Which incoterm places maximum responsibility on the seller for shipping costs and risks?

The Incoterm that places maximum responsibility on the seller for shipping costs and risks is CIF, which stands for Cost, Insurance, and Freight. Under this term, the seller is obligated to cover not only the shipping costs but also to provide insurance for the goods while in transit to the destination port. This means that the seller bears the responsibility for any risk associated with the transportation of the goods until they reach the specified port of destination.

CIF requires the seller to handle various logistics, including loading the goods onto the shipping vessel, paying for freight and insurance coverage, and ensuring that the goods arrive safely at the destination. This places a significant level of responsibility on the seller compared to other Incoterms, which may allocate some risk and costs to the buyer or involve less commitment from the seller.

In contrast, the other options present less responsibility for the seller. EXW places minimum obligation on the seller, requiring them only to make the goods available at their premises. FOB means that the risk and cost transfer once the goods are loaded onto the vessel, putting more responsibility on the buyer after that point. DYT is not a recognized Incoterm, which would make it irrelevant in this context. Thus, CIF's structure distinctly emphasizes the seller's comprehensive