Swiss National Council approves salary cap for health insurance executives

The Swiss National Council has approved a parliamentary initiative to implement a salary cap for executives of health insurance companies regarding their activities in basic insurance. The proposal, introduced by Senator Baptiste Hurni, passed with 157 votes in favor and 27 against.

The proposed cap is intended to align with the highest salary class in the Swiss federal administration, which would limit compensation to approximately 405,656 Swiss francs. This stands in contrast to current executive pay at major insurers like CSS, Helsana, and Sanitas, where CEOs have earned nearly one million francs annually. The cap would be adjusted for inflation and take into account the size of the insurer and average costs per insured person.

To ensure compliance, insurers would be required to publish the compensation and employment percentage of all management and administrative bodies, including their names. While supporters argue the measure promotes fairness and credibility in the healthcare system, critics contend it will have a negligible impact on premium costs and may create excessive bureaucratic burdens.