Manufacturing Insurance

Insurance built for NY metro and Hudson Valley manufacturers, from $10M to $200M in revenue.

When a carrier’s loss control engineer shows up at your facility, are you ready?

Mid-market manufacturers between $10M and $200M in revenue carry a different risk profile than a small shop or a large industrial conglomerate, and most standard commercial lines programs aren’t built for that middle tier. You have real machinery values, a labor-intensive workforce, contractual obligations to customers who push indemnity clauses, and potentially older facilities in Westchester or up the Hudson Valley where replacement cost estimates on a 1970s-era building have nothing to do with what it actually costs to rebuild it today.

We work directly with family-owned and privately-held manufacturers in the NY metro and Hudson Valley region. Our senior team handles every placement directly, with principal-level attention.

Coverage Lines We Place for Manufacturers

Property – The single most common gap we find is an undervalued building or equipment schedule. Carrier property inspections are increasingly flagging this routinely on older facilities. We verify replacement cost valuations with current Marshall & Swift data and confirm scheduled machinery values match actual installed cost, not depreciated book value.

Workers’ Compensation – WC is where manufacturers feel the most pressure. Class codes matter. Misclassification between production floor workers and clerical staff is a frequent audit issue. In certain manufacturing classes, the WC market has tightened; we identify carriers still competitive in your NCCI class before binding.

Product Liability & GL – Product liability remains relatively stable in pricing, but the underwriting scrutiny on products with foreign components, food-contact materials, or high-volume consumer distribution has increased. Your GL policy needs to address completed operations clearly.

Product Recall – First-party recall expense (notification costs, logistics, and lost revenue during a recall event) is not covered under a standard CGL. For food manufacturers, electronics, or anyone distributing to retailers, this is a line worth pricing.

Equipment Breakdown – Mechanical breakdown of a CNC machine, boiler, or electrical panel is specifically excluded under most commercial property forms. Equipment breakdown coverage fills that gap.

Business Income with Extended Period – Standard BI coverage ends when you physically restore operations. If your customer contracts have long lead times, you need extended period of indemnity language. Most standard forms default to 30 days. That’s rarely enough.

Commercial Auto – Fleet exposure for delivery vehicles, forklifts used on public roads, and employee-owned vehicles used for company business.

Cyber Liability – Operational technology on the shop floor (PLCs, SCADA systems, networked CNC equipment) creates a cyber exposure distinct from standard IT risk. A ransomware event that locks production equipment is an OT incident, not just a data breach.

Pollution Liability – Manufacturers with on-site chemical storage, surface finishing operations, or waste disposal obligations often have pollution exposure that general liability specifically excludes.

Loss Control and Carrier Engineering Visits

Many carriers writing mid-market manufacturing accounts require a risk engineering visit at binding or renewal. We prepare you for those visits: what to have documented, what questions loss control engineers typically focus on (housekeeping, lockout/tagout programs, fire suppression, roof condition), and how to respond to recommendations without triggering a coverage condition you didn’t expect.

A proper replacement cost valuation needs to account for the building shell, specialized utilities (heavy electrical, compressed air lines, floor drains), installed machinery, and code upgrade costs if the building predates current codes. If your policy limit was set three or four years ago without adjustment, it’s likely undervalued, and coinsurance penalties at claim time are real.

WC premium is calculated by multiplying payroll against a class code rate. Production floor workers carry significantly higher rates than clerical employees. Misclassifying production employees as clerical reduces your premium initially but creates large audit obligations at year-end. Getting payroll allocation right at inception avoids audit surprises.

Products liability under a standard CGL responds when a third party suffers bodily injury or property damage. Product recall coverage is first-party: it pays your own costs to locate, pull, notify customers about, and dispose of a defective product batch. Standard CGL policies don’t cover that first-party expense.

Most cyber policies were written with IT environments in mind. Manufacturing facilities run operational technology (OT): PLCs, SCADA networks, CNC equipment with network connectivity. A ransomware attack on OT can halt production even if no customer data is compromised. We look specifically at whether the policy language covers OT systems and business interruption from non-data events.

If your facility stores chemicals on-site, operates surface finishing or coating processes, generates hazardous waste, or has legacy contamination, you have a pollution exposure. Standard GL policies contain a broad pollution exclusion. Pollution liability fills that gap and can cover cleanup costs, third-party injury, and regulatory defense costs.

Loss control engineers typically focus on fire protection, housekeeping, electrical panel condition, roof condition, lockout/tagout procedures, and machinery guarding. Mandatory recommendations that go unaddressed can result in mid-term cancellation or non-renewal. We help you understand which recommendations carry that weight before the visit.

Our senior team handles manufacturing placements directly at ZRM Brokerage. If you’re a manufacturer in Westchester, Rockland, Orange, Dutchess, or Ulster County, or anywhere in the NY metro, contact us to review your current program.

talk to daniel directly.

See what your current policy misses.

  • Send us your current policy and we’ll read every line
  • You get a written rundown of the gaps at no cost

  • A principal who knows your industry handles the placement