when should i use cif 
cif is only used when shipping goods via ocean or waterway meaning cif cannot be used for air freight cif can be easier for buyers who don t want to go through the trouble of obtaining insurance paying freight charges and assuming all of the responsibility for shipping internationally the bottom linecost insurance and freight cif is an international shipping term that describes the seller s responsibility for the cost of shipping freight charges and insuring the cargo being shipped via ocean or waterway cif means that the seller is responsible for the costs of transporting the cargo and obtaining insurance to protect the buyer from any damages to the goods during transport however the buyer assumes responsibility for the goods once the cargo has reached the buyer s port cif is different from cost and freight cfr which is when the seller is responsible for the shipping and freight costs but under cfr the seller is not responsible for obtaining marine insurance there are various types of international shipping agreements including cost insurance and freight cif free on board fob and cost and freight cfr as a result it s important that buyers and sellers understand all of the legal terms within these agreements before engaging in international trade correction april 30 2023 an earlier version of this article incorrectly stated that ownership transfers from the seller to the buyer when the goods reach the destination port in fact ownership transfers at the point that the goods are loaded on the ship 