Editing Incoterms (section)

==Incoterms 2020==
[[File:Incoterms map.png|thumb|right|350px|National Incoterms chambers]]
''Incoterms 2020'' is the ninth set of international contract terms published by the [[International Chamber of Commerce]], with the first set having been published in 1936. ''Incoterms 2020'' defines 11 rules, the same number as defined by ''Incoterms 2010''.<ref>{{cite web| url = http://store.iccwbo.org/incoterms-2010| title = Incoterms® 2010| publisher = ICC| access-date = 14 March 2014| archive-date = 13 March 2014| archive-url = https://web.archive.org/web/20140313125313/http://store.iccwbo.org/incoterms-2010| url-status = dead}}</ref> One rule of the 2010 version ("Delivered at Terminal"; DAT)<ref>{{cite web | url = https://iccwbo.org/publication/incoterms-rules-2020/ | title = From the introduction of Incoterms 2020 | date = 26 August 2019 | publisher = ICC}}</ref> was removed, and is replaced by a new rule ("Delivered at Place Unloaded"; DPU) in the 2020 rules.

The [[insurance]] to be provided under terms CIF and CIP has also changed, increasing from Institute Cargo Clauses(C) to Institute Cargo Clauses(A). Under the CIF Incoterms rule, which is reserved for use in maritime trade and is often used in commodity trading, the Institute Cargo Clauses (C) remains the default level of coverage, giving parties the option to agree to a higher level of insurance cover. Taking into account feedback from global users, the CIP Incoterms rule now requires a higher level of cover, compliant with the Institute Cargo Clauses (A) or similar clauses.<ref>Incoterms Explained, [https://www.incotermsexplained.com/freight-insurance/ Freight Insurance], accessed 27 May 2020</ref>

In prior versions, the rules were divided into four categories, but the 11 pre-defined terms of ''Incoterms 2020'' are subdivided into two categories ''based only on method of delivery''. The larger group of seven rules may be used regardless of the method of transport, with the smaller group of four being applicable only to sales that solely involve transportation by water where the condition of the goods can be verified at the point of loading on board ship. They are therefore not to be used for containerized freight, other combined transport methods, or for transport by road, air or rail.

Incoterms 2020 also formally defines delivery. Previously, the term had been defined informally but it is now defined as the point in the transaction where "the risk of loss or damage [to the goods] passes from the seller to the buyer".<ref>Incoterms® 2020 English Edition</ref>