Incoterms Compare (Cost, Risk, Documents)

Compare Incoterms® 2020 by cost allocation, risk transfer, and document overview.

Important assumptions

  • Incoterms® are ICC rules, and contract-specific terms prevail between parties.
  • Incoterms® do not define transfer of title or payment terms.

FOB / CIF / DDP key differences

FOB

Sea-only term. Seller bears cost until loading on board, and risk transfers at on-board loading.

CIF

Sea-only term. Seller arranges freight and insurance, but risk still transfers at origin loading.

DDP

Any mode term. Seller bears costs up to import clearance, duties, and taxes.

Comparison item FOB CIF DDP
Main carriage cost Buyer Seller Seller
Risk transfer point At loading on board (origin) At loading on board (origin) At destination, ready for unloading
Import clearance Buyer Buyer Seller
Insurance arrangement Buyer Seller (minimum cover benchmark) Contract-dependent

How to use

  1. Select transport mode and cargo type.
  2. Choose up to three Incoterms to compare (presets available).
  3. Review quick flow, cost matrix, documents, and copy text in tabs.
  4. Share by URL or print as needed.

FAQ

Which term should I choose?

Apply goal-based cards first, then verify differences in quick view and cost matrix.

Is it different between sea and air?

FAS/FOB/CFR/CIF are limited to sea and inland waterway transport. For air/multimodal, compare FCA/CPT/CIP/DAP/DPU/DDP.

Can I generate copy-ready text for partners?

Yes. Use the copy tab and switch language/format for email, clause draft, or bullet memo.

Disclaimer

  • Document requirements and operational responsibilities vary by country, commodity, regulation, and payment condition (e.g., L/C).
  • This page is general information and is not legal or tax advice.
  • Incoterms® trademarks and copyrights belong to ICC.