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.

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.

Water damage is one of the most common hidden problems in used cars, and it often escapes basic photo reviews. During a live video inspection, ask the inspector to check these specific points: 1. Smell test: A musty or moldy odor inside the cabin is the first red flag. Have them open all doors, run the AC briefly, and smell the air from the vents—musty AC often indicates water in the HVAC system. 2. Under the carpets: Lift the floor mats and look for water lines, rust stains, or dampness on the carpet backing and the metal floor underneath. Sediment or silt residue is a giveaway. 3. Seat rails and bolts: Pull the seats fully forward and backward. Rust on seat rails or fresh-looking bolts suggests the seats were removed for cleaning after flooding. 4. Trunk area: Check the spare tire well and under the trunk carpet for standing water marks or rust. 5. Electronics: Test every window, seat adjustment, and the infotainment screen—water-damaged electronics behave erratically. Also request a scan report: flood cars often store history codes for multiple control modules that failed simultaneously. Cross-check the car's origin; vehicles from flood-prone southern regions deserve extra scrutiny.