A fund-linked policy is a life insurance contract whose contributions are invested in funds you select: capital-market return opportunities combined with the legal framework of an insurance policy. We offer fund-linked policies in Pillar 3a (Prosperity 3a) and Pillar 3b (Prosperity Plus, Duo, Junior and Liechtenstein Life Wealth). The pillar determines which tax rules apply.

Important: insurance policies carry acquisition and administration fees. The value of your investment may fluctuate and can fall below the contributions paid in. Past performance is not an indicator of future results.

Pillar 3a is state-encouraged private pension provision: contributions can be deducted from taxable income. In return, payout and use are regulated by law. Pillar 3b is free private pension provision. It offers more flexibility on contributions, term and payout, but its contributions are not tax-deductible. Because of these structural differences, the two pillars complement each other well. A full explainer with a side-by-side comparison is on our Pillar 3 overview.

Within a fund-linked policy, under current Swiss tax law no ongoing income tax is generally levied on the investment income. Switching between funds usually does not trigger income tax. Only the surrender value of a Pillar 3b policy is subject to annual wealth tax. Pillar 3a assets are exempt from wealth tax until they are paid out. Payouts from free pension provision (Pillar 3b) are exempt from income tax provided the statutory conditions are met.

Maximum Pillar 3a deductions (2026) (linked to BVG threshold values, subject to official adjustment):

• Employed persons with a pension fund: CHF 7,258
• Employed persons without a pension fund: CHF 36,288 (20 % of net earned income)

What a contribution saves you is calculated in the tax calculator on our Pillar 3 overview. Pillar 3a in particular is governed by BVV 3, Ordinance on Tax Deductibility of Contributions to Recognised Forms of Pension Provision (SR 831.461.3); further federal and cantonal tax provisions also apply.

This section is general information and does not replace tax or legal advice. Amounts and rules can change. The actual tax effects depend on your canton of residence and your individual situation.

The costs consist of the policy's administration fees and the fund costs (TER) of the funds you select. A full cost overview is provided in conversation with your intermediary. The offer states the costs as a percentage reduction in return. The actual amount depends on your situation.

Yes. You choose freely from over 180 funds and ETFs, and within our fund-linked policies you can adjust your investment strategy on an ongoing basis. Fund shift (rebalancing existing amounts) and fund switch (changing the allocation of future contributions) are usually free of charge up to twelve times a year. These changes remain tax-neutral inside the policy.

Several layers contribute to the security of your capital. Under Liechtenstein law, your fund assets are segregated assets, legally attributed to you and held separately from the insurer's own assets. Insurers in Liechtenstein are supervised by the Financial Market Authority (FMA) with clearly defined capital and risk-management requirements.

At country level, Liechtenstein is one of Europe's most stable financial centres: AAA credit rating, debt-free and running budget surpluses. As an EEA member, EU-compatible supervisory and transparency standards apply.