Two separate protections matter: cargo insurance and contractual risk transfer. Cargo insurance: for container or RoRo shipments, buy marine cargo insurance covering total loss and damage, typically 110% of the CIF value (average cost 0.3%–0.8%). Check exclusions — many policies exclude pre-existing damage, so a pre-shipment inspection report is essential to prove the car's condition at loading. Incoterms define who bears risk and cost at each stage: 1. FOB (Free On Board): exporter pays until the car is loaded on the vessel; risk passes to you at that point. You pay ocean freight and insurance. Common and usually cheapest if you have your own freight forwarder. 2. CIF (Cost, Insurance and Freight): exporter pays freight and minimum insurance to your port. Convenient but the insurance coverage is basic — consider topping it up. 3. EXW (Ex Works): you handle everything from the exporter's yard; only choose this if you have a trusted agent in China. Put the agreed Incoterm and port clearly in the contract, and never release final payment before the Bill of Lading is issued.

This is a key legal issue. If the inspection is conducted by a third party appointed by us, we will be the primary responsible party and provide limited compensation to you, after which we will seek reimbursement from the inspection agency; if the inspection agency is designated by you personally (such as SGS), you will need to file a claim directly with that agency according to its service terms.

It completely falls under force majeure. After the delivery is completed (crossing the ship's rail) under FOB or CIF terms, the seller (us) bears no liability for refunds or compensation due to political risks or legal changes in the destination country that hinder customs clearance or lead to confiscation.