Cost, Insurance and Freight (CIF)

Cost, Insurance, and Freight (CIF) is a trade term used in international shipping to specify that the seller is responsible for paying the costs of goods, insurance, and freight to bring the shipment to a specified destination port. Essentially, the seller covers the product price, arranges transportation, and insures the shipment against potential damage or loss during transit. The risk transfers to the buyer once the goods are loaded onto the ship at the origin port. CIF ensures the seller manages most logistics and expenses until the goods reach the destination port, simplifying the process for the buyer.