Daily sickness allowance for the self-employed: how to protect your income in case of illness

A flu infection is unpleasant. A slipped disc can put your livelihood at risk. If you are self-employed, illness often means: no income, but all your costs remain. Depending on the situation, loss of income can quickly amount to several thousand francs per month.

A typical example:
A self-employed business owner is unable to work for several months due to health issues. During this time, not only is income lost, but ongoing projects are delayed, some clients turn elsewhere, and fixed costs continue unchanged.

As a self-employed person in Switzerland, you are not automatically insured against loss of income. If you are unable to work for an extended period due to illness, your income stops while your ongoing costs remain. This is exactly where daily sickness allowance insurance comes in.

To mitigate this risk, it is advisable to take precautions at an early stage. By taking out daily sickness allowance insurance, self-employed individuals can protect themselves financially in the event of illness.

This is exactly where we come in:
we analyse your individual situation and transparently show you which level of cover is truly appropriate for you. We compare different solutions on the market and transparently outline the advantages and disadvantages of each option.

In a short time, you will find out if and where a risk exists.

Daily sickness allowance insurance secures your income if you are temporarily or longer-term unable to work due to illness. Depending on the chosen solution, you receive a daily allowance after a waiting period, based on your income.

First, a thorough analysis of your needs is required. With the help of our experts, you’ll determine the amount of your monthly income loss in the event of 100% incapacity to work.

To determine the appropriate level of cover, it is essential to analyse your individual situation in detail.

Depending on the situation, different insurance solutions can be combined effectively.

In the event of a claim, you will receive a daily allowance after the agreed waiting period has elapsed. The amount and duration of the benefits depend on the chosen insurance solution.

Our experts will be happy to assist you in identifying additional industry-specific factors that need to be taken into account.

Together with our expert, you’ll then define the insured daily allowance, the waiting period and the desired benefit duration. Daily sickness allowance insurance can be taken out under either the Health Insurance Act (HIA) or the Insurance Policies Act (IPA). But what does this mean, and what are the differences between the two options?

Depending on your situation, different insurance models may be suitable. In principle, a distinction is made between solutions under HIA and IPA:

Voluntary daily sickness allowance insurance under the Swiss Health Insurance Act (HIA) can be taken out as an individual insurance option for the self-employed or as collective insurance for businesses. Anyone residing in Switzerland, engaged in gainful employment and between the ages of 15 and 65 can choose to take out daily sickness allowance insurance under the HIA with the insurance provider of their choice.

As with basic health insurance, providers have an obligation to accept applicants. In other words, all interested individuals or groups can take out this insurance product. However, the insurer may require a health questionnaire to be completed before enrolment and may impose certain exclusions if necessary. These exclusions are valid for a maximum of five years after enrolment.

Premiums will be the same for men and women. Since the maximum insurable daily rate is low (from CHF 10 to CHF 30), taking out this insurance solution is generally not advantageous.

Unlike daily sickness allowance insurance under the HIA, this insurance variant is subject to the Swiss Insurance Policies Act (IPA). As with optional supplementary health insurance, insurers are free to set the conditions for enrolment, but unlike the HIA variant, providers are not obliged to accept applicants. This means that your application may be rejected by the insurer.

Premiums will be determined based on your age, gender and health status, and it may include other criteria depending on the insurance provider. Applicants are free to choose the daily allowance, waiting period and duration of benefits, and all these factors will affect the insurance premium. All essential aspects of the selected insurance product are specified and regulated in the policy and the general insurance conditions (GIC).

Daily allowances for pregnancy and childbirth are not included in the standard products of all providers, so we recommend that women contact us as early as possible before planning a pregnancy. Our experts will be happy to clarify which benefits are already covered and which can be integrated into your existing insurance policy with an additional insurance module.

For self-employed individuals, a solution under the ICA is in most cases advisable, as benefits, the level of daily allowance and the waiting period can be flexibly tailored to the individual situation.

However, which option is most suitable in your specific case depends on various factors and should be assessed individually.

Apart from your choice of insurance company, the following criteria can also influence the premiums you pay:

Our experts will be happy to obtain comparative quotes for you following a thorough analysis of your needs. They’ll help you decide on the best offer and are always available to answer any questions you may have.

Our insurance experts will provide you with professional support so you can focus on your business. They’ll take your needs into account and find the best solution for you and your industry on the insurance market. This service is free of charge for you.

For us to access your data with insurance companies as accredited brokers and obtain comparative quotes for you, we’ll need your written consent in the form of a brokerage mandate.

Simply download the mandate form, fill it in and send it to us via e-mail or by post to Union Swiss Brokers Holding AG, Lyssachstrasse 9, 3400 Burgdorf. We’ll contact you upon receipt to discuss the next steps.

No. For self-employed individuals, daily sickness allowance insurance is generally voluntary. For this reason, the risk of income loss during a prolonged period of illness is often not adequately covered. Without appropriate insurance, any loss of income due to illness generally has to be borne by the insured person.

Allowance payments start after the agreed waiting period has expired. Depending on the chosen insurance solution, this period may be 14, 30, 60, 90 days or longer. In general, the longer the waiting period, the lower the insurance premium.

The duration of payments depends on the selected insurance model and policy. Depending on the chosen solution, allowances may be paid for several months or even several years. The exact duration is agreed when the contract is concluded.

The insured daily allowance depends on the chosen insurance solution and the contractual arrangements. Under policies governed by the Insurance Contracts Act (ICA), the daily allowance amount and payment duration can generally be agreed individually. Under policies governed by the Health Insurance Act (HIA), the relevant legal and tariff regulations apply. When determining the appropriate amount, factors such as income, fixed expenses, family circumstances and available financial reserves should be taken into account.

Without daily sickness allowance insurance, you will generally need to cover any loss of income caused by illness yourself. At the same time, private and business-related expenses continue. Depending on the duration of the incapacity for work, this may result in significant financial strain.

The most appropriate waiting period depends on your personal circumstances and available financial reserves. Those with sufficient savings may choose a longer waiting period and typically benefit from lower premiums. Those who depend on a regular income may benefit from a shorter waiting period.

Daily sickness allowance insurance under the Health Insurance Act (HIA) is subject to the provisions of Swiss health insurance legislation. HIA insurers must accept individuals aged between 15 and 65 who live or work in Switzerland. Solutions under the Insurance Contracts Act (ICA), by contrast, are generally based on contractual freedom. Benefit amounts and payment periods can be agreed individually, but insurers are not obliged to accept applicants and may assess their health status. The most suitable option depends on your personal circumstances and the level of cover you require.

Yes. In particular, insurers offering solutions under the ICA generally assess an applicant’s health status before concluding the contract. Depending on the circumstances, exclusions may apply or an application may be declined. It is therefore advisable to address this issue early rather than waiting until health problems arise.

Depending on your personal circumstances, insurance premiums may be taken into account under the applicable tax regulations. The available options depend, among other factors, on your canton of residence and your individual tax and pension situation.

This depends on factors such as your income, occupation, fixed expenses, available savings and family circumstances. A personalised needs analysis can help determine an appropriate daily allowance amount, waiting period and payment duration, ensuring that the insurance cover is aligned with your individual situation.

On our Business Insurance Solutions page, you can find more information about daily sickness allowance insurance, pension planning, business liability insurance and other important cover options for self-employed professionals and SMEs.

Editorial note: This article was originally published in May 2026 and was reviewed and updated in September 2026.