Liability to Perform from Collective Daily Sickness Benefit Insurance: Transitional Period for Change of Occupation

Facts

The [A. AG] (appellant) and [B.] (appellee) were parties to a lawsuit concerning the liability to perform from a collective daily sickness benefit insurance. The appellee had been employed by [C. AG] since February 13, 2014, and was collectively insured for daily sickness benefits through the appellant. On October 26, 2014, the appellant was notified of the appellee's 100% incapacity to work as of October 24, 2014. The appellee reapplied to the Disability Insurance Office on July 2, 2015. The employer terminated the employment contract on May 21, 2015. On November 10, 2015, the appellant informed the appellee that it would discontinue benefits as of January 1, 2016.

The appellee requested the Social Insurance Court of the Canton of Zurich to order the appellant to pay daily sickness benefits beyond December 31, 2015. The Social Insurance Court partially upheld the complaint and ordered the appellant to pay the appellee CHF 9,028.80 plus interest.

Considerations

The Federal Supreme Court had to determine whether the lower court had correctly assessed the appellant's liability to perform from the collective daily sickness benefit insurance. The appellant argued that the lower court had set the transitional period for the appellee's change of occupation too long.

The Federal Supreme Court found that the lower court had correctly set the transitional period of 3-5 months for the appellee's change of…