Facts
The facts concern the expansion of the business activities of the Cantonal Property Insurance Glarus (Glarnersach) through a new law of the Canton of Glarus. According to the new law, the Glarnersach can, in addition to its monopoly area for building insurance, also offer other insurance policies in competition with private insurance companies, provided that these are related to movable property and buildings.
Several private insurance companies filed a complaint against these legislative provisions, as they see a violation of economic freedom and the principle of legality, as well as a distortion of competition and a breach of the Switzerland-EU Insurance Agreement.
Considerations
The Federal Court dismisses the complaint. It finds that while the new provisions do introduce the Glarnersach as an additional competitor on the market, this does not constitute a restriction of individual economic freedom, as long as the private offer is not displaced.
The Federal Court considers a commercial activity of the state to be generally admissible, provided that there is a formal legal basis, the activity is in the public interest and proportionate, and the principle of competition neutrality is observed. The expansion of the Glarnersach's scope of activity corresponds to the will of the legislator of the Canton of Glarus and thus constitutes a sufficient public interest.
With regard to competition neutrality, the…