What insurance is mandatory for employers in Switzerland?

Swiss employers must provide AHV/IV/EO (1st pillar, 5.3% employer share), BVG occupational pension (mandatory for employees earning over CHF 22,680/year), UVG accident insurance, and ALV unemployment insurance (1.1% employer share). Health insurance (KVG) is the employee's individual responsibility.

How much is the AHV contribution rate in Switzerland 2026?

The total AHV/IV/EO contribution rate is 10.6% of gross salary — 5.3% paid by the employer and 5.3% deducted from the employee. There is no upper salary cap.

Is health insurance mandatory for Swiss employers?

No. Basic health insurance (KVG/LAMal) is the legal responsibility of the individual employee, not the employer. Employers are not required to arrange or contribute to health insurance premiums.

Swiss Employer Insurance Obligations

A decision-maker's guide to mandatory and voluntary coverage

Rates valid 1 January 2026

Mandatory

AHV / IV / EO

1st pillar — retirement, survivors & disability

Employer 5.3% Employee 5.3%

Mandatory*

BVG / LPP

2nd pillar — occupational pension savings

Employer ≥ 50% Employee ≤ 50%

Mandatory

UVG / LAA

Accident insurance — occupational & non-occupational

Employer (BU) Employee (NBU)

Mandatory

ALV / AC

Unemployment insurance

Employer 1.1% Employee 1.1%

Voluntary

KTG / IJM

Daily sickness benefit — adopted by ~80% of employers

Employer ≥ 50% Employee ≤ 50%

Employee duty

KVG / LAMal

Health insurance — not an employer obligation

Individual pays

AHV / IV / EO — 1st Pillar

Total combined rate10.6% of gross salary

BreakdownAHV 8.7% · IV 1.4% · EO 0.5%

Salary capNone — applies to all earnings

Remit toAusgleichskasse / Caisse de compensation

2026 update13th pension first paid December 2026

Women's retirement age64½ in 2026, rising to 65 by 2028 (AHV 21)

Pillar 3a catch-upsAllowed from 2026 for gaps back to 2025

BVG / LPP — 2nd Pillar

Entry thresholdCHF 22,680 / year

Coordination deductionCHF 26,460 / year

Max insured salary (mandatory)CHF 90,720 / year

Age 25–347% of coordinated salary

Age 35–4410% of coordinated salary

Age 45–5415% of coordinated salary

Age 55–6518% of coordinated salary

BVG minimum interest rate1.25%

UVG / LAA — Accident Insurance

Max insured salaryCHF 148,200 / year

BU — occupational accidents100% employer-paid premium

NBU — non-occupationalEmployee pays; mandatory if ≥ 8 hrs/week

Daily allowance80% of insured salary from day 3

Post-employment coverAutomatic 31-day Nachdeckung

ExtensionAbredeversicherung up to 6 months

Accident report deadlineWithin 48 hours to insurer

ALV / AC — Unemployment Insurance

Standard rate2.2% total (1.1% + 1.1%) up to ALV ceiling

Solidarity contribution+1.0% (0.5% each) on salary above ceiling

Remit together withAHV / IV / EO contributions

Salary ceilingVerify annually — set by federal office (BSV/OFAS)

KTG / IJM — Voluntary Daily Sickness Benefit

Adoption rate~80% of Swiss employers

Coverage minimum≥ 80% of salary

Benefit duration720–730 days within a 900-day reference period

Employer premium shareAt least 50%

Waiting period30–90 days (covered by wage continuation)

Why adopt it?Transfers financial risk beyond statutory Art. 324a period

Legal basisPrivate contract / VVG

KVG / LAMal — Health Insurance

Employer obligation?None — individual's statutory duty

Legal basisHealth Insurance Act (KVG / LAMal)

Employer's roleMay offer administrative guidance — not required

Voluntary employer benefitSome employers offer supplementary coverage

Common misconceptionEmployers do NOT pay or arrange basic health insurance