Definition
Like CPT, but the seller also buys all-risks insurance to the named destination for the buyer.
CIP mirrors CPT — the seller pays carriage to destination and risk passes at the first carrier — and adds an insurance obligation. Under Incoterms 2020 the seller must provide the higher all-risks level of cover (Institute Cargo Clauses A) unless the parties agree otherwise.
CIP is the any-mode equivalent of CIF and is well suited to containerized and multimodal moves where insurance from the named destination back to the handover point protects the buyer.
Related terms
CPT (Carriage Paid To)
The seller pays carriage to the named destination, but risk passes when goods reach the first carrier.
CIF (Cost, Insurance and Freight)
The seller pays freight and minimum marine insurance to the destination port; risk still passes on loading.
Marine Cargo Insurance
Insurance covering loss of or damage to goods while in transit by sea, air, or land.
Multimodal Transport
Carriage using two or more transport modes under a single contract and one responsible operator.
Built for freight forwarders
Turn these terms into a working pricing engine.
Freightools structures your tariffs, quotes on margin in seconds, and gives your customers self-service quoting. Book a demo to see it on your lanes.