Swiss vote on two remedies for rising healthcare costs

The main political parties agree on the need to reduce healthcare costs, but they differ on what those solutions should be. Keystone / Ennio Leanza

On Sunday, the Swiss will vote on two initiatives to limit health-insurance and healthcare costs. A major reform of energy policy and an initiative against vaccine requirements are also on the agenda.

Four issues are on the federal ballot this weekend. The most closely watched are two popular initiatives on healthcare costs: one submitted by the left-wing Social Democratic Party, which aims to reduce the burden of health-insurance premiums; and one submitted by the centre-right the Centre Party, which aims to limit the rise in healthcare costs.

The campaign brought to light testimonials from residents forced to tighten their belts in order to afford health-insurance premiums. This problem could worsen in the next few years as the ageing population and advances in medical technology continue to drive up the cost of healthcare.

The main political parties agree on the necessity of cost-cutting solutions, but they differ on what those solutions should be.

Capping premiums and increasing subsidies

The Social Democrats’ remedy is to limit health-insurance premiums to 10% of household income. Anyone spending more than that for compulsory basic health insurance would receive subsidies.

The initiative stipulates that at least two-thirds of the subsidies be financed by the federal budget and the remainder by the cantons. It would also put all Swiss residents on an equal footing, as current health-insurance subsidies vary considerably by canton.

Opponents of the initiative criticise it primarily for not tackling the root of the problem: the unceasing rise in the cost of healthcare. In their view, the aim should be slowing this rise instead of increasing subsidies.

The federal government and parliament are against the initiative, which would cost public authorities between CHF3.5 billion ($3.9 billion) and CHF5 billion per year. The government also believes that tax increases or budget cuts in other areas would be necessary to finance the subsidies.

The initiative is struggling to attract voters beyond the ranks of the left and has steadily lost support during the campaign. It will probably not pass the test of the ballot box.

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Curbing health costs

Citizens will also vote on the Centre Party’s initiative to reduce healthcare costs. This aims to keep price increases in line with the economy and salaries. The federal government would have to activate appropriate measures any time healthcare costs rise by 20% more per year than salaries.

The initiative does not, however, provide details of the measures that would need to be taken to control expenditure. Its critics therefore accuse it of being an “empty shell”.

The Centre Party asserts that its proposal would oblige all relevant actors to work together to implement well-known solutions. It recommends, among other things, prioritising outpatient procedures, generic medicines, and electronic patient records.

The Centre Party’s proposals have failed to persuade either the right or the left. The “yes” camp has continued to lose steam, and the initiative is predicted to fail.

Uncontroversial electricity law

Voters are expected to approve the new federal electricity law, which unites various pieces of legislation designed and adopted by parliament in recent years. Its goal is to ensure the country’s electricity supply, while at the same time promoting renewable energy. It will in particular facilitate the development of large hydro-electric dams, solar installations, and wind turbines.

The law has angered several nature-conservation organisations. The Fondation Franz Weber and two small environmental organisations feel it will weaken protections for nature, and they therefore launched the referendum on the proposed law. They are not, however, supported by the larger environmental NGOs.

The right-wing Swiss People’s Party also opposes the new law because it feels the measures will be insufficient to meet the country’s electricity needs.

The “yes” camp has nonetheless maintained a significant lead in the polls and should prevail on Sunday.

Political relic from the pandemic

Although the Covid-19 pandemic is now over, it inspired the libertarian Mouvement de liberté Suisse (Swiss Movement for Liberty) to propose the initiative “for freedom and physical integrity”.

This initiative aims to rule out compulsory vaccination. Although no one in Switzerland can currently be vaccinated against their will, the proposal specifies that refusing vaccination should not result in any penalty or social or professional discrimination.

The People’s Party is the only party that supports the initiative. In the Swiss Broadcasting Corporation’s most recent poll, only 22% of voters were in favour, so it is unlikely to find success at the ballot box.

Edited by Samuel Jaberg. Adapted from French by K. Bidwell/gw

>> Everything you need to know about the four issues being put to the vote on June 9: