Increasing your homeowners' insurance deductible can be a fast way to save – or a fast-track to financial trouble if disaster strikes.
On average, raising your deductible from $500 to $1,000 will cut annual premiums by 7 percent, according to a new analysis from InsuranceQuotes.com. Up it from $500 to $2,000 and the average savings goes to 16 percent, they found. At $5,000, it's 28 percent.
With an average homeowners' insurance premium of $1,096 nationwide, according to the National Association of Insurance Commissioners, that simple shift could yield savings of $77, $175 and $307, respectively.
Savings vary depending on where you live. A North Carolina resident, for example, could see her bill cut by nearly 40 percent for jacking up the deductible to $2,000. Someone in Hawaii would save just 5 percent – much less in savings for that additional $1,500 in risk. (See chart below for a full state-by-state breakdown.)