The war in Iran is driving up mortgage rates in Switzerland; minimum health insurance deductible could rise by 100 francs; and more news in our Monday roundup.
The war in Iran is driving up mortgage rates in Switzerland
The conflict is causing not only gasoline prices to soar, but also mortgage interest rates to rise.
To date, nine out of 10 petrol stations in Switzerland have already increased their prices. But motorists aren’t the only ones affected by the US and Israeli war against Iran: homeowners are also feeling its impact.
“The yield curve for fixed-rate mortgages has been rising,” said Fredy Hasenmaile, chief economist at Raiffeisen bank, who pointed out that this upward trend is expected to continue, based on a a sustained increase in oil prices.
This scenario is very plausible, according to Claudio Saputelli, chief economist at UBS, who also noted that the cost of 10-year fixed-rate loans has risen since the end of February, when the war began.
Minimum health insurance deductible could rise by 100 francs
To counteract the high – and continually rising – cost of Switzerland’s health system, the Federal Council wants to encourage the population to practice more restrain in their use of healthcare services.
They want to achieve this by increasing the lowest deductible – used by 45 percent of the population – from 300 to 400 francs.
Ministers opened a consultation on an amendment to the Federal Health Insurance Act (LAMal) to this effect.
The reason behind this hike is that since the Federal Health Insurance Act came into force in 1996, the costs shouldered by health insurance companies have tripled.
A higher deductible would therefore reduce the burden on premiums, they argue.
READ MORE: Which Swiss health insurance deductible makes most sense?
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A petition is calling for the elimination of first class on Swiss trains
With second class often packed and first under-occupied, the youth section of the Transport and Environment Association has launched a petition calling for the abolition of first class on Swiss trains.
The petition has already gathered nearly 13,000 signatures.
The authors argue that first-class compartments take up space when trains are overcrowded. “It’s not right that train travel perpetuates class discrimination,” said Oscar Hughes, a member of the association’s committee.
He argues that by removing the first class, trains would gain up to 30 percent more seats.
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Heavy snowfall has increased the risk of avalanches in Swiss Alps
More than a metre of snow fell over the weekend in some areas south of the Alps – in Bosco-Gurin, for example, 116 cm of fresh snow was measured in 24 hours – a new record for the station in northern Ticino.
This fresh snowfall has triggered an avalanche danger level of 4 (‘high’).
The A9 motorway is closed to all vehicles at the Simplon Pass; the same applies to many roads on Graubünden as well, though some may be re-opening today
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