The benefit for sellers and buyers to use Incoterms:
Incoterms reduce confusion over interpretations of shipping terms, by outlining exactly who is obligated to take control of and/or insure goods at a particular point in the shipping process.
Incoterms regulate:
The distribution of documents.
The conditions for delivering goods.
The cost of transporting goods.
The responsibility of risk in shpping the goods.
Incoterms do not cover:
The conditions of the sale.
The condition of the goods.
The warranty of the goods.
The payment or nonpayment of the goods.
Intangible products such as computer software.
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