KVG Health Insurance: switch correctly, once a year.
Basic health insurance is the largest mandatory recurring cost for most Swiss households. The math for choosing a franchise and a model is closed-form - there are exactly three rational positions and most people sit on none of them.
The landscape
Every resident of Switzerland is required to hold basic health insurance (KVG/LAMal). The benefit catalogue is set by federal law and is identical across all 40+ insurers. What you can change are three levers: the insurer, the franchise (deductible) between CHF 300 and CHF 2,500, and the alternative model (standard, family doctor, HMO, Telmed/pharmacy).
Premiums vary by canton, age band, and chosen levers - but for the same person in the same canton with the same franchise, the cheapest insurer is often 35–45% below the most expensive, for an identical legal product.
The annual switching window is short and inflexible. Cancellation must reach the current insurer in writing by 30 November for a 1 January switch. Miss it by a day and you are locked in for another year.
The math
The franchise is a one-year self-insurance bet. You pay the first CHF X of qualifying medical costs out of pocket. After that, a 10% co-payment kicks in up to CHF 700. Above that, the insurer pays.
The annual premium difference between the lowest (CHF 2,500) and highest (CHF 300) franchise in Switzerland averages around CHF 1,500 for adults in 2025. Compare that to the maximum extra exposure: CHF 2,200 (the gap between the two franchises).
Conclusion: any year in which you expect less than ~CHF 1,800 in qualifying costs, the CHF 2,500 franchise wins. For most healthy adults, that is most years.
| Configuration | Annual premium | Max out-of-pocket |
|---|---|---|
| CHF 300, standard model | CHF 5,400 | CHF 6,400 |
| CHF 300, Telmed | CHF 4,600 | CHF 5,600 |
| CHF 2,500, standard model | CHF 4,200 | CHF 7,400 |
| CHF 2,500, Telmed | CHF 3,750 | CHF 6,950 |
Which configuration fits you?
Three branches cover ~95% of cases. Run this once a year in October.
- 01
Did you spend more than CHF 2,000 on qualifying medical care in the last 12 months?
If YES: keep a low franchise (CHF 300–500). The lower premium difference will not compensate for ongoing costs. If NO: continue.
- 02
Are you comfortable calling a medical hotline before any non-emergency visit?
If YES: choose Telmed or HMO. 12–18% premium reduction with no change in care quality. If NO: standard model is fine, but accept the higher cost.
- 03
Are you under 26, or are you healthy with no chronic medication?
If YES to either: take the CHF 2,500 franchise. The expected-value math is decisively in your favour. If NO: model your last three years of costs and pick the franchise where the curve crosses zero.
October to-do (one evening)
- Pull the last three years of medical receipts and total qualifying costs per year.
- Open Priminfo.ch, enter your canton, age, and current franchise, and rank insurers by total annual cost (premium + expected co-pay).
- Pick the cheapest insurer offering Telmed or HMO with your target franchise.
- Send the cancellation letter to your current insurer by registered mail no later than 25 November.
- Sign the new contract before the old one ends. There is no gap risk because basic insurance is mandatory and continuous.
- Set a calendar reminder for the same week next year.
Neutral references
- Priminfo.ch - Federal premium calculator Official, no advertising, no lead-gen.
- FOPH (BAG) - KVG overview Source of the legal benefit catalogue.
- Comparis - KVG comparator Useful for cross-checking. Earns a commission on signups.
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