In Switzerland, health insurance premiums are fixed per person, regardless of your salary. Two people from the same canton with very different incomes pay the same premium. To compensate for this, the law requires all cantons to reduce the premium for people on low incomes. This is known as the premium reduction subsidy, or ‘réduction des primes’ in French-speaking Switzerland. The problem is that many who are entitled to it do not claim it, either because they believe they are not eligible or because nobody has explained to them what figures are involved.
The figures that change perceptions: in the canton of Vaud, a single person may be eligible for the allowance up to an annual taxable income of around 56,000 francs. A childless couple up to around 80,000. A family with two children up to around 100,000 francs. In Geneva, the thresholds are even slightly higher, at around 60,000 francs for a single person. In Fribourg and Neuchâtel, they are slightly lower. These are not poverty thresholds: they are income brackets that include many people on standard wages, who believe that this kind of support is not for them.
The allowance is calculated based on your tax return, usually the one from two years ago. And in most cantons, it isn’t paid automatically: you have to apply for it. In Vaud, the application is made to the Employment Service (SDE); in Geneva, to the SAM; and in Fribourg, to the SASoc. If you have never applied for this allowance or haven’t reviewed your situation for a while, it’s worth checking. On the official website priminfo.admin.ch, you can find your canton’s contact details directly.
What many people only realise too late: in some cantons, you have to renew your application every year, even if your circumstances haven’t changed. And if there’s a change in your circumstances, such as the birth of a child, a separation or a drop in income, you can submit an application at any time of the year, even if your previous application was rejected.