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The Chinese translation of the CIF term is called cost plus insurance plus freight. (Specify the destination port, the original text is Cost, Insurance and Freight (insert named port of destination).

 

The constituent factors of the price include the usual freight and the agreed insurance premium from the port of shipment to the agreed destination port. Therefore, in addition to the same obligations as the CFR term, the seller also handles the cargo insurance for the buyer and pays the insurance premium.

 

According to the general international trade practice, the amount of insurance insured by the seller shall be increased by 10% according to the CIF price.

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