Quick Definition

Indemnity is a comprehensive form of protection that compensates an insured party for certain losses or damages specified in an insurance policy.

Examples

• 1A health insurance plan that covers the cost of all necessary medical treatments after an accident.
• 2A professional indemnity insurance that protects a consultant from claims made by clients for professional mistakes or negligence.
• 3A car insurance policy that covers the cost of repairs to a vehicle after an accident, regardless of who is at fault.

Tags