If you haven't shopped around for homeowners insurance coverage in the last few years, do it now. Most Twin Cities area homeowners can save more than $500 a year by switching from their current insurance company to a lower-priced one. Some will save more than $1,500.

Researchers from nonprofit Twin Cities Consumers' Checkbook collected annual premiums for sample policyholders from the companies that write almost all the homeowners insurance business in the area and found costs vary significantly from company to company. For example, a sample Hennepin County family (one-story frame/siding home with three bedrooms and two bathrooms built in 1977 with 1,680 square feet of living space and a $450,000 replacement cost) would pay $1,527 per year with Auto-Owners, $1,679 with Safeco, or $1,895 with Liberty, compared to $2,927 with American Family, $2,982 with Hippo, $2,991 with Electric, or $4,342 with Amica. Condo owners and renters will also save money by shopping around for better rates.

To help you find a low-cost, high-quality company, Star Tribune readers can access Checkbook's ratings of homeowners insurance companies for free through Feb. 5 at checkbook.org/StarTribune/homeowners.

Pricing methods and premiums can dramatically change over time, so shop around for a better rate at least every few years. And if you're considering an insurance switcheroo, you don't have to wait until your policy term ends to do it: Although you might have to pay a small administrative fee to cancel your current insurance, this fee is usually much less than the savings you'll get from a lower-cost carrier.

Even if you select a low-priced company, don't waste hundreds of dollars a year buying the wrong coverage.

Take a high deductible. You'll get a big discount, and it will make you less likely to file small claims that may generate future premium hikes. Keep in mind that the purpose of insurance is to protect you from losses that you can't afford to cover yourself.

Obtain an accurate estimate of what it will take to rebuild your home. Many homeowners do not maintain adequate insurance coverage, leaving themselves financially vulnerable in the event of a total loss. Don't count on your insurer to keep your homeowners policy up to date.

Limit the number of claims you make. Filing a claim will result in higher premiums from most insurers and may cause an insurer to drop you — which will make it difficult and more expensive to get insurance elsewhere.

Maintain a good credit record. In Minnesota, companies are permitted to use credit scores to set their rates. With some companies, a poor-credit penalty more than triples their premiums.

Consider declining optional higher coverage limits and other add-ons. Raising limits for some types of coverage — such as liability coverage — won't increase your premium much, and most consumers find the extra protection worth it.

Consider buying your homeowners and auto policies from the same company. Many companies offer dual-policy discounts to customers who insure both their homes and cars with them.

Consider that what you get with basic coverage is particularly important if you own an older home, where you might want to make sure expensive-to-replace features like woodwork that are properly covered. Standard policies promise to repair or replace what is damaged, but not to pay for an exact replica of what was lost.

No matter which company you choose or which coverage you select, you'll want a company or agent that offers unbiased information and quotes accurate prices. Unfortunately, Checkbook's researchers often found many agents more interested in selling them too much insurance and unwanted options than dispensing solid advice and reliable price quotes.

Document features of your home and keep the list up to date. If you make improvements, promptly report them to your insurer. Take pictures or videos of your belongings and keep this information in a safe place away from your home.

Twin Cities Consumers' Checkbook magazine and Checkbook.org is a nonprofit organization with a mission to help consumers get the best service and lowest prices. It is supported by consumers and takes no money from the service providers it evaluates.