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The Incoterms rules or International Commercial Terms are a series of pre-defined commercial terms published by the International Chamber of Commerce (ICC) that are widely used in International commercial transactions or procurement processes. A series of three-letter trade terms related to common contractual sales practices, the Incoterms rules are intended primarily to clearly communicate the tasks, costs, and risks associated with the transportation and delivery of goods.
INCOTERMS detail and clarify : mode of transport , risk , insurance, cost , transfer of money for any international goods purchased
Its comonly undesrtood by insurance companies , shipping comapnies , banks
its updated evey frew years last update is INCOTERMS2010