The risk travels on your side of the contract
Under FOB, CFR and CIF the cargo is legally yours while it is still at sea. You never see the container being packed — yet you pay for every drop of condensation. Here is how to take control.
Your position
Four facts every buyer should know
Risk passes at loading
Under FOB, CFR and CIF, damage that occurs after loading on board is your damage — not the exporter's.
ICC (C) does not cover moisture
The CIF minimum insurance covers major casualties only. Condensation damage is not included at all.
Exclusion 4.3 hits the insured
Even all-risk cover fails when insurers can attribute the loss to insufficient packing or preparation — such as missing desiccants.
You may specify the packing
Desiccant type, quantity and photographic proof can be fixed in the purchase contract — or you supply the desiccants yourself.
Purchase contract checklist
Specify in writing: desiccant on calcium chloride basis for ocean freight, quantity per container (see our calculator), placement along the full container length, photo documentation before sealing. Five lines of contract text — against five-figure losses.
FAQ
Frequently asked questions from importers
Why do I carry the risk although the exporter packs the container?
Under FOB, CFR and CIF the risk passes to the buyer the moment the goods are loaded on board at the port of origin. Everything that happens at sea — including condensation damage — is legally your damage.
Does my cargo insurance pay for condensation damage?
Often not: the CIF minimum cover (Institute Cargo Clauses C) excludes moisture entirely, and even all-risk policies exclude losses caused by insufficient packing or preparation (exclusion 4.3) — missing desiccants are the classic case.
How can I make sure the exporter uses proper desiccants?
Specify it in the purchase contract: calcium chloride based container desiccants, quantity per container, placement along the full container length and photo documentation before sealing — or supply the desiccants to your exporter yourself.
Protect your next shipment
We advise you on specification wording and supply desiccants directly to you or your supplier — worldwide.