Investment strategies: asset management is delegated to an external asset manager

• Selection from a wide range of asset managers / strategies.
• Previous custodian bank/asset management can usually be taken over.

Fund range: Clients can choose from a selection of investment funds/ETFs themselves

Income tax: the benefit in the event of survival or surrender is exempt from income tax if the following conditions are met:

• The insured person has reached the age of 60 at the time of payment.
• The contractual relationship was established before the age of 66.
• The contractual relationship has lasted at least five years.

Wealth tax:  Taxation of the surrender value.

Stamp duty: Stamp duty of 2.5 % of the single premium.

• Tax benefits, if the relevant tax conditions are met.
• High level of security thanks to comprehensive insurance cover in the event of death. (guaranteed minimum death benefit.
• Maximum flexibility in every life situation.
• Policy can be pledged, (partial) surrender is possible.
• Estate planning through free choice beneficiary.
• Beneficiary status can also be irrevocable.

Single premium, minimum of CHF 500'000, payment in cash or securities.

Additional payments are not possible; a new insurance contract would have to be taken out for each payment.

Entry age:

• Min 18 years.
• Max 66 years for tax-privileged insurance.

Final age: Max 99 years.

Duration of contract: 

• Min 10 years.
• Max 50 years.

Surrenders: (partial) surrenders can be made at any time. If tax conditions are not fullfilled, the payment is not tax-privileged and the positive difference between the payment and the premium is taxed as income.
 

In Switzerland, the third pillar refers to voluntary private pension provision to supplement the benefits provided under the 1st and 2nd pillars. Here are the main differences between Pillar 3a and Pillar 3b:

Pillar 3a: Tied pension provision:

• Pillar 3a is known as tied pension provision because its main aim is to secure your retirement.
• The federal government grants tax advantages for pillar 3a.
• Annual payments into Pillar 3a are capped at a fixed amount and are deductible from your taxable income.

Pillar 3b: Unrestricted pension provision:

• Pillar 3b is known as free pension provision because it offers greater freedom and flexibility. It can also cover other needs in addition to those of Pillar 3a.
• Unlike Pillar 3a, annual contributions to Pillar 3b are not capped, but they are not tax-deductible.
• Withdrawals from Pillar 3b, on the other hand, are tax-free, and the term of the contract is freely selectable.

LIFEPlus Switzerland is a pension solution with a savings component invested according to your personal investment profile. The policyholder benefits from the security of guaranteed benefits in the event of death and attractive return prospects in a flexible solution that adapts to his or her financial needs.

• multiple investment solutions available (asset managers and strategies)
• the insured is identical to the policyholder
• the minimum term is 10 years
• minimum premium of CHF 500,000
• minimum death cover is calculated according to the rules for tax-privileged insurance and is higher than the premium
• the contract benefits from the privileges of an insurance contract (beneficiary, over-indebtedness, bankruptcy of the insurer) if certain conditions are met.
• partial or total surrender possible at any time

Yes, both in the event of survival and in the event of surrender, provided that the conditions prescribed by law and set out below are met.
The product is tax-privileged in accordance with the FTA's approval of 7 December 2016. In the event of death, the amount of the payment is subject to inheritance tax. For spouses and direct descendants, most cantons do not provide for any taxation.
If the insured dies, the lump-sum death benefit is subject to cantonal inheritance tax.
The surrender value of the insurance is subject to wealth tax.

No, as a capitalisation solution, the contract is not subject to income tax during its term. On surrender and maturity, the contract is subject to income tax, unless the conditions required to benefit from the tax privilege are met.

The payment in the event of death (minimum death benefit or higher surrender value payment) is not subject to income tax. However, the lump-sum death benefit is subject to cantonal inheritance tax (with any exemptions provided for by law) at the policyholder's place of residence.

Yes, a surrender can be made at any time. In this case, the payment is not tax-privileged and the positive difference between the payment and the premium is taxed as income. In the event of a full surrender, the federal stamp duty not yet (fully) debited will be deducted.

No, additional payments are not possible; a new insurance contract would have to be taken out for each payment.

The policyholder may pledge all or part of the policy to a bank as collateral for a loan.

The minimum term is 10 years and the maximum term is up to 99 years.
The contract cannot be extended. The policy can be surrendered and a new policy taken out (subject to 2.5% stamp duty).