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At the bottom of each post there is the word "comments". If you click on it you will see comments made by followers, and if you follow the instructions you may also comment and I always welcome that. I have found many people overlook this part of the blog which is often more interesting than the original post!

My blog nick-name is SIR HUGH. I'm not from the aristocracy - my middle name is Hugh which relates to the list of 282 hills in Scotland compiled by Sir Hugh Munro in 1891. I climbed my last one (Sgurr Mor) on 28th June 2009

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Thursday, 25 July 2019

Saga car insurance. Thumbs down.

I’ve just asked for a motor insurance quote from Saga. They are promoting a fixed three year premium package ( by the way it will no longer continue to be fixed if your circumstances change, e.g. accident, claim etc. - they reserve the right to adjust.)

My renewal is due on 23rd August - I spoke to them yesterday 24th July.

The renewal premium (supposedly fixed for three years) was in the region of £700.

I was asked to submit card details for payment. I asked when would they debit my card? “Straightaway" they replied. I protested ssying that meant they would have my £700 for a month for which I would receive no value. The lady sympathised and left me on hold whilst she went to consult a manager. She came back confirming their take-it-or-leave-it policy. She pointed out that I would have the (very tenuous in my opinion) advantage of securing their wonderful offer which could  possibly be withdrawn in the intervening period.

I am not a lawyer but sitting on somebody else's money for a month  and giving no value is verging on the criminal. Their suggestion that I could have some value in guaranteeing their offer in case it was withdrawn in the intervening period is worthless - I would just cancel and go elsewhere, BUT in the meantime I would be running the risk of them going bust before my cover starts. At the least this is sharp practice of the highest order coming from an organisation that promotes itself as a specialist in giving sympathetic service to the elderly who, unfortunately, are the group most likely to be taken in by this malfeasance.

There should be some legislation to prevent this common practice - it is not the only organisation I have noticed operating a similar policy.

14 comments:

Phreerunner said...

£700 sounds not unreasonable for three years, but if that's the annual charge you should shop around!

Perhaps a visit to Downderry and Kingsand is best avoided just now!

afootinthehills said...

I agree with Martin re cost if it’s for three years but a month in advance would be unacceptable to me. Personally I would be reluctant to pay three years up front for anything. I’m finding that because insurers have to remind you what you paid the previous year, none of my premiums - car, motor caravan or house have increased at all this year.

afootinthehills said...

Sir Hugh - by coincidence Lynne has just received mail from Saga offering the three year fixed deal, and it is as you said: the quoted annual premium fixed for three years. £700 per year fixed or not seems absurdly high.

Sir Hugh said...

Phreerunner and Afoot - The actual annual premium quoted was £767 compared with the annual premium quoted by my present insurer (The AA) at £625 which in itself was a 22% increase on the previous year so I was being asked to pay £767 in advance for a month for nothing. I was not writing the post because of the exorbitant premium which is another matter - I was concerned with exposing the principle of them holding my money for a month for no value to me which to my mind is at the least sharp practice

afootinthehills said...

It is sharp practice Conrad. My home insurance premium is taken five days before renewal which I think is OK. I suppose the answer is not to renew premiums until a few days before they are due and accept you might miss a deal - but I wonder if you really would miss out? Saga aren’t the company they used to be - except for their cruises I’m told.

gimmer said...

Both my cars together don't come to that much - so ditch Saga - i did once ask them for a quote - it was so high I thought they were joking ! i recall that Which? thinks the same - or did. A bit like the AA, the company in the background bought their data set to exploit usually un-questioning clients: no wonder both have tanked.

Sir Hugh said...

gimmer - I have no intention of using Saga. I will have another shop round before accepting the 22% increase from the AA.

bowlandclimber said...

They are all a bunch of crooks, don't get me started.
Oh, you already have.

Sir Hugh said...

BC - D'accord.

Roderick Robinson said...

Not that I have any love of insurance companies but is the premium exorbitant? Would you insure someone of your age for this sum, taking in all the niggling things you know about your ageing self? I am four years older than you and I believe my car is bigger and possibly more powerful. Yet my DL quote which arrived last week is only £100 more than the AA is charging you. Last year I did a routine check with other companies: Saga was almost 30% higher than DL while RIAS (a specialist in older drivers, they say) was into four figures.

Re. your original complaint about the "lost month", DL (who run an automatic renewal system) explain the transfer of payment: "Your premium will be collected in the usual way, at least 7 days after your renewal date." You may have a point given that "usual".

Sir Hugh said...

RR - The main point of my post was to highlight the almost dishonest practice of them sitting on my £700 for a month for no value to me. I emailed my MP (Tim Farron) about this and he has been sufficiently in accord with my feelings to take this further with Saga. The increase in premium of 22% from the AA was only a secondary moan and only what I expect from my experience of motor insurance over the last few years. I am writing a new post to update some of what I have just written here. Looking back at my original post I see that it implies thst my current insurance was with Saga. I only contacted them for a quote (not a renewal as stated in my post) after seeing the 22% increase from my current insurer: the AA.

gimmer said...

the old old story - caveat emptor - and look around

Ian said...

Having been bombarded by mailshots from Saga about their 3-year deals I got an (online) quote from them for my household insurance last week (while my car renewal from Age UK was less than last year, my household one had, for reasons unknown, risen by over £100!!). I did however notice, by comparing the 3-year price with their "basic" policy, that the 3-year deal came with quite a price premium.

"Dishonest" or not, the practice of pay now & the "goods" will arrive eventually seems to have become the norm.

Sir Hugh said...

Ian- welcome to the blog - new commenters are much appreciated. After going through a couple of quotes on the phone with their multitudinous questions I loose the will to live - they just grind you down.