract: daily sickness allowance
• Strongly recommended: business liability

Comparing BVG solutions for SMEs: what matters

For many SMEs, the pension fund is the largest insurance item – and the hardest to compare. Small companies usually join a collective or joint foundation. These differ widely: in the interest paid on retirement savings, the conversion rate on the part above the legal minimum, risk and administration costs, and the financial position of the foundation.

There are basically two models: with full insurance, a life insurer bears the risks and guarantees the savings; with semi-autonomous foundations, the savings are invested by the foundation itself. Full insurance offers security, while the semi-autonomous solution often pays higher interest but also fluctuates more. Which solution suits you depends on your workforce and your appetite for risk. We compare these criteria:

• Interest paid on retirement savings in recent years
• Conversion rate and benefits in the event of disability and death
• Risk and administration costs per insured person
• Funding ratio and investment strategy
• Pension plan: insured salary, coordination deduction, management solutions
• Conditions on termination of the affiliation contract

Switching pension fund: deadlines and consent

Switching pension fund is possible, but it is bound by the notice periods of the affiliation contract and requires the consent of the staff or their representatives. Also check what happens to current pensions and whether any costs or deductions arise on leaving.

We support the switch from the tender and the comparison of quotes through to informing your employees and transferring the savings.

UVG accident insurance and supplementary cover

All employees are compulsorily insured against occupational accidents, and those working eight or more hours a week also against non-occupational accidents. Whether your business is insured with Suva or with a private insurer depends on the sector.

Compulsory insurance only covers salaries up to a maximum amount and pays a daily allowance of 80 per cent. UVG supplementary insurance can cover higher salaries, the difference to the full salary or a better hospital ward – particularly important for managers and owners.

Daily sickness allowance: securing continued salary payments

If an employee is ill, you must continue to pay their salary for a limited period. How long depends on length of service and on the scale customary in the canton. Without insurance, you bear this risk yourself – and a long illness can be expensive for an SME.

Daily sickness allowance insurance generally replaces this obligation: after a waiting period, the insurer pays part of the salary for a longer period. The solution must be at least equivalent for the employees. Key points are the waiting period, the level of the daily allowance, how premiums are shared and the conditions when someone leaves.

Business liability and property insurance

Business liability insurance covers damage your company causes to third parties – for example, if a customer falls on your premises or a product causes damage. What matters is the sum insured, cover for work carried out at customers' premises and exclusions for certain activities.

Depending on the business, you may also need contents and business interruption insurance, cyber insurance, vehicle insurance and legal protection insurance for companies. For the board of directors and management, directors' and officers' (D&O) liability insurance can make sense.

Bundling your business insurance: how we proceed

You decide which recommendations to implement. Important proposals are always checked by a second qualified person before we present them to you.

• Upload existing policies and regulations in the client portal
• Record cover, premiums and deadlines in a structured way
• Identify gaps and overlaps
• Obtain offers and compare them clearly
• Make changes only with your approval
• Review contracts annually

Typical gaps in SME insurance

These are the issues that come up most often when we review business insurance:

• No daily sickness allowance, although the employment contract promises continued salary payments
• Salaries above the UVG maximum not additionally insured
• Business liability sum insured unchanged for years
• Owners themselves not insured or insufficiently insured
• Notice periods missed and contracts renewed automatically

Frequently asked questions