by Kevin Thalersmith

Created on: May 21, 2010   Last Updated: May 24, 2010

In tough economic times, it is important to find convenient ways to save money.  Fortunately, many people can save money by cutting expenses in areas they never paid attention to expenses.  Insurance, specifically home insurance, is one of these areas.  Below are seven tips on how to save money during every stage of buying home insurance.  Everyone can use at least one of these ideas to cut off a percentage of their home insurance bill and save money.     

Shop Around

With so many insurers out there, the market for home insurance is very competitive.  Buyers can use the market to their advantage when shopping for home insurance by shopping around and comparing prices.  Just a simple Google search yields many different companies; phone books and local agencies are also good places to look.  Compare all the prices these companies offer and the different services that come with their insurance.  Only choose an insurance policy suited for your needs; paying for extra stuff wastes money.

Raise Your Deductibles

A deductible is the amount of money a person pays before the insurance companies pays out a claim.  The amount varies based on each person’s different policy, but it is usually between $250 and $500.  While it seems more expensive, a higher deductible lowers the premium of an insurance policy, meaning a cheaper monthly bill.  Low premiums make sense for the buyer because most insurers collect more in premiums than they pay out in claims.  The odds are in favor of the insurance not being needed, so it pays to have a cheaper premium instead of a cheaper deductible.

Consider Insurance Costs before Purchasing a Home

Always price in the cost of insurance when buying a house to know you can really afford it.  Also, try to buy homes that will provide a lower insurance cost.  Insurers look carefully at houses before insuring them and base the price off many qualities of the house.  Newer houses, or houses with new electrical and plumbing systems, come with a cheaper insurance cost.  Houses that prepared to withstand natural disasters of the area are also cheaper to insure, as our houses close to professional fire departments.

Don’t Insure Land

Including the value of the land surrounding a home in a home insurance policy isn’t worth the extra money.  It all comes down to risk, like everything with insurance.  The risk of insurable damage to

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