New Hurdles for Motor Vehicle Insurance: Insurers warn about Additional Costs

From 2026, garages will only be allowed to broker car insurance with an additional examination. The insurance industry sees the new regulation as an expensive bureaucracy monster. Customers could end up paying the price.

From January 1, 2026, uncomplicated insurance brokerage in car dealerships will come to an end: garage owners will only be allowed to sell motor vehicle insurance if they have passed a licensing test. Implementation is the responsibility of the Swiss Financial Market Supervisory Authority FINMA, with the guidelines coming from the State Secretariat for International Financial Matters (SIF). This was triggered by the revision of the Insurance Supervision Act (ISA), which has been in force since the beginning of 2024 and is intended to strengthen consumer protection.

Mandatory inspection: procedure and costs

The new VBV exam (Vocational Training Association of the Insurance Industry) can be taken online since May 19, 2025. It takes around 30 minutes, costs CHF 100 per attempt and covers specific product knowledge for motor vehicle insurance. If you fail, you pay again.(Click here for the exam.)

Special module for the automotive industry

A two-day special module has beendeveloped to prepare employees in the industry for the mandatory inspection. This includes targeted exam preparation and practical specialist knowledge – from the structure and basics of motor vehicle insurance, legal provisions and product specifics to cover and additional benefits.
Key topics:

• Winning customers: Approaching vehicle buyers, determining requirements, sales strategies
• Advising customers: Analyzing the customer’s situation, developing individual solutions, concluding contracts
• Customer loyalty: Support in the event of a claim, long-term support, service optimization
• Legal knowledge: Duties & responsibilities according to VAG, Insurance Contract Act (VVG), liability and sanctions
• Customer orientation: empathy, communication, quality assurance, legal requirements

The module is 100 percent practice-oriented and is designed to ensure that participants not only pass the exam, but can also apply the content directly in their everyday work.

📌 The most important facts in brief

Exception: Tipster model

Not every form of brokerage is subject to the new inspection requirement: anyone who merely passes on contact details to insurers without providing advice or an offer can continue to work without a license. However, this means that car dealers will no longer be able to provide customers with a complete insurance offer as soon as they buy a car.

Insurance industry criticizes “overregulation”

For the insurance industry, brokerage in car dealerships is an established business model. The Auto Gewerbe Verband Schweiz (AGVS) speaks of a “disproportionate” and “arbitrary” measure that does not address any proven cases of abuse. Even long-standing, experienced salespeople have to pass the test.

Expensive consequences for consumers

According to the AGVS, the inspection obligation leads to annual additional costs in the millions due to training, administrative expenses and inspection costs. These expenses would inevitably be passed on to insurance premiums or vehicle prices. At the same time, competition will be restricted: in future, garages will generally act as tied agents for a single insurer and comparative offers will no longer be available.

Industry seeks mitigation

To mitigate the impact, the AGVS is working with the VBV to streamline examination content and reduce failure rates. The aim is to reduce costs by the end of 2025.

Binci Heeb

Read also: New inspection obligation, old questions