ICC Publication 723E — Incoterms 2020Rules verified 2026-06-09 — ICC 2020 editionPDF deep dive available

Pick the right Incoterms 2020 rule for your shipment

Decision tool for the 11 official ICC Incoterms 2020 rules. Tell us the mode, countries and who pays for what — get the recommended rule with risk transfer point and a 11-line cost-split.

Your shipment scenario

Seven questions. The recommendation updates as you change answers.

Based on ICC Publication 723E (Incoterms 2020). Dataset verified 2026-06-09.
Recommended Incoterm

CIP

Carriage and Insurance Paid To

Best match
Risk transfer point

When goods are handed over to the first carrier — seller pays freight AND insurance to destination, but risk transfers at origin.

Recommended use case

International shipments where the buyer wants 'all-risks' insurance baked in (default cover under CIP 2020 is ICC A — all-risks).

Pro seller

Bundles freight + insurance margin; buyer typically prefers it.

Pro buyer

Receives a cargo policy assignable to them on transit risk.

Caution: Incoterms 2020 raised the default CIP cover to ICC Clauses A (all-risks). For commodity bulk shipments seller can downgrade by agreement.
Cost responsibility split
Cost lineResponsible party
Export packingSeller
Loading at seller premisesSeller
Pre-carriage inland to export pointSeller
Export clearanceSeller
Main carriage (sea / air / truck)Seller
Cargo insuranceSeller
Unloading at destination terminalBuyer
Import clearanceBuyer
Import duties + taxesBuyer
On-carriage inland to buyerBuyer
Unloading at buyer premisesBuyer
Why this rule
  • Suitable for sea transport.
  • Seller pays main carriage — matches your scenario.
  • Export clearance handled by seller — matches.
  • Import clearance handled by buyer — matches.
  • Seller must arrange and pay marine insurance.
Runner-up

CIF

Cost, Insurance and Freight

Risk transfer point

When goods are loaded on board the vessel at the port of shipment. Seller pays freight AND insurance to destination port.

Recommended use case

Bulk maritime trade (e.g. commodities) where minimum cover insurance (ICC C) is acceptable to the buyer.

Pro seller

Captures freight + insurance margin; risk released early.

Pro buyer

Receives a marine cargo policy assignable to them on transit risk.

Caution: Default CIF cover is ICC Clauses C (minimum). For containerised or high-value cargo, prefer CIP (default ICC A — all risks).
Cost responsibility split
Cost lineResponsible party
Export packingSeller
Loading at seller premisesSeller
Pre-carriage inland to export pointSeller
Export clearanceSeller
Main carriage (sea / air / truck)Seller
Cargo insuranceSeller
Unloading at destination terminalBuyer
Import clearanceBuyer
Import duties + taxesBuyer
On-carriage inland to buyerBuyer
Unloading at buyer premisesBuyer
Why this rule
  • Suitable for sea transport.
  • Seller pays main carriage — matches your scenario.
  • Export clearance handled by seller — matches.
  • Import clearance handled by buyer — matches.
  • Seller must arrange and pay marine insurance.

Notice

This recommendation is informational only and based on the ICC Incoterms 2020 rules (Publication 723E). Incoterms is a registered trademark of the International Chamber of Commerce. Always confirm the chosen rule with your freight forwarder, customs broker and the named place or port. It is not legal or customs advice.