{"id":38272,"date":"2024-11-18T09:54:32","date_gmt":"2024-11-18T08:54:32","guid":{"rendered":"https:\/\/fidulex.ch\/?p=38272"},"modified":"2024-11-18T10:25:03","modified_gmt":"2024-11-18T09:25:03","slug":"loss-of-earnings-insurance","status":"publish","type":"post","link":"https:\/\/fidulex.ch\/en\/loss-of-earnings-insurance\/","title":{"rendered":"Loss of earnings insurance for the self-employed"},"content":{"rendered":"
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How do you cover loss of earnings from self-employment?<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
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Unlike employees, the self-employed in Switzerland do not benefit from automatic protection<\/strong> against loss of income in the event of illness. For them, an interruption of activity can result in a total absence of income<\/strong>, jeopardizing their finances and those of their business.<\/p>

In this case, it is wise to take out daily allowance insurance to protect against loss of earnings<\/a><\/strong> in order to secure an income during periods of work incapacity.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t

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How daily allowance insurance works<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
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The daily allowance insurance aims to compensate<\/strong> for income loss due to work incapacity caused by illness<\/strong>. It ensures a daily payment based on a predefined amount for the duration of the incapacity.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t

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Types of insurance to cover loss of earnings<\/h3>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
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There are two main ways of covering loss of earnings due to illness in the self-employed sector:<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t

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  • \n\t\t\t\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t<\/i>\t\t\t\t\t\t<\/span>\n\t\t\t\t\t\t\t\t\t\tLAMal insurance :<\/b> Subject to the principles of social insurance, it is offered by health insurance companies. Although optional, it enables the self-employed to take out health insurance cover.<\/span>\n\t\t\t\t\t\t\t\t\t<\/li>\n\t\t\t\t\t\t\t\t
  • \n\t\t\t\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t<\/i>\t\t\t\t\t\t<\/span>\n\t\t\t\t\t\t\t\t\t\tInsurance under the LCA :<\/b> Certainly private, this option is more flexible and can be tailored to the self-employed person's specific needs. It can include customized waiting periods and selected indemnity amounts. It generally covers illness and accident.<\/span>\n\t\t\t\t\t\t\t\t\t<\/li>\n\t\t\t\t\t\t<\/ul>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
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    Who needs daily allowance insurance?<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
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    Although not mandatory, self-employed individuals concerned with protecting<\/strong> their income should consider taking out this insurance. In the event of illness, the absence of income can quickly become problematic<\/strong>, especially for those who do not have savings to cope with such situations.<\/p>

    The self-employed who derive most of their income from an activity that cannot be performed by another person, or who have no immediate back-up, are particularly concerned.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t

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    Payment of contributions<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
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    The financing of daily allowance insurance operates based on contributions paid by the insured. For insurance policies taken out under the LAMal<\/strong>, the calculation of premiums depends on age, the chosen indemnity amount, and the region. On the other hand, in the context of private insurance governed by the LCA<\/strong>, premiums can vary based on gender, age, and medical history.<\/p>

    The contributions are calculated to cover the expenses<\/strong> of the current year as well as the reserves<\/strong> for potential claims. This ensures that the insurer has the necessary funds<\/strong> to pay out allowances while maintaining a certain flexibility in premiums.<\/p>

    In all cases, the benefits offered by daily allowance insurance may vary depending on the contract:<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t

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    • \n\t\t\t\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t<\/i>\t\t\t\t\t\t<\/span>\n\t\t\t\t\t\t\t\t\t\tAmount of compensation :<\/b> Generally calculated as a percentage of declared income or as a fixed daily amount. A self-employed person can choose coverage of up to 80 % of income.<\/span>\n\t\t\t\t\t\t\t\t\t<\/li>\n\t\t\t\t\t\t\t\t
    • \n\t\t\t\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t<\/i>\t\t\t\t\t\t<\/span>\n\t\t\t\t\t\t\t\t\t\tWaiting time :<\/b> The longer the waiting period, the lower the premiums. This can range from a few days to several weeks, depending on the coverage chosen.<\/span>\n\t\t\t\t\t\t\t\t\t<\/li>\n\t\t\t\t\t\t\t\t
    • \n\t\t\t\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t<\/i>\t\t\t\t\t\t<\/span>\n\t\t\t\t\t\t\t\t\t\tPayment period :<\/b> The maximum duration of benefit payments for a single case of illness is 720 days, covering periods of prolonged absence up to the point of entitlement to an IV pension.<\/span>\n\t\t\t\t\t\t\t\t\t<\/li>\n\t\t\t\t\t\t<\/ul>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
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      Loss of earnings insurance VS Disability insurance (AI)<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
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      Loss of earnings insurance and disability insurance (DI) have distinct but complementary objectives.<\/p>

      Loss-of-earnings insurance is designed to compensate the income of workers, particularly the self-employed, in the event of temporary incapacity for work due to illness or accident, giving quickly<\/strong> access to immediate financial support for a fixed period.<\/p>

      In contrast, disability insurance (AI)<\/strong> comes into play when a work incapacity becomes permanent, providing long-term income in the form of a pension for those recognized as disabled. The AI intervenes much later<\/strong>, approximately 2 years after the onset of incapacity.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<\/div>","protected":false},"excerpt":{"rendered":"

      The self-employed are exposed to considerable financial risk in the event of illness. Daily allowance insurance helps to offset this loss of income and ensure the continuity of their business.<\/p>","protected":false},"author":1,"featured_media":38275,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"content-type":"","footnotes":""},"categories":[44],"tags":[],"class_list":["post-38272","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-assurances"],"_links":{"self":[{"href":"https:\/\/fidulex.ch\/en\/wp-json\/wp\/v2\/posts\/38272","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/fidulex.ch\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/fidulex.ch\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/fidulex.ch\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/fidulex.ch\/en\/wp-json\/wp\/v2\/comments?post=38272"}],"version-history":[{"count":13,"href":"https:\/\/fidulex.ch\/en\/wp-json\/wp\/v2\/posts\/38272\/revisions"}],"predecessor-version":[{"id":38287,"href":"https:\/\/fidulex.ch\/en\/wp-json\/wp\/v2\/posts\/38272\/revisions\/38287"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/fidulex.ch\/en\/wp-json\/wp\/v2\/media\/38275"}],"wp:attachment":[{"href":"https:\/\/fidulex.ch\/en\/wp-json\/wp\/v2\/media?parent=38272"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/fidulex.ch\/en\/wp-json\/wp\/v2\/categories?post=38272"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/fidulex.ch\/en\/wp-json\/wp\/v2\/tags?post=38272"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}