Foresight, a strategic subject for the employer
In Switzerland, the employer must manage several personal coverages: professional BVG insurance, LAA accident insurance, maintenance of salary in the event of illness and, depending on needs, additional coverage for executives, managers and key employees.
The legal minimum protects, but it does not always meet the real needs of SMEs. A well-constructed plan can reduce gaps, make the business more attractive and avoid unforeseen costs in the event of a long absence, disability or death.
BVG bonds in 2026
- Affiliation: any employer with at least one employee subject to the LPP must affiliate with a provident institution.
- Entry threshold: compulsory affiliation from CHF 22,680 of annual salary with the same employer, for employees subject to AVS.
- Age: death and disability coverage from January 1 following the 17th birthday; old age savings from January 1 following the 24th birthday.
- Coordination deduction: CHF 26,460 in 2026 to determine the coordinated salary in the mandatory portion.
- Employer co-payment: the employer finances at least 50% of the total LPP contributions.
- Obligatory ceiling: the minimum LPP ensures the salary up to CHF 90,720; beyond this, additional compulsory coverage may be provided.
Go beyond the legal minimum
The LPP leaves real room for design. You can improve the plan by reducing or eliminating the coordination deduction, ensuring high salaries, increasing the employer share, strengthening death and disability benefits or creating a specific plan for executives and directors.
These choices have a direct impact on recruitment and retention. At the same salary, better pension provision can represent several thousand francs of annual benefit visible on the employee's LPP certificate.
Blankets to coordinate
- BVG: retirement, disability and death.
- LAA: professional and non-professional accidents according to activity rate.
- LAAC: accident supplement for high salaries, private room, better coverage or uncovered expenses.
- Loss of wages due to illness: daily allowances to transfer the risk of long absence to an insurer.
- Master plans: coverage of high incomes, bonuses, variable salaries and specific needs of associates.
- Insurance for the self-employed: Optional LPP or private solutions when the structure does not automatically create sufficient coverage.
Full or semi-autonomous insurance?
Comprehensive insurance offers more security: the insurer carries the risks of death, disability, longevity and investment depending on the model chosen. It is often suitable for businesses that want a predictable charge and little risk of undercoverage.
A semi-autonomous solution can offer better return prospects, but is more exposed to market fluctuations and possible restructuring measures. The choice depends on your risk tolerance, age structure, payroll and your HR policy.
Situations that deserve analysis
- Business creation or first employee engagement.
- Strong growth in workforce or arrival of executives.
- Part-time employees penalized by the coordination deduction.
- Salaries above the mandatory LPP ceiling.
- Costly sick leave or lack of loss of salary coverage.
- Desire to create a more competitive HR package without only increasing salaries.
Our support
Finwise audits your current solution, compares funds and insurers, calculates the employer-employee impact and helps you choose a balanced structure: compliant, attractive and financially controlled. We coordinate LPP, LAA, loss of salary due to illness and additional plans to avoid gaps such as duplication.
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