CIP trade term means Carriage and Insurance Paid To
When is Delivery Completed ?
Seller delivers goods to carrier or another person nominated by seller at an agreed place.
What is Seller’s Obligation ?
Seller must contract and pay for costs of carriage to bring goods to named place of destination. Seller fulfils its obligation to deliver when it hands the goods over to the carrier and not when the goods reach the place of destination. The seller is required to clear the goods for export, where applicable.
When does Buyer Risk and Obligation start ?
Buyer bears all risks and any other costs occuring after the goods have been so delivered to the carrier or person nominated by seller at the agreed place.
Seller contracts for insurance cover against the buyer’s risk of loss of or damage to the goods during the carriage. Insurance shall be on minimum cover, at a price provided in the contract plus 10% (ie 110%)