Correctly cancel and switch supplemental insurance

General information on cancelling supplemental insurance

• If you wish to switch supplemental insurance, you should take out a new supplemental insurance policy before you cancel the old one. Otherwise, you risk having no supplemental insurance at all.

• The statutory notice period is at least 3 months, but may be longer depending on the insurer and the product. Find out in each case what cancellation notice periods apply and check the contract length.

• Cancellation notices should always be sent by registered post.

• Remember that in terms of meeting the cancellation deadline, it is the date on which the insurer receives the letter – and not the postmark – that counts.

When can I cancel supplemental insurance?

This depends both on the insurer and the reason why you are cancelling. A distinction is made between the following types of cancellation:

Statutory cancellation of supplemental insurance

According to the Insurance Policies Act (VVG/LCA), health insurers are free to define their own cancellation notice periods for supplemental insurance. Most supplemental insurance polices have a notice period of 3 months, i.e. the deadline is the end of September. However, some supplemental insurance policies have a minimum contract length of several years and a notice period of six months. The cancellation notice periods are stated in the general insurance conditions. So it’s a good idea to check the date by which your particular health insurer needs to receive the cancellation letter.

Cancelling supplemental insurance if premiums increase

If your health insurer raises its premiums as of the start of the calendar year, you are allowed to cancel at short notice. Some insurers allow you to give written notice by the end of the year, others only by the end of November or by up to a month after the premium increase is announced. Basically, the provisions stated in the insurance conditions of your supplemental insurance apply (e.g. one month from notification of higher premiums or per year end).

If you have multiple supplemental insurance policies with the same insurer, i.e. an outpatient policy and a hospital policy, you need to check what the procedure is in each case, as different rules apply for each insurer. Some insurers only allow you to cancel the policy affected by the premium change, while others allow you to cancel all policies.

Possible reasons for cancelling outside the statutory notice period in the context of a premium increase:

• You move up to a more expensive age group with your insurer.

• The collective discount no longer applies to your supplemental insurance.

Cancelling in the event of a claim

According to the Insurance Policies Act (VVG/LCA), a policyholder may withdraw from a specific part of the insurance contract following any claim related to it for which the insurer has paid benefits. Notice has to be given in writing within a specified period after payment or after the policyholder has been notified of the claim being covered by the insurer. The notice periods applied by the health insurance companies vary. The premium is payable until the contract is terminated.

As of 2022, the right to cancel after a claim only applies to the insured person. In other words, the health insurer is not allowed to cancel the supplemental insurance policy after paying out a claim.

Cancellation after moving to another canton

If the health insurer operates in the new canton, you have to observe the cancellation notice period defined in the Insurance Policies Act (VVG/LCA). If the health insurer does not provide supplemental insurance in the new place of residence, the health insurer must cancel the contract. Of course, in this case, you cannot be sure of getting the same supplemental cover in the new place of residence, because each insurer is free to decide who to accept and reject. Providers of supplemental insurance are always allowed to refuse an application or accept it with provisos – it is perfectly legal practice. Even an operation that took place long ago is sufficient reason for a rejection.

When you submit a new application for supplemental insurance, you are required to complete a health questionnaire. Check with your old insurer to see if they offer a product from a larger health insurer under their name. If so, you may have the option of switching to a new product without completing the health check.

If this is not possible and you have health issues, it’s still worth persevering. Submit multiple applications – not all insurers apply the same assessment criteria. If you are rejected, you can try contacting the customer service manager. Your family doctor can also provide written confirmation of how long you have been symptom-free. If all else fails, you can always apply to be accepted with provisos. This means you will be insured, but the insurance company will not reimburse any costs incurred in connection with the stated condition. 

How to switch supplemental health insurance

Procedure for switching supplemental insurance

1. Compare supplemental insurance deals

2. Request quotes and review them carefully

3. Select and apply for the best deal

4. Fill in the insurance application form, including the health questionnaire, truthfully

5. Wait for confirmation of acceptance (check whether there are any provisos or restrictions)

6. Cancel your old supplemental insurance

Further notes and tips

• Don’t cancel your current supplemental insurance until you have received confirmation of unconditional acceptance from your new insurer, as there is no guarantee you will be accepted for supplemental insurance. In many cases, the new insurer will cancel the old policy on your behalf. Otherwise, you are advised to cancel your basic insurance only.

• Multi-year policies are possible in supplemental insurance, and they can offer additional savings. However, they can also make switching more difficult.

• Health insurers may impose temporary or permanent exclusions on a supplemental insurance policy if they discover that the applicant has a health risk. This means that the insured person is not covered for the treatment of an illness that has been excluded.

• Answer the questions on the application form accurately and completely. Health insurance providers have the right to make retroactive exclusions if it is later determined that false or incomplete information was provided on the application form.

• If the insurer postpones the start date of cover, you are not always required to answer the health questions again. It can therefore be a good idea to apply for supplemental insurance early on.