Another new way of charging more for car insurance

DCurrer

I've just received my car insurance renewal notice from Saga. Surprised at the percentage increase, I spotted that they've added a £20 'Renewal arrangement fee' to next year's premium. This wasn't charged last year, or the year before. Has renewing cover for an existing customer suddenly become more expensive?!?

EssexExile

You'd have thought it cheaper than taking on someone new, perhaps they charge a "new customer fee" of £30.
My wife has been with Esure for years, each year we do the comparisons & each year it's been competitive. As they've handled any claims efficiently she has seen no point in moving. This year they increased the premium by a third, so she's off elsewhere.

Gloomendoom

My broker charges an arrangement fee. It's all up front and obvious in the renewal quote though.

Razoo

DCurrer wrote: »

I've just received my car insurance renewal notice from Saga. Surprised at the percentage increase, I spotted that they've added a £20 'Renewal arrangement fee' to next year's premium. This wasn't charged last year, or the year before. Has renewing cover for an existing customer suddenly become more expensive?!?

I've recently renewed my car insurance with SAGA (March) and the 'Renewal Arrangement Fee' is a new one on me. It smacks of money-grubbing. However, in my experience SAGA hike up their renewal premiums every year regardless. I think they rely on customer apathy - some customers probably just renew without questioning the cost.

Did you get the flyer with your renewal documents stating that SAGA will match any 'like-for-like' quotation?

I always go onto the comparison websites and obtain a good price for similar insurance. I then telephone SAGA and invite them to match it. So far they always have, although I am quite prepared to move on if they won't.

Even if you didn't get the price match flyer, it's still worth getting an alternative quotation and giving SAGA a call.
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Razoo

nickcc

IAM Surety insurer charges the £20 arrangement fee but is still cheaper than those that don't.

Nobbie1967

So if Saga say they'll match a like for like premium, does that mean they'll match the premium and then add on the £20 renewal fee?

nickcc

Unable to say for Saga but IAM quotes always include arrangement fee.

Razoo

Nobbie1967 wrote: »

So if Saga say they'll match a like for like premium, does that mean they'll match the premium and then add on the £20 renewal fee?

To match a like-for-like quotation, SAGA would have to charge the same premium in total.

If SAGA match the price and then add a £20 renewal fee, then they will no longer be matching the like-for-like quotation.
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Razoo

ceredigion

Razoo wrote: »

I've recently renewed my car insurance with SAGA (March) and the 'Renewal Arrangement Fee' is a new one on me. It smacks of money-grubbing. However, in my experience SAGA hike up their renewal premiums every year regardless. I think they rely on customer apathy - some customers probably just renew without questioning the cost.

Did you get the flyer with your renewal documents stating that SAGA will match any 'like-for-like' quotation?

I always go onto the comparison websites and obtain a good price for similar insurance. I then telephone SAGA and invite them to match it. So far they always have, although I am quite prepared to move on if they won't.

Even if you didn't get the price match flyer, it's still worth getting an alternative quotation and giving SAGA a call.
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Razoo

I have had this before and to be honest when I get told they were priced match, I always tell them to shove it as I find it really annoying. What they are effectively saying is ,we will charge you as much as we can possibly get away with but we wont try and be competitive in the first instance.

Marvel1

Always has been for me, I find a new quote, ring them up and they match it, sorted no need to send my new insurer proof of no claims.

dogshome

Saga was built on a well earned reputation organising holidays for those who are not in the first flush of youth, a category that includes myself.

Being a past customer I get the usual Email blandishments for other Saga services, from which I get the impression that Saga financial products are specifically designed for not just the elderly, but also the confused