Carriage and Insurance Paid To(redirected from Freight Carriage and Insurance Paid To)
Carriage and Insurance Paid To (CIP)
Seller is responsible for the payment of freight to carry goods to a named overseas destination. The seller is also responsible for providing cargo insurance at minimum coverage against the buyer's risk of loss or damage to the goods during transport. The risk of loss or damage is transferred from the seller to the buyer once the goods are delivered into the carrier's custody. This term may be used for any mode of transport.
Carriage and Insurance Paid To
In international commerce, an agreement between a buyer and a seller stating that the seller is responsible for paying for shipping and providing a minimum amount of insurance coverage until some named destination, while the buyer is responsible for the transportation risk beyond the minimum coverage as soon as the good or product is delivered to the carrier. It is also called a CIP. See also: Incoterm, CFR.