What is the main difference between CIF and CPT?

They split 1 cost block differently. insurance falls to the seller under CIF and the none under CPT.

Where does risk pass under CIF?

When the goods are loaded on board at origin — same as CFR.

Where does risk pass under CPT?

When the goods are handed to the first carrier — not at the destination the seller is paying to reach.

Can CIF and CPT both be used for container shipments?

CPT works for any mode of transport. CIF is written for sea and inland waterway transport only.

CIF vs CPT: who pays what

CIF is Cost, Insurance and Freight. CPT is Carriage Paid To. Incoterms 2020.

The difference that matters

Insurance:CIFSeller·CPTNeither obliged

Full cost split

Cost block	CIF	CPT
Export clearance	Seller	Seller
Carriage to port / terminal	Seller	Seller
Loading onto main carriage	Seller	Seller
Main carriage (freight)	Seller	Seller
Insurance	Seller	Neither obliged
Unloading at destination	Buyer	Buyer
Import clearance	Buyer	Buyer
Duties and import taxes	Buyer	Buyer
Risk passes	When the goods are loaded on board at origin — same as CFR.	When the goods are handed to the first carrier — not at the destination the seller is paying to reach.
Transport mode	Sea / inland waterway	Any mode

What people get wrong

CIF

The required cover is the minimum level, not all-risks. Buyers who assume they are fully covered find out at claim time.

CPT

With two carriers, risk passes at the first one. A seller shipping by truck then sea has already transferred risk at the truck.

Questions

What is the main difference between CIF and CPT?: They split 1 cost block differently. insurance falls to the seller under CIF and the none under CPT.
Where does risk pass under CIF?: When the goods are loaded on board at origin — same as CFR.
Where does risk pass under CPT?: When the goods are handed to the first carrier — not at the destination the seller is paying to reach.
Can CIF and CPT both be used for container shipments?: CPT works for any mode of transport. CIF is written for sea and inland waterway transport only.

Whichever term you agree, the paperwork has to say so

The Incoterm and named place belong on the commercial invoice, the packing list and the shipper's instructions — spelled the same way on each. ovrseas generates the set from one entry so they cannot disagree with each other.

Commercial invoice template

Compare other pairs

CFR vs CIF CFR vs CPT CIF vs CIP CIF vs DAP CIF vs DDP CIF vs DPU CIF vs EXW CIF vs FAS

Incoterms® is a registered trademark of the International Chamber of Commerce. This page is an independent summary of how costs and risk are allocated and is not affiliated with or endorsed by ICC. For contract drafting, use the official Incoterms® 2020 rules published by ICC.