Above the LAA salary ceiling: identify the accident-income gap
A higher salary is not automatically insured in full. Compare compulsory accident benefits, contractual salary promises and optional supplementary cover.
Payroll can exceed the insured earnings base
A growing company may raise a specialist’s salary without reviewing the accident-insurance earnings ceiling. That creates a practical question even when the employee is correctly affiliated to compulsory insurance. Suva guidance checked on 16 October 2026 states a maximum insured annual gain of CHF 148,200. For total incapacity, the compulsory daily allowance is based on 80 percent of insured earnings, subject to the applicable conditions. An employment contract promising more does not automatically enlarge that insured base. Review the promise, the insurer’s calculation and the employer’s own financing responsibility as three connected but distinct parts of the remuneration package.
Separate the ceiling from the replacement percentage
Two different limits can affect the result: earnings above the ceiling and the share of insured earnings that the benefit replaces. Adding cover for excess salary does not necessarily mean the employee receives their entire usual salary. Ask for a benefit schedule showing the insured persons, salary definition, maximum amount, percentage, waiting period and any coordination provisions. Optional supplementary accident insurance can be designed to address additional needs; the AXA example linked here includes cover for earnings above the compulsory ceiling. That product description is not evidence that your company has purchased the same benefits or that every supplementary policy uses identical wording.
An annualised illustration, not a claim quotation
Suppose annual earnings are CHF 180,000 and the whole amount is relevant for this simplified comparison. The part above CHF 148,200 is CHF 31,800. Eighty percent of CHF 180,000 is CHF 144,000, whereas eighty percent of the ceiling is CHF 118,560: an annualised difference of CHF 25,440. These figures compare earnings bases only. They are not a promise of a year’s payments and ignore timing, partial incapacity, payroll deductions and individual coordination. The example makes it easier to ask whether the supplementary schedule addresses the excess-salary gap, the remaining replacement-percentage gap, both or neither.
Match the insurance to actual employment commitments
Collect contracts, staff regulations and any collective agreement that governs salary continuation. Ask payroll and the insurer to reconcile them before a claim, including what happens during the initial days and a partial return to work. Do not communicate that everyone has full salary protection merely because a supplementary policy exists. Benefits for invalidity, survivors, hospital accommodation and daily income are separate lines. A company may choose a narrower or broader package, but it should know what it is funding itself. Compare quotations using the same employee categories and salary data so a lower premium is not simply the result of a smaller insured benefit.
Give employees a precise, usable explanation
Prepare a short benefit note that names the compulsory and supplementary components without reproducing a misleading headline percentage. Identify the contact for reporting an accident and the documents payroll needs. Review the schedule when a senior hire, salary increase or new staff category changes the exposure. Keep access to health information limited to those who need it and avoid circulating medical detail in payroll discussions. Clearwise can help compare the written schedules against the employer’s stated objectives. The result should be a deliberate income-protection arrangement and an understood residual cost, not an unexpected salary shortfall discovered after an employee has been injured.
Sources and further reading
Original Clearwise analysis. External reporting provides context; rules and contract terms must be verified with the competent authority or provider. Some press articles may require a subscription.
Apply this to your situation
Compare your actual documents and clarify what matters before making a commitment.
Request a free consultationGeneral guidance, not a binding quote or personalised legal, tax or investment advice. Examples are hypothetical and results are not guaranteed.
