Poleview Group Sourcing Tools
Responsibility matrix Rule finder
Incoterms® 2020 · free tool

Compare Incoterms by cost, risk & responsibility

See exactly where cost and risk hand off between seller and buyer across all 11 Incoterms® 2020 rules. Explore one rule on a visual shipping journey, compare rules side by side, scan the full responsibility matrix, or let the rule finder suggest a starting point.

11 rules EXW → DDP Cost vs risk handoff shown Side-by-side comparison Rule finder guide

Explore a rule

Pick a rule to see who pays, who bears risk, and where each transfers.

Any mode of transport
Sea & inland waterway only

Seller responsibility spectrum

From minimum obligation (EXW) to maximum (DDP). Tap any rule to load it above.

Full responsibility matrix

Who covers each step — S = seller, B = buyer. Tap a rule heading to load it above.

S Seller's cost B Buyer's cost

Insurance: only CIF and CIP carry a contractual duty for the seller to insure; in DAP, DPU, and DDP the seller bears transit risk and so normally insures. FCA, FAS, and the D-rules depend on the exact named place — adjust for your contract.

Find your Incoterm

Answer five questions for a suggested starting point. Guidance only — confirm the term in your contract.

What are Incoterms® 2020?

Incoterms® are standardized three-letter trade terms published by the International Chamber of Commerce (ICC). They define how the costs, risks, and responsibilities of moving goods are split between a seller and a buyer in an international sale.

The current edition, Incoterms® 2020, contains 11 rules. Seven apply to any mode of transport — EXW, FCA, CPT, CIP, DAP, DPU, and DDP — while four apply only to sea and inland waterway transport — FAS, FOB, CFR, and CIF. Each rule sets two things that often confuse traders: the point where the cost burden passes from seller to buyer, and the point where the risk of loss or damage passes. Under the four "C" rules these two points are different.

The 11 rules at a glance

Why cost and risk transfer at different points

Under CFR, CIF, CPT, and CIP, the seller arranges and pays for carriage all the way to the destination — but the risk of loss or damage passes to the buyer much earlier, at origin, once the goods are handed to the carrier or loaded on board. If the cargo is damaged in transit, it is the buyer's problem even though the seller bought the freight. The journey bar at the top of this page shades that gap so you can see it for any rule you select.

What changed from Incoterms® 2010 to 2020

DAT became DPU. "Delivered at Terminal" was renamed "Delivered at Place Unloaded" and broadened to any destination. DPU is still the only rule where the seller unloads at destination.
CIP insurance was upgraded. CIP now requires all-risk cover (Institute Cargo Clauses A), while CIF still requires only minimum cover (Clauses C).
FCA bill of lading option. Parties can now agree that the buyer instructs the carrier to issue an on-board bill of lading to the seller — useful for letters of credit.
Costs gathered in one place. Each rule now lists all costs together, making it easier to see who pays what.
Security obligations made explicit. Transport-security requirements and their costs are allocated more clearly.

FOB or FCA for containers?

FOB and the other sea rules assume the seller hands goods over at the ship's rail. With containers, the seller actually loses control at the container terminal, often days before loading — yet under FOB the seller still carries risk until the box is on board. The ICC therefore recommends FCA for containerized cargo, because risk passes cleanly when the container is handed to the carrier at the terminal. FOB remains common by habit, but FCA usually fits container shipping better.

Glossary

Risk transfer
The point where responsibility for loss of or damage to the goods moves from seller to buyer.
Cost transfer
The point up to which the seller pays the costs of carriage and handling; the buyer pays beyond it.
Main carriage
The principal international leg — ocean, air, or long-haul road/rail — between the origin and destination terminals.
Pre-carriage / on-carriage
Inland transport before the main carriage (origin to port) and after it (port to final place).
Terminal handling charges (THC)
Port or terminal fees for moving and handling cargo at origin or destination.
Named place
The specific location written after the rule (e.g. "FCA Shenzhen") that fixes where delivery, cost, and risk transfer.
Export / import clearance
The customs formalities to lawfully send goods out of one country and bring them into another.
Bill of lading
A transport document issued by the carrier that serves as a receipt and, in negotiable form, a document of title.

Frequently asked questions

What is the difference between FOB and CIF?
Both are sea-only rules and both pass risk to the buyer once goods are on board at origin. Under FOB the buyer arranges and pays the main freight; under CIF the seller pays the freight and buys minimum cargo insurance to the destination port. CFR is CIF without the insurance.
In CIF and CFR, when does risk transfer to the buyer?
Risk transfers at origin, the moment the goods are loaded on board the vessel — not at the destination. The seller pays freight (and, for CIF, insurance) to the destination port, but the buyer bears the transit risk the whole way.
Why does ICC recommend FCA instead of FOB for containers?
With containers the seller hands the box to the carrier at the terminal, well before it is loaded on board. Under FOB the seller still bears risk until loading, during a stage they no longer control. FCA passes risk at the terminal handover, which matches how container shipping actually works.
What does DDP mean for the seller?
DDP — Delivered Duty Paid — is the maximum obligation for the seller. The seller delivers to the named destination, cleared for import, with all duties and taxes paid. It is convenient for the buyer but can be complex for the seller, who must handle import formalities and pay duties and VAT in the buyer's country.
Which Incoterm gives the seller the least responsibility?
EXW — Ex Works — places the least obligation on the seller, who only makes the goods available at their own premises. The buyer then handles loading, export clearance, and all transport. Because the buyer must clear export in the seller's country, FCA is often a more practical minimum.
What changed between Incoterms 2010 and 2020?
The main changes were renaming DAT to DPU, upgrading CIP insurance to all-risk cover while CIF kept minimum cover, adding an on-board bill of lading option under FCA, gathering all costs into one place per rule, and allocating security obligations more clearly.
Are Incoterms law?
No. Incoterms® are standardized rules that parties choose to incorporate into a sales contract by reference. They govern delivery, cost, and risk, but they are not legislation and do not cover price, payment, title transfer, or breach — those belong in the wider contract.
Important. "Incoterms" is a registered trademark of the International Chamber of Commerce (ICC). This tool provides plain-language summaries of the Incoterms® 2020 rules for general guidance only; it is not legal advice and is not a substitute for the official ICC text or professional counsel. The allocations shown reflect typical usage — the exact split can change with the named place and contract wording. Always confirm the agreed rule and named place in your sales contract.