Not everything is listed in the policy: Few people are aware of these 5 rights to cancel
Roman Loosli
Many people believe that what’s written in the policy is binding. But Swiss insurance law often gives you more rights than you think—especially when it comes to canceling a policy. Here are 5 options that hardly anyone takes advantage of.
An insurance policy is like an employment contract: in principle, there is freedom of contract. However, certain legal minimum standards apply, which ensure clear rules of the game.
The Swiss Insurance Contract Act (VVG) protects you as the policyholder and takes precedence over any individual policy. Even if your policy documents state otherwise, the law ultimately prevails. And that’s where things get interesting: Those familiar with the VVG recognize termination rights that many policyholders overlook—rights that give you more flexibility than your policy often suggests.
1. Long term? The 3-year rule gives you flexibility
Many insurance policies are signed for five years or even longer, often in exchange for a small discount. But what many people don’t know is that you aren’t necessarily locked in for the entire term. According to Article 35a of the Insurance Contract Act (VVG), you may terminate such contracts after three years—and every year thereafter—with a three-month notice period.
Insurers rarely mention this rule. No wonder, since it gives you more freedom to make your own decisions and reduces your dependence on old policies that no longer fit your life. Our advice: Don’t let the policy term intimidate you. The law is on your side.
2. Is your premium going up? The special right to cancel can help
You know the situation: Your insurance company announces a higher premium for next year, but your standard cancellation period has just expired. You feel powerless because the contract seems to be continuing.
But this is exactly where your legally guaranteed right to terminate the contract comes into play: If the premium is increased or the coverage reduced without this having been agreed upon in the contract, you have the right to terminate the contract—usually up until the change takes effect. This right is often overlooked, but it’s worth its weight in gold.
Here's an example from our community:
Reto has taken out comprehensive insurance for his electric car. A month before the end of the year, his insurance company writes to him saying that they have to raise his premiums for next year because repair costs have gone up. The increase amounts to a whopping 400 francs (+23%).
His policy mentions a three-month notice period, and Reto thinks he’ll now have to put up with the higher costs for another year. We pointed out to him that, in this case, he has a special right to cancel and can cancel his policy effective at the end of the year.
So Reto was able to avoid the premium increase and even save money by switching, since his new provider was 200 francs cheaper than his original policy.
Our expert tip: Carefully review any premium adjustment. It’s not just a rate hike—it might be your chance to optimize your coverage or switch providers.
3. Unhappy after a claim? You can cancel your policy
Imagine this: You took out insurance specifically because you wanted to be prepared for a particular situation. That very situation arises—but instead of helping you, the insurance company denies your claim. Suddenly, you realize that you’re not protected at all against the very situation you actually wanted to insure yourself against. This raises the question of why you should continue the policy at all.
In such situations, the Swiss Insurance Contract Act gives you a clear option: After any claim, regardless of whether the claim was paid or denied, you may cancel the policy. The deadline for doing so is short—just 14 days from the moment you learn of the decision. This right to cancel generally applies to both parties: you may cancel, and the insurance company may as well. However, there is an important exception in the area of supplemental health insurance. In that case, this right applies only to you as the policyholder.
Our tip: If you feel like your insurance isn't meeting your expectations, it's worth taking a closer look. This might be the perfect time to cancel your policy and find a better solution.
4. Has your risk decreased? You have the right to lower premiums—or to cancel your policy
Perhaps you’ve made your home more secure, given up a dangerous sport, or chosen a less risky career. Changes like these reduce the insured risk, but your premium stays the same. In such cases, many policyholders simply keep paying, even though their circumstances have long since changed.
This is exactly where Article 28a of the Insurance Contract Act (VVG) comes into play: If the risk is permanently and significantly reduced, you have the right to request a premium reduction from the insurer. If the insurer fails to respond or refuses the reduction, you may terminate the contract. This right is little known but very effective—especially for long-term policies that are never automatically adjusted.
Our tip: It’s worth reviewing your existing policies on a regular basis. After all, your insurance should match your current risk—not the one you had five years ago.
5. Change of ownership? Termination is still permitted in that case
Let’s say you’re buying a house. Suddenly, you automatically become the new policyholder for the building insurance. Many people don’t realize that the insurance policy is transferred along with the property. But this is exactly where Art. 54 of the Insurance Contract Act (VVG) comes into play: As the new owner, you have the right to cancel the existing policy within 4 weeks of the transfer of ownership.
The insurer also has the right to cancel the policy, but only within 14 days of learning about the switch. This right is often overlooked in practice, but it gives you more freedom: you are not forced to keep a policy that doesn’t meet your needs.
Our tip: If you’re taking over an insured property, you should review not only the purchase agreement but also the insurance documents. This is the perfect time to update your coverage to ensure it meets your needs.
You don’t have to know everything by heart—that’s what Credura is for
When you read all these rules, you might quickly find yourself wondering: Do I really have to keep track of all this myself? The answer is: No. That’s exactly where Credura comes in. We don’t just understand the Insurance Contract Act (VVG)—we live by it. We know your rights, which are often overlooked, and we know when they become relevant in everyday life.
So you don’t have to keep track of which policy applies when or whether your notice period is currently in effect. We keep this in mind for you. Whether a premium changes, a claim is filed, or a policy has been in effect for three years—we review your situation and let you know in good time when you can and should take action. And not just to cancel, but to optimize. This way, you get the most out of your insurance policies—simply, independently, and transparently.
With Credura, you not only have a clear overview, but also a partner by your side who looks out for your best interests. And all this with expertise you don’t have to learn by heart yourself.
Frequently Asked Questions About the Right to Cancel Insurance Policies
No. According to the Swiss Insurance Contract Act (VVG), you may terminate such contracts by giving notice after three years—regardless of what your policy states. And after that, you may even terminate them annually, with three months' notice.
Yes. If your insurance company raises your premium or reduces your benefits, you have the right to cancel your policy early—even outside the usual cancellation period. You can usually cancel your policy before the change takes effect.
Yes. Regardless of whether the insurance company approves or denies the claim, you have a 14-day right to cancel your policy after any claim (except for certain supplemental insurance policies, in which case this right applies only to you). The 14-day period begins the moment you are notified of the decision.
Yes. If your risk is permanently and significantly reduced (e.g., by taking up less dangerous hobbies or implementing better safety measures), you can request a premium reduction. If the insurance company does not respond or denies your request, you may cancel your policy.
The insurance policy is automatically transferred to you along with the house. However, you have the right to cancel the policy within 4 weeks of the transfer of ownership. The insurance company may also cancel the policy—but only within 14 days of learning about the change.
No—that’s what Credura is for. We keep track of everything for you, monitoring premium changes, policy terms, and legal requirements—and let you know in good time when you can or should take action. So you’re always optimally insured—simply, independently, and transparently.
Of course, you can also cancel your insurance policies yourself. Some providers allow you to do this via an app or email. To be on the safe side, however, we recommend sending a registered letter. You can use our templates for canceling basic insurance or supplemental insurance.