Health insurance: Younger generation has knowledge gaps

Health insurance is the only insurance that concerns everyone without exception. Although it is mandatory in Switzerland, certain segments of the population are poorly informed when it comes to health insurance. This is shown by an AXA survey among young adults.

In 2024, AXA surveyed around 1,100 people aged between 18 and 30 about health insurance. On one point, there is broad agreement: The level of health insurance premiums in Switzerland is “unjustified” or “rather unjustified.” Around 70 percent of respondents agree on this. The survey also revealed that there are major knowledge gaps among the younger generation. Many people are unaware that they can influence their own health insurance costs – and how that works. As a result, it is precisely these younger people who are often short on funds that pay unnecessarily high premiums.

Lack of interest

More than a third of young adults have little or no interest in health insurance. The main reasons for this are: The subject was too complicated and there was nothing you could do about the high premiums. But that’s not true: If you know the most important facts about health insurance, you can take greater charge of your premiums. 

Lack of basic knowledge

The Swiss healthcare system does indeed have a certain complexity. But basically there are only a few things you need to know and understand in order to find your way around. Here are the basics that will shed some light on the subject: 

1. Same benefits, different premiums

The benefits of basic insurance are governed by the Health Insurance Act (Krankenversicherungsgesetz in German). However, half of the respondents were unaware that all health insurers are required to pay for the same treatments and medications as part of their basic insurance. Consequently, the different health insurers differ mainly in price. This is why you should use a neutral comparison of health insurance funds each year to find the most affordable basic insurance for you. Of course, there are other differences, for example in terms of customer satisfaction or repayment periods.

2. Annual change is possible for everyone

You can cancel und change your current health insurance at the beginning of the year. That goes for everyone. You can join the health insurer of your choice as they are not allowed to deny you coverage. Around 30 percent of those surveyed did not know this. And around half thought that gender and health would affect the amount of their premiums – but this is not the case.

3. Several factors influence the premium

You pay more or less depending on your age and place of residence. Of course you can’t change how old you are, and you probably won’t move for health insurance. But there are other factors worth taking into account: 

• Deductible. The more you contribute to your medical costs, the lower your premium. The highest deductible (CHF 2,500) is therefore worthwhile for young, healthy people who have no major treatments planned. If you expect treatment costs of CHF 2,000 or more next year, you should choose the lowest deductible (CHF 300). 
• Insurance model. If you waive the option to choose your own doctor (standard), you can save a lot of money. You have these alternatives: General practitioner model, HMO model (group practice) or Telmed model (hotline and/or app). Here, you are obligated to always report any health problems to the agreed point of contact first. 
• Health insurer. You can find the best offer for you if you include your age, premium region, deductible and insurance plan. Perhaps the best option is to have a different insurer for each person in your family. AXA’s switching report shows how much money can be saved just by switching insurers (assuming everything else remains the same).

Confusion about notice periods

If you want to change your health insurance, you must not miss the termination date. Otherwise, your current policy will remain in effect for a further year. As a result, many insured persons remain in an unfavorable situation for many years. Three quarters of respondents did not know when to cancel their basic insurance or had the wrong date in mind. In the case of supplementary insurance, more than 90 percent were off the mark. In fact, the different deadlines are somewhat confusing: 

• Supplementary insurance – September 30
• Basic insurance – November 30

Furthermore, the notice of termination must be received by the insurer on the deadline itself or on the last working day prior to the deadline. Cancellations that are postmarked on the day of the deadline are too late. 

Our tip: Even if you have missed the deadline for terminating your supplementary insurance, it is still worth considering switching your basic insurance. You can easily keep your supplementary insurance and switch to a different insurer for your basic insurance. This division is called splitting.

Health insurers outperform their reputation

Healthcare costs in Switzerland have risen rapidly in recent years. The image of health insurers is correspondingly poor. After all, they are the ones who impose this heavy burden on the population – as is commonly believed. This is also reflected in the AXA survey: In addition to politics and the pharmaceutical industry, many young adults see health insurance as primarily responsible for the cost explosion in healthcare. Health insurance is particularly critical in French-speaking Switzerland. However, this perception does not correspond to reality: At around 5 percent, the health insurance companies themselves contribute very little to the total costs (source in German: Federal Statistical Office). On the contrary, healthcare spending is steadily growing, which is partly due to demographic trends and advances in medical technology.