Automatic Benefit Increase Option

Some Swiss household insurance providers offer customers “automatic benefit increase” as an optional rider on their household insurance policy. This rider guarantees that the insurance benefit for your household increases every year to compensate for overall cost-increases, without you having to request higher coverage.

As the SVV household index rises, your insurance benefit levels automatically increase in relation to that index. That can help you avoid becoming under-insured as time passes and inflation affects prices.

If your policy does not include the automatic benefit increase rider, it’s a good idea to compare your benefit levels with actual costs every few years to make sure your benefits are still adequate.

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Benjamin Manz is CEO of moneyland.ch and an independent expert on banking and finance.

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