The social insurance system in Switzerland The social insurance system in Switzerland regulates provision in the cases of age, death, unemployment, disability, accident and maternity. AHV (1rst Pillar) Old age and survivors insurance compulsory basic insurance for people living pr working in Switzerland. contribution duty for every employee. provides security for old age (old age pension) and death of spouse/parent (survivors pension). total contribution rate is 8.4% of salary. half of the contribution is made by the employer, half by the employee. IV (1rst Pillar) Disability insurance everybody who takes part in AHV automatically pays into IV. security in the case of disability (disability pension) . does not cover treatment costs in the case of sickness or accident. contribution rate 1.4% of salary. half of the contribution is made by the employer, half by the employee. BVG (2nd Pillar) Personnel financial security institution/pension fund compulsory insurance for all employees, voluntary for self-employed persons and general partnerships. employees with a minimum income of more than CHF 19,890 / year are subject to compulsory insurance for the risks of death and disability after the age of 17, and for old age after 1st January in the year they turn. coverage of risks such as death disability and financing of old age pension . pension fund is an additional pension. contributions from employers and employees are collected and bear interest . contributions are between 7% and 18% of income depending on age/sex. the contribution is made at least one half by the employer, the other by the employee; some employers also pay ¾ of the contribution. in the case of change of job within Switzerland, payout is transferred to the financial security institution of the new employer. NEW since 1st June 2007: cash payment can only be carried out when leaving Switzerland, given there is no compulsory insurance abroad or if immigration to a third country outside the EU. A partly payment is also possible, if the funds are used for the acquisition of property or for self-employment. ALV Unemployment insurance entitlement to compensation: employees who have been working as an employee for at least 12 months within the last 2 years. contribution: 2% of the decisive salary. half of the contribution is made by the employer, half by the employee. UVG Accident insurance compulsory insurance for all employees working in Switzerland. occupational accidents and sicknesses, accidents on the way to work, non-occupational accidents (NBV) are covered. At a level of employment of more than 8h/week, automatically covered by the employer. No additional UVG necessary. Non-employed persons (or with employment of less than 8h/week) have to privately take out a UVG within health insurance. exception: contributions to NVB are variable, depending on salary and employer. Insurance company: Swiss Accident Insurance Fund (SUVA), private insurance companies, approved health insurances and public accident insurance companies. benefits and premiums depend on the insured income. KV Health insurance compulsory insurance for employees in Switzerland. responsibility exclusively that of the employee. benefits are regulated by law and identical with those of any insurance company free choice of health insurance company is given amount of premium depends on place of residence, see health insurance comparison. Pillar 3a Bound financial security tax-privileged voluntary financial security. contributions can be deducted from withholding tax. contribution payments for employees are limited to CHF 6,365 per year. when leaving Switzerland, 3a funds can be taken along without giving reasons. Vergleich Säule 3a . For more information on social insurances, have a look at the official website of the Swiss Confoederation