Life Insurance and Risk Coverage
Protect what matters most. Understanding your life insurance options and finding the right coverage for your needs.
Types of Life Insurance
Term Life Insurance
Coverage for a specific period
Key Features:
- Lower premiums
- Fixed coverage period
- Death benefit only
- No investment component
Best For:
- Young families
- Mortgage protection
- Temporary coverage needs
- Budget-conscious individuals
Whole Life Insurance
Lifelong coverage with savings component
Key Features:
- Permanent coverage
- Builds cash value
- Fixed premiums
- Investment component
Best For:
- Long-term planning
- Estate planning
- Business succession
- Wealth transfer
Risk Life Insurance
Pure death benefit coverage
Key Features:
- Death benefit only
- No savings component
- Flexible coverage amount
- Simple structure
Best For:
- Income replacement
- Debt protection
- Family security
- Business protection
Coverage Options
Death Benefit
Lump sum payment to beneficiaries
Typical Amount: Flexible (typically 3-10x annual income)
Key Considerations:
- Family needs
- Outstanding debts
- Future expenses
- Income replacement period
Disability Coverage
Protection against inability to work
Typical Amount: Based on income and occupation
Key Considerations:
- Current income
- Occupation risk level
- Living expenses
- Other disability coverage
Critical Illness
Coverage for serious health conditions
Typical Amount: Fixed sum or multiple payments
Key Considerations:
- Medical history
- Family health history
- Treatment costs
- Recovery period needs
Frequently Asked Questions
- How much life insurance do I need?
- The amount depends on your specific situation. Common recommendations include 5-10 times your annual income, plus any outstanding debts and future expenses (e.g., children's education). Consider your family's needs, mortgage, and other financial obligations.
- What's the difference between term and whole life insurance?
- Term life insurance provides coverage for a specific period (e.g., 10, 20, or 30 years) with lower premiums but no cash value. Whole life insurance offers lifetime coverage with a savings component but higher premiums.
- Can I have multiple life insurance policies?
- Yes, you can have multiple policies from different insurers. This strategy might be useful for different purposes (e.g., one for mortgage protection, another for family income replacement).
- Are life insurance premiums tax-deductible in Switzerland?
- Premiums for risk life insurance (pure death benefit) are generally tax-deductible within certain limits. Policies with savings components may have different tax treatment.
- What happens to my life insurance if I leave Switzerland?
- Most policies can continue if you move abroad, but terms may change. Some insurers offer international coverage. Always inform your insurer about relocation plans to understand your options.
Ready to protect your family's future?
Get expert guidance to find the right life insurance coverage