Swiss Health Insurance Act Amendments and Cost Containment Measures
Switzerland is actively working to contain rising healthcare costs through amendments to its Federal Health Insurance Act (KVG/LAMal). Recent developments include a referendum approving standardized financing of benefits and ongoing consultations regarding further cost containment packages.
Standardized Financing of Benefits Approved in 2024
In November 2024, Swiss voters approved an amendment to the Federal Health Insurance Act, known as the Health Insurance Act: Standardised Financing of Benefits. The referendum passed with 53.3% of the vote, paving the way for uniform financing of outpatient, inpatient, and long-term care services under compulsory health insurance. Health Insurance Act: Standardised Financing of Benefits
This reform shifts some of the financial burden from health insurance premiums to cantonal taxes, with the goal of easing premium increases. Implementation will occur in two phases, beginning on January 1, 2028. Currently, inpatient hospital treatments are funded with at least 55% of costs covered by cantons, while outpatient treatments are fully funded by premiums. The new model aims for cantons to contribute at least 26.9% and insurers up to 73.1% of net costs for all services. Health Insurance Act: Standardised Financing of Benefits
Cost Containment Package 2 Under Consultation
The Federal Council decided in March 2025 to amend the Federal Health Insurance Act through “Cost Containment Measures – Package 2.” This package aims to curb the rise in healthcare costs covered by compulsory health insurance to the extent that is medically justifiable. FOPH: Cost Containment Package 2
Implementing these changes requires adjustments to the Ordinance on Health Insurance (KVV) and the Ordinance on Healthcare Benefits (KLV). Amendments include a volume discount on medicinal products with high sales and a modernization of the price-setting process. As of February 19, 2026, the Federal Council has initiated a consultation process on these proposed amendments. FOPH: Cost Containment Package 2
Thurgau Canton Rejects Initial Package
The government council of the canton of Thurgau has rejected the proposed measures within Cost Containment Package 2, stating they are unlikely to achieve the goal of reducing costs. The council argues that a cost containment package should actively reduce costs, not introduce new services, and that the planned reference tariffs would create unnecessary bureaucracy.
Looking Ahead
Switzerland continues to navigate the complexities of healthcare cost containment. The ongoing consultation on Package 2 and the implementation of standardized financing represent significant steps toward a more sustainable and affordable healthcare system. Further developments and the outcomes of the consultation process will be crucial in shaping the future of Swiss healthcare financing.