Cost Insurance & Freight

Contracts of carriage and insurance

a) Contract of carriage
The seller must contract on usual terms at his own expense for usual route in a seagoing vessel (or inland waterway vessel as case may be) of the type normally used for the transport of goods of contract description.

b) Contract of insurance
The seller must obtain at his own expense cargo insurance as agreed in the contract, such that the buyer, or any other person having an insurable interest in the goods, shal be entitled to claim directly from the insurer and provide the buyer with the insurance policy or other evidence of insurance cover.

The insurance shall be contracted with underwriters or an insurance company of good repute and, failing express agreement to the contrary, be in accordance with minimum cover of the Institute Cargo Clauses (Institute of London underwriters) or any similar set of Clauses. The Duration of insurance cover shall be in accordance with B5 and B4. When required by the buyer, the seller shall provide at the buyer’s expense war, strikes riots and civil commotion risk insurance if procurable. The minimum insurance shall cover the price provided in the contract plus ten per cent (i.e. 110%) and shall be provided in the currency of the contract.


The seller must delivery the goods on board the vessel at the point of shipment on the date or within the agreed period

The seller must provide the goods and the commercial invoice, or its equivalent electronic message, in conformity with the contract of sale and any other evidence of conformity which may be required by the contract.

The seller must obtain at his own risk and expense any export licence or other official authorisation and carry out, where applicable, all customs formalities necessary for the export of the goods.