Health insurance guide

Premium reduction: who is entitled and how the application works

Cantonal procedures, deadlines and the new legal situation since 2026 — from automatic assessment to the annual application, with official sources.

Last updated on September 8, 2026 · Reviewed by our FINMA-licensed advisory team

In brief

The cantons reduce the health insurance premiums of insured persons in modest economic circumstances (KVG Art. 65); the amount goes directly to the health insurer, not to the insured person. Who is entitled and how to apply is regulated by each canton itself — from automatic assessment (e.g. Bern) via posted forms (e.g. Zurich) to an annual application with a hard deadline (e.g. Lucerne: 31 October).

Since 1 January 2026, an additional rule applies: every canton must spend a minimum share of 3.5 to 7.5 percent of its cantonal OKP gross costs on premium reduction. For lower and middle incomes, children's premiums must be reduced by at least 80 percent and the premiums of young adults in education by at least 50 percent.

This page provides general information and does not replace personal advice. As of 2026, without guarantee. The premium reduction is applied for at the responsible cantonal office — the law of the canton of residence alone is decisive.

Who is entitled?

Federal law only sets the frame: insured persons "in modest economic circumstances" receive a premium reduction, paid directly to the insurer (KVG Art. 65). The income and asset thresholds, the amount and the procedure are set by each canton itself — according to the FOPH, the cantonal systems differ considerably.

A cantonal example for the order of magnitude of asset thresholds: the canton of Lucerne excludes single persons from 100,000 francs of assets and married couples from 200,000 francs, with a supplement of 50,000 francs per child or young adult in education. Other cantons calculate differently — the canton of residence is decisive.

Children and young adults: the minimum rates

For lower and middle incomes, federal law prescribes minimum rates: children's premiums must be reduced by at least 80 percent, and the premiums of young adults in education by at least 50 percent (KVG Art. 65 para. 1bis). Where the income thresholds for "lower and middle incomes" lie is defined by the canton.

What changed in 2026

On 1 January 2026, the indirect counter-proposal to the premium-relief initiative came into force. Since then, every canton must spend a minimum share of its OKP gross costs on premium reduction — staggered between 3.5 and 7.5 percent, depending on the premium burden of the 40 percent of insured persons with the lowest incomes (KVG Art. 65 para. 1quater/1quinquies).

The federal contribution remains unchanged at 7.5 percent of OKP gross costs (KVG Art. 66); in 2024, around 6.6 billion francs of premium reduction were paid out in total. Depending on the canton, the circle of entitled persons may widen through the new minimum-share rule — cantonal law remains decisive.

The federal government publishes the cantons' minimum contributions for the following year after the premium approval, by October at the latest (FOPH).

Three procedures: automatic, form, application

How the reduction reaches the entitled persons differs by canton. Three types of procedure, with documented examples:

Procedure types for the premium reduction with example cantons, as of 2026. The rules of the canton of residence are decisive.
Procedure type	Example	How it works
Automatic assessment	Bern	Entitlement is generally assessed without an application, based on final tax data; only certain groups (e.g. persons taxed at source) file an application
Posted form	Zurich	The SVA assesses ex officio and sends entitled persons an application form for the following year by the end of July; those who did not receive one can apply until 31 March of the following year
Annual application with deadline	Lucerne	Registration anew each year with the compensation office; deadline for the 2027 reduction: 31 October 2026 — with later registration, the reduction is only granted for the following months, retroactive payment is excluded

The three cantons exemplify the procedure types — deadlines and details differ by canton even within one type.

Where to apply?

A cantonal office is always responsible — depending on the canton, the compensation office, the SVA or a cantonal agency. The website of the canton of residence and the federal government's official premium platform (priminfo.admin.ch) point to the right office. The health insurer itself does not accept applications; it receives the reduction directly from the canton and deducts it from the premium invoice.

The autumn timeline: premiums, deadlines, reduction

The premium reduction is part of a fixed annual rhythm:

End of September
The FOPH communicates the approved premiums for the following year (as of 8 September 2026, the 2027 premiums have not yet been published).
By the end of October
The health insurers inform the insured individually about the new premium. In application cantons, the deadlines run in parallel — in Lucerne, for instance, the registration deadline for the 2027 reduction ends on 31 October 2026.
End of November
Termination deadline for switching insurer per 1 January — the termination must arrive at the insurer.

Cancelling and switching health insurance: deadlines and process →

Whether and how premium, deductible and model can be combined in your situation is something we are happy to discuss with you — with no obligation.

Frequently asked questions

Who is entitled to a premium reduction?

Insured persons in modest economic circumstances (KVG Art. 65). The concrete income and asset thresholds are set by the canton of residence — they differ considerably. The reduction is paid directly to the health insurer and deducted from the premium invoice (source: KVG, FOPH).

Do I have to apply for the premium reduction?

Depending on the canton: in Bern, entitlement is generally assessed automatically from tax data; in Zurich, the SVA sends entitled persons a form; in Lucerne, a new application is needed every year with a 31 October deadline. The rules of the canton of residence are decisive (source: cantonal offices).

Until when do I have to apply?

Deadlines are cantonal. Examples: Lucerne requires registration for 2027 by 31 October 2026 — later, the reduction is only granted for the following months. In Zurich, those who did not receive a form can apply until 31 March of the following year (source: WAS Lucerne, SVA Zurich).

How high is the premium reduction?

There is no nationwide figure: each canton sets the amount and scale itself, depending on income, assets and family situation. Federal law only fixes the minimum rates for children (at least 80 percent) and young adults in education (at least 50 percent) for lower and middle incomes (source: KVG Art. 65).

What applies to children?

For lower and middle incomes, the cantons must reduce children's premiums by at least 80 percent (KVG Art. 65 para. 1bis). Where the income thresholds lie is defined by the canton (source: KVG).

What changed in 2026?

Since 1 January 2026, every canton must spend a minimum share of 3.5 to 7.5 percent of its OKP gross costs on premium reduction — the counter-proposal to the premium-relief initiative is in force. Depending on the canton, the circle of entitled persons may widen (source: KVG Art. 65, FOPH).

Where is the premium reduction paid to?

Directly to the health insurer, which deducts it from the premium invoice — not to the insured person's account (KVG Art. 65 para. 1). The application is filed with the responsible cantonal office, not with the insurer (source: KVG).

I missed the deadline — what now?

That depends on the canton: in Lucerne, a late registration only yields the reduction for the following months, with no retroactive payment; in Zurich, the grace period runs until 31 March of the following year. The responsible cantonal office provides information on the concrete options (source: cantonal offices).

Sources

Every deadline and figure on this page has been verified against the official sources linked above. As of the date shown at the top. This page does not replace individual advice.

Questions about premium, deductible and model?

The premium reduction runs through your canton — what can be arranged with premium, deductible and model is something we are happy to discuss with you. With no obligation.

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