Carriage Paid To

Definition

An Incoterm (2020) where the seller pays for carriage to the named destination, but risk transfers to the buyer when the goods are handed over to the first carrier. CPT is similar to CIP but without the seller's obligation to provide insurance. CPT is commonly used in time-critical logistics when the buyer has their own cargo insurance policy and does not need the seller to provide coverage. Under CPT, the seller arranges and pays for transport but the buyer bears the risk of loss or damage during transit.