Here are 7 ways to keep your insurance policies but at a reduced cost.

Note: Percentages and dollar amounts are approximate and subject to change.

Cutting Insurance Premiums

You can save money if you:

1) Use the same insurance company. If you have several types of insurance, perhaps both automobile and homeowners (or renters), you are in a good position to negotiate a lower rate. You can further boost your savings if you carry other lines of coverage, such as an umbrella policy, business coverage or, if you're an independent contractor, health and disability insurance. Gathering all policies under one company can save you 15% to 20%.

2) Are loyal. Some insurance companies offer additional discounts for policies held for three or more years. Savings: 5% to 10%.

3) Include your family. If parents, adult children, grandparents and other relatives keep their business with one agent or company, everyone may get a break on their premiums.

Note: A premium is the dollar amount you pay the insurance company for coverage.

4) Are a groupie. Coverage offered by your employer is almost always a better deal than buying a policy on your own. That's because groups have sufficient leverage to negotiate lower rates. In addition to your employer, your may have a professional association or union that offers its members lower-cost policies.

5) Comparison shop. Loyalty discounts and group rates may be great, but it's possible you might do better elsewhere. At least a month before your policies come up for renewal, call several local agents for quotes. Then, go to Progressive Insurance (http://www.progressive.com/), Insure (http://www.insure.com/) and InsWeb (http://www.insweb.com/) to search for attractive alternatives.

6) Pay premiums annually. If you stretch out payments over the year (most insurance companies offer installment plans), you'll wind up paying more because of the interest and/or service fees that are added on. Savings: $2 to $20 per month.

7) Increase your deductible. Decide that you'll pay for small accidents, losses or events out of pocket. That may mean raising your deductible, say from $250 to $1,000. The point of insurance is to protect you from major, not minor events. Savings: As much as 15%; sometimes more.

Note: A deductible is the maximum amount you must pay before your insurance coverage kicks in.

Caution: A low deductible comes with three disadvantages. One, it means you're likely to be filing more claims than if you have a higher deductible - doing so is a pain, frustrating and time consuming. And, two, if you file too many claims, the company may increase your premium. Finally, some companies cancel coverage after seeing too many claims!

Bottom Line: You want to insure against what would be a huge financial loss and not against little every day events.          

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