Insurance dos and don'ts

To get the best value and protection from your homeowners policy, follow these rules:

Do

Compare prices

Every five years or so, shop for the same level of coverage, including deductibles, policy limits, and riders. Visit an independent agent or check online sites such as www.netquote.com or www.insweb.com.

Bundle your coverage

Buy several policies—home, auto, boat—from the same insurer to save up to 15 percent on all policies. The more business you do with your insurer, the less chance your coverage will be dropped due to a single claim or a risky home location.

Raise your deductible

Going from $500 to $1,000 can save you up to 25 percent on the overall premium.

Clean up your credit report

An insurer viewing a mistake on your report could deny coverage or place you in a more costly price tier.

Maintain and upgrade your home

Fire and smoke detectors, burglar alarms, and dead-bolt locks can cut as much as 20 percent off the premium. In storm-prone areas, add hurricane shutters and shatterproof windows.

Stay with your current company

If your insurer's rates are competitive, you might save by staying. Companies often give discounts for loyalty. They also might be less likely to drop a longtime customer for one or two claims.

Do a home inventory—now

Experts say one of the most difficult parts of the claims process is recalling lost or stolen items and papers. Catalog your belongings, including receipts, with video or photos. You can store them free on the Insurance Information Institute's Web site, at www.iii.org/software. Keep copies of vital documents in a fireproof safe, in a bank safe-deposit box, or with someone you trust.

Don't

File small claims

Insurers can raise your premium or even drop you for making, say, two claims in two years. Avoid filing a claim if it's just a small amount above your deductible.

Call to discuss whether to file

Even if you decide not to make a claim, your inquiry could end up in your claims record as an incident, making you vulnerable to a premium increase.

Smoke

You'll incur higher premiums. Also considered risky and possibly uninsurable: homes with trampolines and dog breeds that are prone to biting.