Swiss 3rd Pillar Comparator

Bank or insurance? Compare both types of 3rd pillar and find the solution adapted to your situation.

3rd Pillar Comparator: Bank vs Insurance

Compare both types of 3rd pillar to find the one that suits you

Criterion3rd Pillar Bank3rd Pillar Insurance
Contribution flexibilityFull (free contributions)Fixed annual premium
Commitment periodNoneFixed (often until retirement)
Death coverageNot includedIncluded
Disability coverageNot includedOften included
Guaranteed capitalNo (market-dependent)Yes (guaranteed amount)
Potential returnVariable (funds, ETFs)Moderate but guaranteed
Management feesLow to moderateHigher
Early redemptionFree withdrawal (3a conditions)Penalties for early redemption
Tax deductionSame (3a ceiling)Same (3a ceiling)
Ideal forFlexible saversFamily protection

The choice between bank and insurance depends on your personal situation, goals, and risk profile.

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How to choose between bank and insurance?

The choice between a bank 3rd pillar and an insurance solution depends on several factors:

  • Your age: younger profiles may prefer a bank for long-term returns
  • Your family situation: a family with children may prefer insurance for death coverage
  • Your risk tolerance: insurance offers guaranteed capital, while a bank offers variable returns
  • Your desired flexibility: a bank allows free contributions, insurance requires a fixed premium

For a detailed analysis, see our bank or insurance guide.

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