The standard industrial classification code for businesses engaged in the wholesale and distribution of transportation equipment and supplies, except motor vehicles, is 5088.
What is Transportation Equipment and Supplies?
This coverage is designed for wholesalers and distributors who handle parts, equipment and supplies used in transportation systems (excluding retail motor vehicle dealers). Policies combine property coverage for your premises and inventory with liability protections such as commercial liability and commercial auto exposure to address risks tied to storage, shipping and delivery.
Who needs it
Typical buyers include small and mid-size distributors, parts wholesalers, logistics suppliers and equipment resellers. If you operate a warehouse, move products between sites, or loan equipment to contractors, this coverage helps manage equipment coverage, inventory risk and employee injury exposures. For wholesalers, consider a tailored program such as Commercial Wholesalers Insurance to match your operations.
What it typically covers
Policies are modular. Common elements include:
- Property coverage for buildings, contents and stocked inventory.
- Inland marine to protect goods in transit or specialist equipment off-premises.
- Commercial auto for owned, hired and non-owned vehicles.
- General liability for third-party bodily injury and property damage.
- Workers’ compensation for employee injuries and related medical costs.
- Crime or theft coverage for loss of inventory or funds.
Wholesalers of industrial components may also review specialized programs like Industrial Supplies Insurance to ensure proper schedule and limits for tools and parts.
Common exclusions or limitations
Standard exclusions often include pollution, intentional acts, wear-and-tear, and certain damage to electronic data. Transportation exposures may have limits or specific deductibles for goods in transit; high-value items sometimes require scheduled inland marine endorsements. Underwriting factors can also restrict coverage for high-risk operations or poorly maintained vehicles.
Factors that influence cost
Premiums depend on shipment volume, annual payroll, claims history, fleet size, security systems, and where inventory is stored. Risk management measures — such as driver training, route planning, and secured storage — can lower costs. Carriers will also consider the types of goods handled and whether you require higher limits or inland marine schedules.
Proof of insurance & compliance
Customers, landlords and contract partners frequently request certificates of insurance or specific endorsements (e.g., additional insured, waiver of subrogation). Maintaining up-to-date proof helps meet contract requirements and supports bids for large accounts. Transportation-focused businesses may review guidance under a broader Transportation Insurance program for certificate management best practices.
How to get a quote
Collect basic business details (SIC code 5088, payroll, vehicle list, inventory values) and discuss coverage needs with your broker. If you prefer an online intake, you can ask your agent or request a quote directly through our form to compare options and limits tailored to your operations.
Risk scenario: a misplaced pallet during loading can damage goods in transit and create a third‑party liability claim — inland marine plus commercial auto and general liability can respond together.
Frequently Asked Questions
Do I need inland marine if I already have property coverage?
Property covers items on your premises; inland marine protects goods and equipment while in transit or temporarily off-site. High-value shipments often require inland marine scheduling.
Can I bundle workers’ compensation and liability with a BOP?
Yes. Many wholesalers combine a BOP with separate workers’ compensation and commercial auto policies to create a cost-effective package that covers property, liability and employee risks.
How do carriers determine limits for goods in transit?
Underwriters review shipment values, typical cargo per vehicle, loss history and shipping methods. They may require itemized schedules for particularly valuable or high-risk cargo.
Still have questions? Talk to a local insurance expert.