Facts
The KPT insurance company received CHF 14.3 million from the cantons in 2001 as basic contributions. These contributions were to be distributed to the supplementary insured individuals. The KPT insurance company planned to use part of these contributions to build up age reserves and to incorporate the other part into the advance calculation for the next premium.
The Federal Office of Private Insurance rejected the KPT insurance company's distribution plan and required it to submit a new plan that provides for the full distribution of the basic contributions to the insured individuals. The Federal Commission of Appeal for Supervision of Private Insurance confirmed the Federal Office's ruling and corrected the supervisory authority's decision to the effect that the distribution can also be made within the framework of the advance calculation of the next premium.
The KPT insurance company filed an administrative appeal with the Federal Court and requested that the decision of the Federal Commission of Appeal be overturned and the use of the basic contributions to build up age reserves be permitted.
Considerations
The Federal Court examined the competence of the supervisory authorities to review the plan for distributing the basic contributions and came to the conclusion that insurance supervision serves not only to maintain solvency but also to protect the insured individuals.
The court found that using the basic contributions to build up age reserves violates the purpose-related allocation of the funds, as they do not benefit the insured individuals of 2001 but rather those who will be counted among the insured individuals when the reserves are dissolved.
The court ruled that the contested…