Manufacturing represents a $1.8 billion workers’ compensation opportunity in NCCI states, with average premiums of $148,298 per policy¹. California adds another $1.7 billion². With millions of workers operating in high-risk environments—hazardous machinery, repetitive tasks, and heavy workloads—injuries are a constant concern.³
Success in this space requires more than pricing. Brokers who offer proactive, tech-driven solutions can reduce claims, improve ex-mod scores, and stand out as trusted advisors.
This guide is designed for brokers who want to:
Benchmark your clients against the industry norms below to identify opportunities for improving safety and driving better outcomes.
| Total workers' comp claims | 240,000 |
| Average claim cost | $10,726 in NCCI states1 and $17,066 in California.2 |
| Average indemnity claim cost | $38,538 in NCCI states1and $42,328 in California.2 |
| Days out per injury | 10 days per injury.5 |
| Diverse risks | 180+ class codes cover a wide range of manufacturing activities, each with unique risks. |
| Worker shortages add pressure | High demand and turnover increase pressure to retain skilled employees. |
| Injury rates remain high | While injury rates are declining, manufacturing still saw 355,800, nonfatal workplace injuries in 2023, ranking third among all industries.3 |
| OSHA oversight | Manufacturers face 8,383 OSHA citations and $30 million in fines in 2023, keeping compliance top of mind.6 |
| Automation brings new risks | While using robots for dangerous, dirty, difficult, and repetitive tasks may reduce risks, it also introduces new risks, such as unpredictable machine movements. |
Winning manufacturing accounts means understanding who influences workers’ comp decisions, speaking their language, and understanding who will use the value-added services.
| VP of Operations | Focused on productivity, minimizing downtime, and operational efficiency. |
| Controller | Prioritizes cost management, budgeting, and financial risk mitigation. |
| Safety Director/Manager | Responsible for reducing injuries, ensuring OSHA compliance, and fostering a strong safety culture. |
| Onsite Manager | Manages daily operations, workforce productivity, and maintaining production targets. |
| Material Handlers | Lifting injuries, slips, pallet/forklift crush. |
| Machine Operators | Caught-in or caught-between injuries. |
| Material Processing | Inhalation of toxic fumes, burns, cuts and abrasions. |
| Product Assembly | Repetitive motions can lead to sprain and strain injuries. |
| Shipping and Distribution | Lifting, conveyor-related risks. |
30% of manufacturers see employee health and safety as a key strategy to attracting and retaining talent.7 Job seekers agree—76% rank workplace safety above flexibility, pay, and benefits.8
Look for manufacturing clients who prioritize safety, not just the lowest premium. Ideal accounts have strong safety programs, and significant premium potential. As well as roles where proactive injury prevention and strong return-to-work programs can drive measurable results.
| Class Codes: |
See Kinetic's manufacturing workers' comp appetite Pro Tip: The top three manufacturing categories (Food, Fabricated Metal, Transportation Equipment) represent <39% of total premium⁹. Pick two or three industries for focused growth. |
| Premium size: | $50K+ |
| Safety-focused: | Clients already prioritizing injury reduction, especially for musculoskeletal injuries (MSD), or seeking proactive loss control measures |
Manufacturing risks vary significantly depending on materials, processes, and machinery. A one-size-fits-all safety program doesn’t exist, you should:
Assess core safety practices
Identify key risk factors
Lots of brokers quote workers’ comp, but few bring a strategy. The brokers who win lead with differentiation and speak the language of manufacturers.
Kinetic gives you proactive, tech-driven solutions—wearables that reduce strain and sprain injuries by up to 60%, a Rapid Return-to-Work program that cuts claims costs by up to 34%, and smart workflows that optimize claims outcomes.
Combined with industry-specific underwriting, AI-powered risk assessment, and in-person or virtual claims support, these tools deliver measurable results, including a 22% reduction in claims costs and 13% lower premiums.
Ready to take the next step? Get appointed and let’s work together to make manufacturing your next big win.
Sources:
1 NCCI Data from Rate Filing Reports (2017 - 2019). Fully Developed. For policies greater than $50,000 in premium.
2 WCIRB Data (2018-2022). Not fully developed.
3 National Safety Council analysis of BLS data, accessed January 30, 2025
4 Third Quarter 2024 Manufacturing Outlook, National Association of Manufacturers, October 4,
2024
5 U.S. Bureau of Labor Statistics - Table R65, 2021-2022, Accessed January 16, 2025
6 Frequently Cited OSHA Standards Results, NAICS Code: 31 Manufacturing, OSHA
7 Taking charge: Manufacturers support growth with active workforce strategies, Deloitte, April 2024
8 Technology improves safety for manufacturing workers, Manufacturers Alliance, 2024
9 Industry Drill Down - The Next Level, NCCI, May 2024