Pension provision in cohabitation

The Swiss pension system is heavily geared towards traditional married couples and families. Different rules apply to unmarried couples. Couples living in cohabitation are clearly at a disadvantage compared to married couples, and it is therefore all the more important to deal with the topic of retirement provision.

Old Age and Survivors' Insurance

In terms of the AVS (Old Age and Survivors' Insurance), unmarried couples are considered single. It does not matter how long the couple has been living together or whether they have children together. This means that in the event of the death of a partner, the surviving partner does not receive a widow's or widower's pension. Also, in the case of a separation, unlike in the divorce of married couples, the credits earned during the union are not divided and credited equally to the partners. Unmarried couples have an advantage in the amount of pensions. These can be up to 33% higher than for married couples.

Occupational Provision

If the spouse dies, the surviving partner usually has a right to benefits from their pension fund. This is not automatically the case for couples in cohabitation. However, many pension funds offer to provide benefits to the partner under certain conditions even for couples in cohabitation. This can vary from pension fund to pension fund and is usually subject to various conditions. Often, the partnership must have lasted for at least five years at the time of death, or there must be joint children to support. Furthermore, it is often necessary to submit a written beneficiary declaration during the lifetime.

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Unlike divorce among married couples, partners in cohabitation do not have the right to the division of pension fund assets that were saved during the years together.