Home Insurance Stimulus Plan: 6 Easy Steps
You can create long-term savings by implementing your own Home Insurance Stimulus Plan. There are six easy steps you can take to lower your home insurance payments - (1) comparison shopping; (2) raising your deductible (3) taking advantage of available discounts; (4) adding an alarm or security device; (5) having your carrier recognize certain home improvements; and (6) eliminating unnecessary coverage can all help save you money in the long-term.

1. Comparison Shopping: The Best Way to Save on Home Insurance
The number one way to save money on your homeowners insurance is to shop around for coverage. Homeowners insurance rates are always fluctuating and vary from company to company. If you've just purchased or are about to purchase a new home, compare several quotes before choosing a home insurance provider. If you're a long-time homeowner, review your current rates and compare them to rates offered by other carriers. Your current company could be overcharging you, and it only takes a few minutes to compare rates. Switching companies can potentially save you a significant amount of money.

2. Raise Your Homeowners Insurance Deductible: Save up to 25%
Another great way to save money on your home insurance is to increase your deductible. According to the Insurance Information Institute (III), if you raise your deductible from $500 to $1,000, you may save as much as 25% on your annual premium.

Remember, homeowners insurance is not intended for small fix-it claims. Therefore, the benefits of a lower deductible can be quickly dissolved by the higher rates you'll experience after making such claims. As homeowners insurance is intended for major perils, consider higher deductibles and collect the savings resulting from a lower premium.

3. Multi-line Policy Insurance Discounts: Save up to 15%
Purchasing your homeowners insurance and your car insurance from the same insurance carrier could save you up to 15% on both premiums.

4. Additional Security and Safety: Save up to 20%
Have you added new security devices to your home in the last year; perhaps a deadbolt lock, window locks, or even an alarm system? Insurance companies highly value the protection afforded by fire sprinkler systems, burglar alarms, and fire alarms -- especially those connected to monitoring agencies such as your local police and fire departments. Accordingly, some carriers will reduce your premium by as much as 20% if you install some of these home security devices.

5. Discounts for Home Improvements
A new home's electrical, heating and plumbing systems, and overall structure for that matter, are likely to be in better condition than those of an older home. Accordingly, their insurance rates are generally lower as the risk for a potential claim is reduced. If you've made any home improvement in the past year, see if you'll be rewarded with policy discounts.

6. Eliminate Coverage You Don't Need: Analyze Your Homeowners Limits
Ideally, you want your policy to cover any major purchases or additions to your home, but you shouldn't spend money for coverage you don't need. You may have jewelry, appliances, electronics and other valuable possessions that depreciate over time. Therefore, it's in your best financial interest to compare the limits of your homeowners policy to the actual value of your possessions at least once every year.