Manufacturing Insurance in McKinney, Texas
McKinney manufacturers work with Manufacturing Insurance Group because we have underwritten nothing but production risk for more than 20 years, McKinney’s defense electronics manufacturing exposure included. Request a quote and get real numbers back within 24 to 48 hours.
What Does Manufacturing Insurance Cost for a McKinney Factory?
McKinney manufacturers with under 20 employees typically budget $3,000 to $6,000 a year for general liability and property together, workers’ comp elective, rising to $10,000 to $25,000 for mid-size shops adding product liability and equipment breakdown.
| Facility Size | Typical Annual Premium | What Drives It |
|---|---|---|
| Small shop (under 20 employees) | $3,000 to $6,000/yr | Core coverage – general liability, property, optional workers’ comp – for a compact production floor |
| Mid-size plant (20 to 150 employees) | $10,000 to $25,000/yr | As OEM contracts arrive, equipment breakdown and product liability join the coverage set |
| Large or high-risk facility | $50,000 to $100,000+/yr | Heavy machinery and hazmat exposure, or a multi-site industrial footprint |
Pricing ranges reflect national manufacturing insurance data.
What Coverage Types Does a Manufacturer Need?
McKinney manufacturers typically carry five distinct coverage lines rather than one generic policy:
General Liability
Third-party injury and property damage protection.
Commercial Property
Your building, equipment, and inventory.
Workers’ Compensation
Coverage for employee injuries on the job.
Equipment Breakdown
Mechanical and electrical failure of production machinery.
Product Liability
Coverage for parts and products after they ship.
Equipment Breakdown
Mechanical and electrical failure of production machinery.
Product Liability
Coverage for parts and products after they ship.
Under Section 82.002, a Texas manufacturer must hold the seller harmless from products-liability losses, except those caused by the seller’s own negligence. That indemnification duty is why product liability coverage is not optional for any McKinney manufacturer supplying parts into a defense program.
Per the text of Texas Civil Practice and Remedies Code Section 82.002, on manufacturer liability.
These five lines apply the same way statewide, so see our full Texas manufacturing insurance overview for requirements that go beyond McKinney.
How Does Texas’s Workers’ Compensation System Work?
Labor Code Chapter 406 makes Texas one of the few states where McKinney employers can lawfully skip workers’ compensation coverage.
A McKinney employer’s non-subscriber decision under Chapter 406 should weigh Section 406.033’s real cost: fewer defenses in an employee injury lawsuit.
Verified against Texas Labor Code Section 406.033, on non-subscribing employer defenses.
McKinney’s Real Manufacturing Base
McKinney hosts a real, large-scale Raytheon manufacturing facility as part of the company’s major Texas expansion.
- Raytheon operates a real McKinney manufacturing facility employing roughly 3,000 people, part of Raytheon’s broader $5 billion Texas expansion announced in 2026.
- Defense electronics manufacturing carries product liability stakes well above general assembly work, since a single defective component can trigger claims across an entire downstream defense supply chain.
- McKinney sits inside the Dallas-Fort Worth metro’s broader aerospace and defense manufacturing corridor, giving local suppliers access to a genuinely large regional customer base.
Why McKinney Manufacturers Choose Manufacturing Insurance Group
We work with manufacturers exclusively
Manufacturing is the only industry we write. That focus means defense electronics manufacturing exposure is already understood before you finish explaining your operation to us.
We place coverage through markets closed to standard agencies
We built our carrier list specifically around defense electronics manufacturing risk, not general commercial exposure. McKinney manufacturers get access to that specialty market directly.
Your rate is shaped by your equipment and workflow
What a McKinney facility does in defense electronics manufacturing drives its real exposure, not its size. We underwrite accordingly.
Getting a Quote for McKinney Manufacturing Insurance
Ready to protect your operation? Get expert guidance and a custom quote today.
Frequently Asked Questions About Manufacturing Insurance in McKinney
Is workers’ compensation insurance required for every McKinney manufacturer?
Most McKinney employers are free to elect non-subscriber status under Texas Labor Code Chapter 406. Doing so removes three common-law defenses under Section 406.033.
What does manufacturing insurance cost in McKinney?
McKinney manufacturers with under 20 employees typically budget $3,000 to $6,000 a year for general liability and property together, workers’ comp elective, rising to $10,000 to $25,000 for mid-size shops adding product liability and equipment breakdown.
Does Texas require a manufacturer to indemnify a seller for product defect claims?
Yes, Texas Civil Practice and Remedies Code Section 82.002 requires a manufacturer to indemnify a seller for products-liability losses, absent the seller’s own negligence.
What is the minimum liability coverage required for a manufacturer in Texas?
Texas law does not fix a statutory minimum for commercial general liability. Supplier agreements in manufacturing typically call for $1 million per occurrence and $2 million aggregate at minimum, higher for tier-1 suppliers.
How large is Raytheon’s McKinney facility?
Raytheon operates a real McKinney manufacturing facility employing roughly 3,000 people, part of the company’s broader $5 billion Texas expansion announced in 2026.