Lucky Saga car insurance customers benefit from pricing error

An IT issue last Wednesday meant that Saga customers who received quotes both through comparison websites and directly with the firm were offered incorrect lower prices, with some including MoneySaver Richard Morrison bagging super-cheap car insurance as a result.

While the error has now been fixed, Saga says it will honour any insurance bought as part of the glitch at the price it was purchased for this year.

See our Cheap Car Insurance guide for more help on getting the best deal.

'I'm usually quoted £350+ – it's a significant reduction'

Richard, who is 52 and from Southport, decided to use a comparison site to find cheap car insurance after reading tips in MSE's weekly email. 

He managed to take out a car insurance policy from Saga at £70/year – a huge saving on his previous quotes of over £350.

He said: "I managed to get a significant reduction on my car insurance after going on a comparison site as you suggested in your email. I thought it was a great price so bought it, but when I called Saga to confirm the details, they advised it was incorrect."

Richard was left unsure whether he'd be able to use the policy, but after MSE looked into his case, Saga confirmed that both Richard and any other customers who received incorrectly low prices would have their policies honoured until the next renewal date.

How can I check I have the best deal on my car insurance?

Though most won't be able to benefit from a lucky pricing error, there are still lots of ways to make sure you've bagged the cheapest premium. Here are some tips and tricks to cut your costs:

• Check your renewal price.

   If you see your policy through to the end, you will usually be sent a renewal quote about 28 days before the next policy payment is due. NEVER automatically accept your renewal quote, and if you don't receive one, get on the phone to your insurer.

• Three to four weeks before your policy expires, use comparison sites to check for the best deals.

   If you get a better quote than you've had so far, it's likely to be the cheapest you'll get. See our Car Insurance guide for the current order.

  If you are not ready to buy the policy, many insurers will let you 'lock in' a quote once you have it, so you can buy later (assuming nothing changes in your circumstances, eg, you don't get a speeding ticket or have an accident).

• Try counter-logical tricks. 

  It's all about risk averages and 'actuarial' tables, which can lead to bizarre ways to save. Use trial and error to see if comprehensive's cheaper than third party or if you can save by tweaking your job description. Adding extra drivers can cut costs too if they're a lower risk than you. This is especially strong if you're a young driver adding a responsible older driver, but it's worth a try for others too.

What does Saga say? 

A Saga spokesperson said: "We detected a fault on our systems, which for a brief time led to a small number of customers being offered incorrect pricing on new insurance policies.

"The fault has since been fixed and for all those who have already purchased, we will be honouring the price paid for this year until renewal. We are in the process of contacting affected customers as a priority."