What is personal liability insurance in Switzerland?
Swiss personal liability insurance covers the financial repercussions of a physical injury a person inflicts on a third party or of damage the policyholder causes to a third party’s belongings or property.
What amount should I be covered for?
Minimum : CHF 3 million
Maximum : CHF 10 million
Other : CHF 5 million
Our expert’s recommendation:
The difference in price between CHF 3 million and CHF 5 million coverage is only between CHF 10.- and 15.- per year. Reminder: It is Swiss personal liability insurance that covers the loss of income and medical expenses of a person you injure or the reparations after a fire you might cause; these amounts can be counted in millions.
What personal liability deductible or “excess” should I choose?
Minimum: 0.-
Maximum: 1000.-
Other: 200.- / 500.–
Minimum: 0.-
Maximum: 1000.-
Other: 200.- / 500.-
Our expert’s recommendation:
We recommend a CHF 0.- deductible for better value for money.
To benefit from a significant difference in price one needs to choose a deductible of CHF 500.-, a saving of roughly CHF 50.- per year. Personal liability insurance contracts generally last 5 years. Is it worth saving 250.- over a five year period knowing that if you make a claim once in that same 5 year period (for something as common as breaking someone’s smart phone) you will lose money if the claim is larger than CHF 250.- ? Replacing a smart phone costs, on average, CHF 600.-
What value or amount is reimbursed in case of a personal liability claim?
A personal liability claim is reimbursed at actual value, not replacement value.
Extended coverage that should always be included in personal liability insurance in Switzerland:
Gross negligence.
Always include gross negligence (faute grave in French) in your Swiss personal liability insurance plan to avoid the insurance company penalizing you when you make a claim.
Extended coverage that can be added to personal liability insurance in Switzerland:
Recommended if you occasionally drive other peoples’ cars:
Insurance premium increases suffered by the car owner after a claim and damage caused to the car if the car owner does not have casco collision protection when driving a borrowed car on an occasional basis.
Recommended if you often drive rental cars or other peoples’ cars:
Damage caused when driving a rental car, covers the rental car deductible up to CHF 2500.- Damage caused when driving a rental car, covers the rental car deductible up to CHF 2500.-Insurance premium increases suffered by the car owner after a claim and damage caused to the car if the car owner does not have casco collision protection when driving a borrowed car on a regular basis.
Recommended if you ride horses that do not belong to you:
Damage caused when riding a borrowed horse
Recommended if you use boats that do not belong to you:
Damage caused when sailing/driving a borrowed boat
Obligatory if you hunt:
Damaged caused while hunting
Examples of personal liability insurance claims in Switzerland
A breaks B’s mobile phone.
B’s phone is paid for by A’s personal liability insurance at actual value, less the deductible.
A injures B who cannot work for 6 months.
B’s loss of salary and medical expenses are paid for by A’s Swiss personal liability insurance.
A’s child or pet injures B or breaks something belonging to B.
B’s damage is paid for by A’s personal liability insurance LESS the deductible (and depreciation depending on the case).
Glossary of Swiss insurance terms – Personal Liability Insurance
Deductible or “excess”
The deductible or “excess” is the amount the insurance policy holder will pay out of pocket before the insurance company starts to refund the claim. The deductible can be applied per claim or per calendar year depending on the type of insurance. The lower the deductible the higher the insurance premium, as a low deductible costs the insurance company more when a claim is made.
Actual value
The amount required to replace the broken object at today’s price less depreciation, which includes wear and tear and obsolescence.
Replacement value
The amount required to replace the broken object at today’s price.
Gross negligence
The obligation to observe the basic principles of security or care that can be expected of any reasonable person in the same situation and circumstances.
