Ordinance on the Insurance Fund for State Personnel (VVK) - Purpose and Legal Nature (VVK)

1. The Insurance Fund for State Personnel (hereinafter referred to as the Insurance Fund) serves to provide protection against the economic consequences of old age, disability, death, and involuntary non-reappointment.

2. It is a dependent public law institution of the state and a registered pension institution in accordance with federal legislation on occupational pensions.

1. The insurance covers employees of the state who are mandatorily insured according to the BVG (Federal Act on Occupational Old Age, Survivors' and Disability Pension Plans). It also includes employees who work part-time and are already mandatorily insured for a full-time occupation with an employer not affiliated with the pension fund, provided they reach the minimum wage according to the BVG and do not declare a waiver of the insurance within thirty days.

2. An employee can be exempted from the insurance if, upon entering state service, they can remain in or join another registered pension scheme under the state's affiliation agreement.

3. The state provides the same annual contributions and back payments for employees under paragraph 2 of this provision as it does to the pension fund but can reclaim them if the conditions of paragraphs 1 and 2 of this provision were not met. Special agreements are reserved.

1. The government may, in special cases, grant exceptions and make special arrangements for certain personnel groups within the framework of federal legislation on occupational benefits.

1. Insofar as it concerns employees within the meaning of Art. 2 para. 1 of this regulation, the insurance also includes

a) the personnel of the Social Insurance Institution of the Canton of St. Gallen;

b)* the personnel of the Building Insurance of the Canton of St. Gallen;

c) the personnel of the University of St. Gallen;

d) the personnel of the Rhine Enterprise;

e) the employees of the forest districts;

f)* the personnel of the Hospital Association;

fbis)* the personnel of the Psychiatry Association;

g) the personnel of the Center for Laboratory Medicine.

1. The insurance is divided into

a) Risk insurance;

b) Pension insurance;

c) Savings insurance;

d) Pension scheme for magistrates.

1. The risk insurance is allocated to those who have reached at least the 18th and not more than the 24th year of age in the current year.

1. The person is classified under the pension insurance who, in the current year, has reached at least the age of 25, is employed on a full-time basis with at least a 50 percent employment rate, and is in a permanent employment relationship with regular remuneration.

1. The Savings Insurance is allocated to those who

a) are not assigned to another type of insurance;

b) are not subject to the service and salary regulations for state personnel.

2. The Savings Insurance is specifically allocated to assistant doctors, scientific assistants at the University of St. Gallen, temporarily employed lecturers, interns, as well as part-time or hourly paid staff.

1. The members of the government, the state secretary, the cantonal judges, and the president of the administrative court are subject to the pension regulations for magistrates.

1. The Fund Administration decides on the admission to the Insurance Fund and the allocation.

2. The Personnel Services report the persons to be insured to the Fund Administration.

3. The Fund Administration regulates the examination of pension-insured individuals by the Fund Doctor.

1. The personnel services report the insurance events to the fund administration.

2. The fund administration takes the necessary measures for clarification.

1. Insured persons and pension recipients, as well as their eligible dependents, are obligated to provide information to the fund administration and the fund doctor that is significant for the insurance.

2. Insured persons must report changes in personal and family circumstances to the personnel service, and pension recipients must report to the fund administration in writing within four weeks.

3. Insured persons and pension recipients are liable for any disadvantages to the insurance fund resulting from incorrect, incomplete, or inaccurate information or from delayed reporting.

1. The insured salary is considered to be the regular salary, but no more than the salary of the highest salary class according to Appendix A of the Salary Ordinance of February 27, 1996, excluding social and inconvenience allowances, reduced by the coordination deduction.

2. The pension insured may waive the insurance of permanent allowances.

3. In the case of part-time employment, the coordination deduction is reduced in accordance with the degree of employment.

1. If a pension-insured individual experiences an individual reduction in their regular salary, the pension fund administration shall set a period of thirty days within which the individual may request the retention of the previously insured salary.

2. After reaching the age of 60, the insured salary in the pension insurance can no longer be increased. An exception is reserved for increases corresponding to the expansion of employment degree.

1. Salary earned with other employers cannot be insured.

1. Insured for the magistrates is the salary according to Art. 1 of the Grand Council's resolution on the remuneration of magistrates dated April 12, 1988, reduced by the coordination deduction.

1. Insured for ordinary and extraordinary professors as well as full-time lecturers of the University of St.Gallen is the basic salary, including the 13th monthly salary, according to the salary regulations for the teaching staff of the University of St.Gallen. However, this is limited to the annual salary of an ordinary professor after eleven years of service, reduced by the coordination deduction.

1. Insured for chief physicians and senior physicians is the contractually agreed basic salary, but at most the remuneration according to Article 13, paragraph 1 of this regulation, reduced by the coordination deduction.

2. Upon the physician's request, the insured remuneration can be increased by the fee income according to the employment contract up to the maximum amount specified in Article 13, paragraph 1 of this regulation.

1. For senior doctors according to Art. 2 of the Ordinance on the Remuneration of Senior Doctors, subject to Art. 79c of the Federal Act on Occupational Retirement, Survivors' and Disability Pension Plans of June 25, 1982, the contractually agreed salary, including variable salary components according to the employment contract, reduced by the coordination deduction and the insured salary according to Art. 18 of this Ordinance, is insured.

2. Financing and benefits are determined according to Art. 81bis et seq. of this Ordinance.

1. The treasury administration, in agreement with the education department, establishes the insured salary for lecturers with permanent appointments in the pension insurance.

1. The government generally determines the coordination deduction every four years, taking into account the federal legislation on old-age and survivors' insurance.

1. Insurance years are counted from the day of joining the respective type of insurance.

2. For the determination of fractions of an insurance year, each year is calculated with 12 months of thirty days each.

1. For the duration of an unpaid leave or a temporary suspension in office or service, the insured individuals are responsible for paying both the employee's and the employer's contributions.

2. Payment concessions may be granted. Article 31 of this regulation shall be applied accordingly.

3. The state may assume the employer's contributions for the unpaid period if the suspension of service is in its interest.

1. Insured persons who leave government service or no longer meet the conditions for mandatory insurance under the BVG shall be removed from the insurance fund.

2. The Finance Department may authorize the retention in the insurance fund if a member transfers to the service of another public-law entity or a non-profit private institution. The government may grant additional exceptions. The payment of contributions must be ensured.

1. Insured persons who meet the requirements of a different type of insurance generally withdraw from their current type of insurance and enter into the new type of insurance. If a savings or pension insurance policyholder wishes to remain in the current type of insurance, they must notify the insurance administration in writing within thirty days.

2. Withdrawal from the current type of insurance occurs according to the withdrawal provisions of this regulation. Entry into the new type of insurance is executed in accordance with the entry provisions of this regulation.

3. ...

1. The Finance Department may arrange for portability with other funds.

1. The Insurance Fund may reduce the benefits accordingly if

a) the Federal Old Age and Survivors' Insurance or the Federal Disability Insurance reduces, withdraws, or denies a benefit because the entitled person caused death or disability through gross negligence or refused to comply with a rehabilitation measure of the Federal Disability Insurance;

b) the accident insurance reduces a benefit because the insured person has undertaken particular dangers or risks within the meaning of the federal legislation on accident insurance.

1. The implementation of federal legal provisions for the promotion of home ownership with funds from occupational pension schemes is ensured.

2. The government shall issue the detailed regulations.

1. The annual contribution amounts to 7.5 percent of the insured salary for both the insured individuals and the state. Additionally, the insured individuals and the state make a contribution according to Appendix 5 of this regulation.

2. For the individually increased insured salary according to Article 14 paragraph 1 of this regulation, the insured individual shall also bear the entire contribution of the state.

3. The annual contribution of the insured individuals is deducted from the salary in monthly installments.

1. The obligation to contribute expires at the end of the 65th year of age, but no later than with the entitlement to a pension.

1. If the state of the pension insurance requires it, the government may mandate the obligation of retroactive payments for the state and pension insureds in the event of general increases in insured salaries.

2. For individual increases in insured salaries, the state and the pension insureds each make a retroactive payment amounting to half, according to Appendix 1. The retroactive payments are reduced to the extent of actuarial pension reductions. Article 30bis paragraphs 2 and 3 of this regulation remain reserved.

1. Upon entry into the insurance fund, the exit benefits from previous occupational pension plans must be documented and contributed. They are to be used for the purchase according to Annex 4 of this regulation.

2. Through purchase, a retirement pension rate can be acquired that corresponds to the maximum possible insurance years until entry into the pension insurance, counted from the first day of the month following the completion of the 25th year of life.

3. If the contributed exit benefits are insufficient for the purchase to reach the desired level of the retirement pension rate, the insured may commit to providing an additional purchase sum.

4. The insured must notify the fund administration of the purchase decision within three months after entry. During this period, the purchase date coincides with the entry date.

1. **Increase of the Retirement Pension Rate in Good Health**

In the case of good health, an increase in the retirement pension rate through the payment of an additional purchase sum is possible at a later date. Exempt from this are reductions in the retirement pension rate due to an advance withdrawal for home ownership, as long as all funds advanced from the insurance fund have not been fully repaid.

2. **Individual Increases in Insured Salary**

Individual increases in insured salary according to Article 18, Paragraph 2 of this regulation and increases due to expansion of the employment level must be purchased.

3. **Reaching Prior Insured Salary Levels**

As long as the insured salary has not reached the level adjusted to the general salary development prior to its individual reduction, individual increases in the insured salary must be purchased.

1. The additional purchase amount may be paid in monthly installments, which include interest, provided it is ensured that the full amount will be paid by the time the individual reaches the age of 60.

2. The monthly installments will be deducted from the salary. They shall amount to at least 1 percent of the insured salary used for the calculation of the purchase. In cases of proven hardship, the fund administration may approve lower installments upon written request.

3. The interest rate is reset annually at the beginning of the second semester. It corresponds to the variable interest rate for first-ranking mortgage loans granted by the insurance fund to its insured, but at least to the interest rate prescribed by federal law for the interest on admission benefits for the insured, in any case at least the technical interest rate.

4. Other payment methods may be agreed upon. Paragraphs 1 to 3 of this provision apply accordingly.

1. In order to attract exceptional talent, as well as for officials or members of authorities elected by the public or the Grand Council, the state may assume all or part of the insured person's share of the buy-in amount. The responsible authority is the government.

2. Under the same conditions, the University of St. Gallen may assume all or part of the buy-in amount share for ordinary and extraordinary professors as well as full-time lecturers. The responsible body is the University Council; its decision requires the approval of the government.

1. The pension insured individual is entitled to an old-age pension after reaching the age of 65, provided that the employment relationship is not extended.

1. The insured person under the pension scheme is entitled to a reduced old-age pension if they retire after reaching the age of 60.

1. The pension rate is determined by the achievable pension rate up to the end of the contribution period and the insured salary.

2. The pension rate consists of the percentage points acquired through purchases and those acquired during the insurance years. It amounts to a maximum of 55 percentage points. For each insurance year, 55/40 percentage points are acquired.

3. Reductions in the pension rate due to withdrawal of retirement savings for home ownership for personal use and in connection with divorce are based on the ratio of the amount actually received to the total withdrawal benefit calculated at the time of withdrawal. In the case of repayment of early withdrawal retirement savings, the pension rate is increased in accordance with the circumstances at the time of repayment.

1. In the case of early retirement, the pension amount is reduced by 0.4 percent for each month the retirement occurs prior to reaching the age of 65, and by 0.5 percent for each month the retirement occurs before reaching the age of 63.

1. If the employment relationship continues on a reduced basis, a corresponding partial pension shall be provided.

1. Children of an old-age pensioner are entitled to a child pension.

2. The child pension amounts to

a) one child: 20 percent of the old-age pension

b) two children: 38 percent of the old-age pension

c) three children: 54 percent of the old-age pension

d) four or more children: 70 percent of the old-age pension

3. Article 48 of this regulation applies accordingly.

1. Insured persons whose employment relationship extends beyond the age of 65 are entitled to a lump sum payment upon retirement. This corresponds to the old-age pension not paid since the completion of the 65th year, excluding any cost-of-living adjustment.

2. Insured persons who retire and have reached at least the age of 60 can request in writing the provision of a repayable bridging pension of up to two-thirds of the maximum simple old-age pension of the Swiss Federal Old Age and Survivors' Insurance.

1. The payment of the bridging pension begins with the commencement of the old-age pension and continues until the entitlement to a pension from the federal old-age and survivors' insurance arises, but no longer than the end of the month in which the ordinary retirement age according to the federal old-age and survivors' insurance is reached. If the recipient of a bridging pension dies, it is paid for the last time in the month of death.

2. The bridging pension must be repaid based on actuarial principles

a) By a single payment, due at the beginning of the month following the completed 65th year of age;

b) By a lifelong reduction of the old-age pension after the completed 65th year of age.

3. The disbursed bridging pension does not affect the survivors' benefits.

1. Upon the death of an insured pensioner, an old-age pensioner, or a disability pensioner, the surviving spouse is entitled to a spousal pension.

2. Excluded from pension eligibility, subject to the provisions of the BVG, are

a) surviving spouses who married a pension recipient;

b) surviving spouses who are significantly at fault at the time of the spouse's death;

c) surviving spouses from marriages that lasted less than two years, provided that the spouse's death is attributable to an illness known at the time of marriage.

3. The entitlement to the spousal pension begins on the day after the deceased's entitlement to salary, old-age pension, or disability pension expires.

1. If the surviving spouse remarries, their entitlement to the pension remains preserved. However, the entitlement is suspended during the duration of the new marriage.

2. Upon request, the surviving spouse shall be granted a capital settlement as a buyout of the pension entitlement amounting to three years' worth of pensions, within one year after remarriage.

3. If the surviving spouse acquires an entitlement to an additional spousal pension, it will be offset against the previous spousal pension.

1. The spouse's pension amounts to 70 percent of the retirement or disability pension.

2. If the spouse is more than 15 years younger than the deceased spouse, the pension rate is reduced by 2 percentage points for each year exceeding this age difference.

1. The claims of divorced spouses are determined according to the provisions of the BVG regarding the claims of the divorced woman, both in their prerequisites and in their amount. The benefits are reduced to the extent permitted under the provisions of the BVG.

1. The surviving partner of the same or opposite sex is equated with the surviving spouse or registered partner with respect to eligibility and the amount of benefits, if

a) both partners are neither married nor registered partners and are not related by blood, and

b) the cohabitation with a shared household has demonstrably existed uninterrupted for at least five years at the time of death, and

c) the obligation of mutual support has been agreed in writing on the form provided by the insurance fund for this purpose and this form was delivered to the insurance fund during the lifetime of both partners.

2. If the surviving partner receives a pension from a previous marriage or partnership or has received a lump-sum settlement in lieu of such a pension, the partner’s pension is reduced by these benefits. The application for benefits must be submitted no later than three months after the death.

1. The children of a deceased insured person or of an old-age or disability pensioner are entitled to an orphan's pension.

1. The entitlement begins the day after the deceased's claim to wages, old-age, or disability pension has expired.

2. The entitlement lasts until the child has reached the age of 16, or at most until the age of 25 if the child is still in education, incapacitated, or has a working capacity of no more than 20 percent.

3. The Department of Finance may grant the orphan's pension

a) under the conditions of paragraph 2 of this provision, at the latest until the age of 30;

b) in cases of disability of the orphan, in cases of hardship beyond the age of 30.

1. The amount corresponds to that of the child pensions according to Article 40, paragraph 2 of this regulation. The pensions are distributed equally among the children.

2. Full orphans receive double the orphan pension.

3. If both deceased parents were members of the insurance fund, only one full orphan pension is granted. It is calculated based on the higher of the two amounts resulting from the conversion of the insured salaries to the common insured employment level, but limited to 100 percent.

1. The treasury administration determines the incapacity for work based on the decision of the federal disability insurance or the assessment by the trusted physician.

2. The term "disability" is defined according to the Federal Act on Disability Insurance of June 19, 1959.

1. An insured person who becomes incapacitated for work due to illness or accident and therefore can no longer fully or reasonably perform their previous or any other suitable occupation is entitled to a disability pension.

2. The entitlement to the disability pension begins with the disbursement of the disability pension from the Federal Disability Insurance, but no earlier than upon the cessation of entitlement to salary or continued salary payment.

3. The disability pension ends at the latest upon reaching the age of 65 and is then converted into an old-age pension of the same amount.

1. The disability pension corresponds to the old-age pension.

2. In the case of partial disability, a corresponding partial pension is granted.

1. If the medical examination by the trust physician determines partial or full disability, the insured is entitled to a transitional pension equivalent to the disability pension under this regulation, plus the corresponding minimum disability pension of the federal disability insurance, after the expiry of salary continuation. In the case of partial disability, the transitional pension is correspondingly reduced.

2. The transitional pension is paid until the disability pension of the federal disability insurance is awarded. The disability pension provided in place of the federal disability insurance will be reclaimed to the extent that it is awarded retroactively by the federal disability insurance.

1. If there is no entitlement to a disability pension from the Federal Disability Insurance, a substitute pension will be granted in the amount determined by the medical officer for partial disability.

1. Children of an invalidity pensioner are entitled to an invalidity child's pension.

2. The invalidity child's pension corresponds to the child's pension of an old-age pensioner. Article 40, paragraph 2, and Article 48 of this regulation are applied accordingly.

1. If a disability pensioner earns a regular income from work or other benefits from employment, another pension or retirement pay, which, together with the disability benefits, exceed the salary of personnel in public service of the same salary class and grade, to which the pensioner was last assigned, including the 13th month's salary, social allowances, and cost-of-living adjustments, the disability benefits will be reduced by the excess amount.

2. ...

3. The reduction or withdrawal of disability benefits lasts at most until the completion of the 65th year of age.

1. The Fund Administration may wholly or partially withdraw the disability pension from the pensioner if he or she

a) becomes capable of gainful employment again and refuses to take up a reasonable occupation;

abis) opposes a rehabilitation measure of the Federal Disability Insurance;

b) refuses to provide the Fund Administration, upon request, with true and complete information about any other income.

1. Employees of the state, elected either by the people or the Grand Council and assigned to the pension insurance, who have reached the age of 45 and have at least 15 years of contributions, are entitled to a pension if they are not re-elected through no fault of their own.

2. Instead of the pension, the insured person may demand the withdrawal benefit in accordance with Art. 59 of this ordinance. In this case, the entitlement to the severance pension is extinguished.

3. Upon the death of the pension recipient, the government may grant survivors' pensions as needed.

1. The termination pension corresponds to the attained retirement pension.

2. The termination pension may be reduced insofar as it, together with the income from new employment, exceeds the previous salary, or if the pension beneficiary refuses reasonable employment or fails to provide truthful and complete information about their other earnings.

**1. The State Covers the Dismissal Pension Until the Completion of the 63rd Year of Age.**

1. Insured persons in the pension scheme who leave the insurance fund wholly or partly without an entitlement to a pension are entitled to a withdrawal benefit.

2. For each Swiss franc of retirement pension achieved, calculated based on the old-age pension rate and the insured salary at the time of departure, an amount is granted in accordance with Annex 4 of these regulations. The withdrawal benefit corresponds to at least the minimum amount prescribed by the Freedom of Movement Act.

3. Outstanding back payments and entry benefits, as well as the state's purchase contributions, are deducted from the withdrawal benefit, including interest, to the extent permitted by federal law.

1. The insurance fund fulfills the insureds' claims for withdrawal benefits in accordance with federal law regulations.

2. The insurance fund does not collect separate risk contributions for the insurance protection that it still has to grant to withdrawn insured persons according to federal law.

1. If a pension-insured individual leaves no beneficiaries entitled to a pension and did not receive a pension themselves, the insurance fund shall provide a settlement to needy parents, siblings, or grandparentless grandchildren up to the age of 16, provided these relatives were significantly supported by the insured.

2. The settlement is determined by the Department of Finance. It may not exceed the contributions made by the deceased insured without interest.

3. Remaining employee and employer contributions are allocated to the special reserve.

1. The assessment of benefits is based on the last insured salary and, with the exception of the provisions regarding pension reduction, according to the regulations in effect at the time of the occurrence of the insured event.

1. The pensions are paid in monthly installments at the end of each month.

2. The entitlement to a pension begins on the day after the right to salary, severance pay, or another pension from the fund has expired.

3. It expires at the end of the month following the month of death of the pension beneficiary, unless otherwise specified.

1. For pension-insured individuals with a health-related reservation, benefits for the risks of disability and death associated with the reservation are reduced by 4 percent for each insurance year that is yet to be completed until the expiration of the maximum period permitted by federal legal portability provisions.

1. The Possibilities for Pledging and Assigning the Right to Benefits from the Pension Insurance are Governed by Federal Law.

1. The vested benefit account of the pension-insured will be credited with

a)* contributions from termination benefits, insofar as they exceed the retirement savings according to BVG and do not need to be used for buy-in purposes;

b)* the termination benefit according to Art. 59 of this regulation in the event of a reduction in the insured employment level;

c)* the compensation according to Art. 59 of this regulation corresponding to the individual reduction of the insured salary.

2. The insured person may choose another permissible form of maintaining pension protection. They must communicate their choice to the fund administration in writing.

3. The balance managed by the insurance fund will accrue interest at the rate of the St.Gallen Cantonal Bank for vested benefits accounts and can be used for improving one's own pension provision.

4. Upon leaving the pension insurance, the balance along with interest will be added to the termination benefit and paid out in the event of an insured event.

1. Pension benefits from the insurance fund will be reduced, even after the pensioner has reached the age of 65, if they, together with benefits from third parties due to statutory provisions or liabilities arising from unlawful acts and with the benefits from the Federal Old-Age and Survivors Insurance or the Federal Disability Insurance, exceed the following percentages of the salary for personnel in state service at the corresponding salary level that the pension recipient last achieved, including the 13th month salary, social allowances, and cost-of-living allowances

a) Old-age and disability pension plus child benefits according to Articles 40, 47, and 53, as well as bridging and substitute pensions according to Articles 52 and 52bis of this regulation: 100 percent

b) Spouse’s and orphan’s pension: 90 percent

1. with four or more children: 90 percent

2. with three children: 85 percent

3. with two children: 80 percent

4. with one child: 75 percent

c) Spouse’s pension without children: 70 percent

2. Compensation amounts for injury are not considered for the reduction.

3. Lump-sum settlements from third parties will be converted into pensions.

4. Benefits from foreign social insurance systems are credited.

5. As long as a third party refuses their obligation, the insurance fund grants full pensions against assignment of the claim. Subject to paragraph 1 of this provision.

1. Instead of the pension, its present value is generally paid out as a lump-sum settlement if the old-age or disability pension amounts to less than 10 percent, the spouse's pension amounts to less than 6 percent, and the orphan's pension amounts to less than 2 percent of the basic minimum old-age pension of the federal old-age and survivors' insurance.

1. Upon disbursement of a pension insurance benefit, outstanding contributions, additional payment and purchase amounts are offset.

2. Upon request, the offsetting can be appropriately distributed over time or compensated by a reduced pension.

1. If it turns out that a deposit or a benefit has been incorrectly assessed, it shall be retroactively adjusted. The corrected amounts shall bear interest at the general savings bank interest rate of the St. Gall Cantonal Bank. If the insured is not at fault, he shall not be liable for interest.

2. The claims of the insurance fund may be offset against fund benefits.

3. Repayment may be waived in whole or in part if the recipient is not at fault for the incorrect fund benefit.

1. Claims for recurring contributions and benefits expire after five years, while claims for one-time contributions and benefits expire after ten years. Articles 129 to 142 of the Swiss Code of Obligations (OR) shall apply.

1. Cost-of-living allowances on pensions shall be granted within the financial capabilities of the insurance fund. The extent of their adjustment shall be determined by the government after consulting the joint commission. The adjustment shall take effect at the beginning of the following calendar year.

2. ...

3. For the calculation of the cost-of-living allowance to be granted, which is determined as a percentage of the pension, the decisive point in time is when the obligation to contribute ends.

4. The government shall issue further regulations.

1. The annual contribution shall be 1.5 percent of the insured salary for both the insured and the state.

2. The government may amend the annual contribution by regulation in accordance with the actuarial status of the risk insurance.

1. The provisions concerning pension insurance, with the exception of Articles 34 to 42 and 56 to 58 of this regulation, shall be applied accordingly.

1. Savings policyholders and the state shall pay the same annual contributions on the insured salary as pension-insured individuals.

2. The obligation to contribute ceases at the end of the 65th year of age, but no later than when the entitlement to a pension arises.

1. The savings credits are calculated annually as a percentage of the insured salary. The following rates apply

a) 25 to 34 years of age: 10 percent

b) 35 to 44 years of age: 13 percent

c) 45 to 54 years of age: 16 percent

d) 55 to 65 years of age: 19 percent

2. The age pertinent to the calculation of the savings credit is determined according to the federal legislation on occupational benefits.

3. The government may adjust the rates detailed in para. 1 of this provision according to the actuarial status of the savings insurance.

1. Interest on the credit balances of a calendar year begins to accrue from the following January 1st. The interest rate is 3.5 percent. Portability contributions and purchase amounts will accrue interest from the date of receipt.

2. Portability contributions will accrue interest from the date of receipt.

1. The government may decide on the allocation of free funds according to the actuarial status of the savings insurance.

2. It takes into account professionally recognized principles in the distribution.

1. The relevant savings balance for the benefit calculation consists of

a) the savings balance that the insured has acquired up to the start of the entitlement to benefits;

b) the credited savings for the period of time missing in the event of disability or death up to the age of 65, without interest. These are calculated based on the applicable insured salary.

2. If the insured salary is subject to fluctuations, it is calculated based on the last twelve insurance months.

1. If a savings-insured person leaves public service due to old age, death, or disability, benefits are granted based on the relevant savings balance according to the rates of the BVG. The conversion rate for the normal retirement age of 65 is 7.2 percent.

2. The insured person is entitled to retirement benefits at the earliest when they have reached the age of 60 and the service or employment relationship is terminated.

3. In the case of early retirement, the conversion rate is reduced by 0.2 percentage points for each year by which retirement is advanced.

4. In the event of disability or death, the relevant savings balance is increased by 30 percent. For each completed year of life beyond the age of 35, the surcharge is reduced by 1 percentage point.

1. Savings-insured individuals who leave without entitlement to a pension from the insurance fund are entitled to a withdrawal benefit amounting to their savings balance, but at least to the minimum amount according to the provisions of the Freedom of Movement Act.

1. The provisions regarding pension insurance shall be applied accordingly.

1. For the supplementary insurance pursuant to Art. 18bis of this regulation, a special account shall be established within the savings insurance.

1. Upon the occurrence of an insured event, a one-time capital payment in the amount of the balance credited to the special account becomes payable.

2. Upon withdrawal, the balance on the special account is attributed to the withdrawal benefits.

1. Credits to the special account shall be made in accordance with Article 76 of this regulation and shall be contributed equally by the state and the insured.

2. The interest rate shall correspond to the minimum interest rate according to BVG (Occupational Pensions Act).

1. If the actuarial circumstances permit, the government may allocate funds from the additional provision capital of all types of insurance to a special reserve, which is designated for supplementary measures of employee welfare.

1. Basis for the Assessment of Contributions and Insurance Benefits

1. The basis for the assessment of contributions and insurance benefits is constituted by the contribution base and the benefit base.

2. The contribution base corresponds to the insured salary according to Article 16 of this regulation. It can no longer be increased after the age of 60. An increase commensurate with the expansion of the employment level is reserved.

3. The benefit base amounts to at least 50 percent and at most 100 percent of the contribution base. It increases uniformly to a maximum of 100 percent over the time corresponding to two terms of office with each full insurance year.

1. Upon entry into the insurance fund, the magistrate shall demonstrate and contribute any exit benefits from previous occupational pensions. Exit benefits shall also include advance withdrawals compounded at the technical interest rate.

2. The exit benefits shall be used for purchasing

a) according to Annex 6a of this regulation for members of the government and the state secretary;

b) according to Annex 6b of this regulation for cantonal judges and the president of the administrative court.

3. Insofar as the minimum benefit base is not reached with the exit benefits, the magistrate shall provide the missing purchase sum, but at most half of the contribution base increased by the coordination deduction. The state shall guarantee the remainder of the purchase sum.

4. If the magistrate does not or only incompletely contributes the exit benefits according to the second sentence of paragraph 1 of this provision, the benefit base shall be proportionally reduced. Should this reduction be reversed or mitigated, Article 86ter paragraph 2 of this regulation shall be applied.

1. The magistrate and the state shall pay the same annual contributions on the contribution basis as the pension-insured individuals.

2. The obligation to contribute lasts until retirement from office, but for no longer than 38 years.

3. For increases in the contribution basis, the magistrate and the state shall make the same additional payments as the pension-insured individuals. Article 83ter paragraph 2 of this ordinance remains reserved.

1. The state guarantees the purchase amount for the increases in the performance base according to Article 83, paragraph 3 of this regulation.

2. Increases in the performance base as a result of increases in the employment level are purchased solely by the magistrate.

1. Entitlement to a Pension Benefit

A magistrate is entitled to a pension benefit if they

a) withdraw from office before reaching the age of 60 after serving at least three terms;

b) withdraw from office after reaching the age of 60 following at least two terms;

c) are not re-elected through no fault of their own;

d) withdraw from office due to disability.

2. In lieu of the pension benefit, a magistrate may demand a withdrawal benefit according to Art. 86bis of this regulation if they

1. withdraw from office before reaching the age of 60 after serving at least three terms;

2. are not re-elected before reaching the age of 60 through no fault of their own.

1. The pension amounts to at least 34 percent and at most 50 percent of the performance base. It increases evenly with each full insured year over a period corresponding to two terms of office to a maximum of 50 percent.

2. Benefits for the risks of disability and death are calculated based on the maximum achievable pension pursuant to Articles 43 to 55 of this ordinance.

1. If a regular salary, similar regular payments, or another pension income together with the retirement pension exceed the regular salary of a magistrate, the retirement pension will be reduced by this excess amount.

2. The pension recipient must provide the necessary information. If they fail to fulfill this obligation, their retirement pension will be reduced or withdrawn.

3. The reduction or withdrawal of the retirement pension lasts no longer than the end of the month in which the pension recipient reaches the age of 65.

1. The magistrate who leaves office without entitlement to a pension under the pension regulations is entitled to an exit benefit pursuant to Annex 6a or Annex 6b of this regulation, or at least to the minimum amount according to the Federal Act on Vesting. Article 59 paragraph 3 of this regulation shall apply.

**1. If pension funds are withdrawn to finance owner-occupied residential property or for transfer to the pension plan of the divorced spouse, the achieved pension benefit is reduced in proportion to the withdrawal relative to the exit benefit at the time of withdrawal.**

**2. The state does not contribute to the repurchase to reinstate the pension benefits. The repurchase is calculated based on the age at entry into the pension scheme and taking into account the insurance years according to Annex 6a or Annex 6b of this ordinance. Article 30bis of this ordinance is applied accordingly.**

1. To the extent that the contributions made by the magistrate and those made by the state on their behalf are insufficient to cover the benefit claims, the state shall cover the shortfall at the expense of the administrative account.

2. As circumstances permit, the Department of Finance may allocate investment income from the pension scheme to the administrative account within the amount allocated in the state budget.

1. The provisions of this regulation concerning pension insurance, with the exception of Articles 41 and 42, shall be applied accordingly.

1. Responsibility for the insurance fund lies with the Department of Finance. Insurance management is the responsibility of the Personnel Office, while asset management is the responsibility of the Office for Asset Management.

2. The parity commission according to Art. 51 of the Swiss Federal Law on Occupational Retirement, Survivors' and Disability Pension Plans (BVG) consists of the head of the Department of Finance as president, three members elected by the government, and four members elected by the presidents' conference of the associations of St. Gallen state personnel.

1. The Department of Finance shall issue a regulation concerning the tasks of the commission, as well as its management and asset administration, after consulting the joint commission.

1. An actuarial balance sheet is prepared annually.

1. Disputes arising from the application of this regulation to magistrates are decided by the government. In other cases, the finance department decides.

2. The right to bring an action before the insurance court is reserved.

1

1. The Ordinance on the Insurance Fund for State Personnel of November 16, 1959, is repealed.

1. The prospective pension entitlement existing at the end of the year 1989 under the previous law is preserved for the pension-insured individual.

1. Articles 9 para. 3, 15 para. 3, and 21 to 22bis of the previous regulation shall continue to apply to women if they were born in 1939 or earlier.

2. They additionally acquire the right to a spousal pension under this regulation.

1. For men, the following provisions apply if they were born in 1939 or earlier: [...]

1. The current part-time cantonal judges shall remain in the pension insurance system until they transition into retirement.

1. The insured salary of regular and extraordinary professors, as well as full-time lecturers who were employed at the University of St.Gallen at the end of the year 1989, is determined according to Article 17 of this regulation. No coordination deduction is applied.

1. Claims of previous benefit recipients and future claims of their dependents shall be governed by the previous law.

1. This regulation shall apply from January 1, 1990.