Florida’s manufacturing sector is more than just a backbone of the regional economy-it’s a dynamic engine fueling job growth and innovation. With over 27,000 manufacturing establishments and employment surpassing 430,000 jobs, manufacturers face unique risks that demand tailored insurance solutions. Understanding the landscape of Florida manufacturing and the specific protections needed can safeguard operations, workers, and supply chains from costly disruptions.

Recent data shows Florida’s manufacturing employment increased by 1.3% in early 2025 alone, continuing a steady upward trend that has added over 36,000 new jobs since 2019. This growth reflects a sector expanding its footprint and complexity, making insurance coverage a critical component of operational resilience. For manufacturers seeking to protect their investments, navigating the right insurance policies requires insight into industry-specific challenges and evolving workforce dynamics. FloridaCommerce’s latest report highlights these trends in detail.

Florida’s manufacturing sector has experienced remarkable growth over the past decade. The state’s manufacturing GDP jumped from $43.5 billion in 2014 to $73 billion in 2022, a 67.8% increase that underscores the industry’s expanding economic footprint. This surge is accompanied by a 23.3% rise in manufacturing employment since 2014, positioning Florida as a competitive hub for production across various industries.

Such growth brings both opportunity and risk. Manufacturers must manage everything from equipment breakdowns and workplace injuries to supply chain interruptions and product liability. The average annual wage for manufacturing workers in Florida topped $74,000 in 2022, reflecting the skilled nature of the workforce and the value of protecting human capital. Yet, more than half of this workforce is aged 45 or older, signaling potential challenges ahead in workforce sustainability and safety management.

With nearly 10% employment growth between 2019 and 2023, the sector’s rapid expansion demands insurance policies that address not only traditional risks but also emerging threats. Supply chain disruptions, cyber vulnerabilities, and regulatory compliance are areas manufacturers cannot afford to overlook. As the sector diversifies and modernizes, insurance coverage must evolve in tandem.

Furthermore, Florida's geographical advantages play a significant role in its manufacturing success. The state’s strategic location provides easy access to both domestic and international markets, facilitated by major ports and a robust transportation infrastructure. This accessibility allows manufacturers to efficiently distribute their products, thereby enhancing competitiveness. Additionally, Florida is home to a diverse array of manufacturing sectors, including aerospace, electronics, and food processing, which not only enriches the local economy but also fosters innovation through collaboration among different industries.

The state has also invested in educational initiatives aimed at bridging the skills gap in the manufacturing workforce. Programs designed to enhance technical training and vocational education are crucial for equipping the next generation of workers with the necessary skills to thrive in advanced manufacturing environments. Partnerships between educational institutions and manufacturing companies are becoming increasingly common, ensuring that curricula align with industry needs and that students gain hands-on experience. This proactive approach not only addresses the aging workforce issue but also positions Florida as a leader in manufacturing innovation and workforce development.

Manufacturers in Florida face a distinct set of risks that standard business insurance policies often do not fully cover. Tailored insurance solutions help mitigate these risks and ensure continuity of operations. Here are the primary areas where Florida manufacturers should focus their insurance strategy:

Property and Equipment Coverage

Manufacturing facilities house expensive machinery and inventory essential to production. Property insurance protects these assets against fire, theft, natural disasters, and equipment breakdowns. Florida’s exposure to hurricanes and flooding makes this coverage especially critical. Without it, a single event could halt production and lead to significant financial losses. Additionally, manufacturers should consider including coverage for business personal property, which extends protection to items such as tools, machinery, and office equipment that are not permanently affixed to the building. This comprehensive approach ensures that all vital assets are safeguarded against unforeseen circumstances, allowing manufacturers to recover more quickly from setbacks.

Workers’ Compensation and Employee Protection

With a workforce that is both sizable and aging, the risk of workplace injuries is a pressing concern. Workers’ compensation insurance is mandatory and covers medical expenses and lost wages for employees injured on the job. Given that manufacturing jobs often involve heavy machinery and physical labor, this coverage is vital for both compliance and workforce morale. Furthermore, manufacturers may benefit from investing in additional employee protection programs, such as safety training and ergonomic assessments, which can help reduce the incidence of workplace injuries. By fostering a culture of safety, manufacturers not only protect their employees but also enhance productivity and reduce insurance costs over time.

Supply Chain and Business Interruption Insurance

Disruptions in the supply chain can cripple manufacturing operations. Business interruption insurance helps cover lost income and operating expenses if production halts due to covered events. In Florida, where natural disasters can impact suppliers and logistics, this coverage provides a financial buffer that keeps companies afloat during unexpected shutdowns. Manufacturers should also evaluate their supply chain dependencies and consider diversifying suppliers to mitigate risks. By establishing relationships with multiple suppliers and incorporating contingency plans, manufacturers can enhance their resilience against disruptions, ensuring that they remain operational even in challenging circumstances.

Product Liability and Recall Coverage

Manufacturers are responsible for the safety and quality of their products. Product liability insurance protects against claims arising from defects or injuries caused by products. Additionally, recall coverage can cover the costs of removing defective products from the market, an increasingly important protection as regulatory scrutiny intensifies. As consumer awareness grows, manufacturers must also consider the reputational damage that can arise from product recalls. Proactively implementing quality control measures and maintaining transparent communication with customers can help mitigate these risks and foster trust in the brand.

Cybersecurity Insurance

As manufacturing processes become more digitized, cyber risks grow in significance. Cyber insurance helps manage risks related to data breaches, ransomware, and operational disruptions caused by cyberattacks. This coverage is crucial for manufacturers relying on connected devices and digital supply chain management. In addition to obtaining cyber insurance, manufacturers should invest in robust cybersecurity measures, such as employee training on phishing scams and regular software updates. By creating a multi-layered defense against cyber threats, manufacturers can better protect sensitive data and maintain operational integrity in an increasingly interconnected world.

Choosing the right combination of these coverages depends on the size, scope, and specific risks of each manufacturer. Consulting with an insurance expert who understands Florida’s manufacturing sector can ensure policies align with operational realities. Moreover, manufacturers should regularly review and update their insurance policies to adapt to evolving risks and industry standards, ensuring that they remain adequately protected in a dynamic market environment.

Florida’s manufacturing workforce is aging, with more than 50% of workers aged 45 or older. This demographic trend has implications for workplace safety, productivity, and insurance costs. Older workers may face higher injury risks, which can lead to increased workers’ compensation claims and premiums. The physical demands of manufacturing jobs can exacerbate age-related health issues, making it essential for employers to recognize these challenges and adapt their practices accordingly.

Addressing these challenges requires proactive safety programs, ergonomic workplace designs, and training tailored to an older workforce. Insurance providers often reward manufacturers who implement robust risk management practices with better rates and coverage options. Investing in workforce health not only protects employees but also reduces insurance expenses over time. Moreover, fostering a culture of safety can enhance employee morale and retention, which is crucial in an industry facing labor shortages.

The sector’s growth also means more new workers entering manufacturing roles, often requiring comprehensive training to minimize accidents and errors. Balancing the needs of a multigenerational workforce is a critical factor in maintaining a safe production environment and controlling insurance risks. Younger employees may bring fresh perspectives and technological skills, but they often lack the experience that older workers possess. This generational gap necessitates mentorship programs that pair seasoned employees with newcomers, ensuring knowledge transfer while also promoting safety protocols that are vital for reducing workplace incidents.

Furthermore, as technology continues to evolve within the manufacturing sector, the integration of automation and advanced machinery presents both opportunities and challenges. While these innovations can enhance productivity and reduce the physical strain on workers, they also require a skilled workforce capable of operating and maintaining complex systems. This shift may lead to a skills gap, where older workers may not be as adept with new technologies, potentially increasing the risk of accidents. Therefore, ongoing training and development initiatives are essential to equip all employees with the necessary skills to thrive in a modern manufacturing environment, ultimately influencing the landscape of workplace safety and insurance liabilities.

Florida’s labor force topped 11.1 million in January 2025, with manufacturing employment at approximately 430,800 jobs. The state’s private sector job growth has outpaced the national rate for 48 of the last 50 months, reflecting a robust economic climate. Meanwhile, the statewide unemployment rate held steady at 3.7% in May 2025, below the national average for over four years.

This economic strength benefits manufacturers but also raises the stakes for insurance coverage. A tight labor market means higher wages and potentially increased claims costs. Additionally, the state’s exposure to natural disasters requires manufacturers to consider comprehensive property and business interruption insurance to mitigate financial risks.

Florida’s expanding manufacturing GDP, now at $73 billion, signals a thriving sector that attracts investment and innovation. Insurers recognize this growth and often tailor products to meet the evolving needs of manufacturers operating in this competitive environment. Staying informed about economic trends helps manufacturers anticipate insurance needs and negotiate better terms.

Governor Ron DeSantis highlighted the state’s labor force milestones, underscoring the importance of aligning insurance strategies with economic realities.

Securing the right insurance coverage requires more than purchasing standard policies. Manufacturers should take a strategic approach that includes risk assessment, policy customization, and ongoing review. Here are practical steps to consider:

Conduct a Comprehensive Risk Assessment

Identify all potential risks, from physical hazards in the plant to supply chain vulnerabilities. Consider factors such as equipment age, workforce demographics, and geographic exposure to natural disasters. This assessment forms the foundation for selecting appropriate insurance coverages.

Work with Industry-Savvy Insurance Professionals

Choose brokers or agents familiar with Florida’s manufacturing sector. Their expertise ensures policies address specific risks like product liability, cyber threats, and business interruption. They can also help navigate regulatory requirements and identify cost-saving opportunities.

Implement Risk Management Programs

Proactive safety training, regular equipment maintenance, and cybersecurity protocols reduce the likelihood of claims. Insurers often provide incentives for companies that demonstrate strong risk management, resulting in lower premiums and better coverage terms.

Review and Update Policies Regularly

As manufacturing operations grow or change, insurance needs evolve. Annual reviews ensure coverage limits remain adequate and new risks are addressed. This practice prevents gaps that could leave manufacturers vulnerable.

Consider Additional Coverages



Explore endorsements or specialized policies such as environmental liability or supply chain insurance. Tailoring coverage to unique operational risks enhances protection and business continuity.

Supply chain disruptions can halt production, delay deliveries, and erode customer trust. Florida manufacturers must consider insurance that covers these risks, especially given the state’s exposure to hurricanes and other events that can impact suppliers and logistics networks.

Business interruption insurance with supply chain coverage helps manufacturers recover lost income when external events disrupt operations. This protection is vital in a complex global supply environment where delays or shortages can cascade into significant financial damage.

Additionally, manufacturers should evaluate the resilience of their suppliers and logistics partners. Insurance cannot replace a robust supply chain strategy but complements it by providing a financial safety net.

Axios reports on the surge in Florida manufacturing jobs, highlighting the sector’s growing importance and the need for comprehensive supply chain risk management.

Florida’s manufacturing sector is thriving, but growth brings complexity and risk. Insurance tailored to the unique challenges of production and supply chain operations is essential for safeguarding assets, employees, and business continuity. With an aging workforce, evolving economic conditions, and exposure to natural disasters, manufacturers must be proactive in selecting and managing their insurance coverage.

By understanding the specific risks and leveraging expert guidance, Florida manufacturers can build resilient operations that withstand disruptions and capitalize on the sector’s promising future. Staying informed about industry trends and regularly reviewing insurance policies ensures protection keeps pace with growth and change.

For manufacturers looking to deepen their understanding of the sector’s economic impact and workforce trends, Florida’s 2023 Manufacturing Report offers valuable insights that can inform insurance and risk management strategies.

Q: What types of insurance are essential for Florida manufacturers?

A: Key coverages include property insurance, workers’ compensation, business interruption, product liability, and cyber insurance.

Q: How does Florida’s climate affect manufacturing insurance needs?

Florida’s risk of hurricanes and flooding makes property and business interruption insurance especially important to protect against natural disasters.

Q: Why is workers’ compensation critical for manufacturers?

Manufacturing involves physical labor and machinery, increasing injury risk. Workers’ compensation covers medical costs and lost wages for injured employees.

Q: Can supply chain disruptions be insured?

Yes, business interruption insurance with supply chain coverage helps cover losses when external events disrupt production or deliveries.

Q: How can manufacturers reduce their insurance costs?

Implementing strong safety programs, regular equipment maintenance, and cybersecurity measures can lower risks and insurance premiums.

Q: Is cyber insurance necessary for manufacturers?

As manufacturing relies more on digital systems, cyber insurance protects against data breaches and operational disruptions caused by cyberattacks.

Q: How often should manufacturers review their insurance policies?

Annual reviews are recommended to ensure coverage matches current risks and operational changes.