There are three kinds of home insurance companies:

• Direct sellers: These companies sell directly to consumers, and often have the lowest rates. They tend to be very selective about who can sign up, though, so you may or may not qualify based on where you live or some other aspect of your home. GEICO, Progressive and USAA fall into this category.

• Sponsored agents: The next group to consider are companies that use insurance agents. Agents that sell their own products are often better than independent agents. These agents work for companies such as State Farm and Allstate. You can usually get a pretty good deal with these people, and they tend to be more flexible about who can join.

• Independent insurance agents: These folks sell policies from a bunch of different companies. Since they’re paid by commission, their prices are going to be higher (the insurance company has to fund the agent’s commission and try to make money on the insurance policy too). Unless you have a problem finding insurance (you live in a flood-prone area, for example), you should be able to find better deals with the direct sellers or the exclusive-agent insurers. Learn more about how to find the best insurance agent in our guide.

It’s possible that all of these groups will deny your insurance application. Don’t despair. Many states have state-sponsored insurance programs for the hard-to-insure. Search for your state’s FAIR (Fair Access to Insurance Requirements) plan if you’re having a tough time with the traditional insurers.

Figuring Out Your Deductible:

Any homeowner’s policy, like an auto-insurance policy or even health coverage, has some sort of deductible (the amount you must pay before coverage kicks in). And like all those other policies, you should get the highest deductible you can afford. If you do, the cost of your insurance premium (the monthly bill you pay) will surely be lower

Remember: insurance is not supposed to cover every conceivable expense, just the big ones. If reinstalling a gutter is going to cost you $200, pay the $200 and don’t start filing claims about it. Insurers hate it when you file too many claims, and may raise your monthly premium or even cancel coverage if they think you’re being too uppity. It’s not about gutters—you want the insurance when you have to pay for a whole new roof. A general rule of thumb is: if you can fix the damage for less than $1,000, don’t file a claim.