cost, insurance and freight

(redirected from cost, insurance, and freight)

Cost, Insurance and Freight

A CPT involving ocean freight. In a CIF, the seller is responsible for paying for shipping and providing a minimum amount of insurance coverage up to the named port of destination, while the buyer is responsible for the transportation risk beyond the minimum coverage as soon as the good or product is loaded onto the ship. Legally, risk transfers when the good or product crosses the outer rail of the ship. A CIF is similar to a CFR, but also requires the seller to provide minimal insurance. See also: Incoterm.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved

cost, insurance and freight (c.i.f)

a term used to denote the respective contractual obligations of sellers and buyers of a good which is exported. Under a ci.f. contract, the seller pays the cost of transporting the good to the port of shipment, the loading charges, and the freight charges to the port of destination, plus all insurance cover up to this point. From then on the buyer bears the cost of unloading, transporting, and insuring the good to its final destination. See COST AND FREIGHT, FREE ON BOARD, EXPORTING.
Collins Dictionary of Business, 3rd ed. © 2002, 2005 C Pass, B Lowes, A Pendleton, L Chadwick, D O’Reilly and M Afferson
References in periodicals archive ?
In my first meetings, one of my clients kept referring to "SIF" and it took a few minutes to understand he was referring to CIF, or cost, insurance, and freight. Be prepared to define the key terms you will be negotiating to ensure there are no misunderstandings later.
Alternatively, companies may opt for the supplier to arrange insurance coverage and include the cost in the overall invoice under cost, insurance, and freight (CIF) terms of sale.
* 35% CIF (Cost, Insurance, and Freight) Exporter chooses shipping line and forwarder, but responsibility for the condition of the goods ends when they are handed to carrier.
Full browser ?