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Indemnity: meaning, definitions and examples

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indemnity

 

[ɪnˈdɛmnɪti ]

Definitions

Context #1 | Noun

legal protection

Indemnity is a legal protection against possible damages or losses. It is a promise made by one party to compensate another party for specific financial losses or liabilities. Indemnity agreements are commonly used in business contracts to protect against potential lawsuits or claims.

Synonyms

compensation, protection, reimbursement.

Which Synonym Should You Choose?

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Word Description / Examples
indemnity

Used mainly in legal and insurance contexts where something needs to be protected against potential future losses or damage.

  • The contract includes an indemnity clause to protect the company against lawsuits
  • The insurance policy provides indemnity for any losses due to theft
compensation

Typically used to refer to payment or benefit given to someone to offset a loss, injury, or suffering. Often used in employment and accident contexts.

  • She received compensation for her injuries from the car accident
  • The company offered him compensation for the extra hours he worked
reimbursement

Used when someone is paid back for expenses they have incurred, often in a work or travel context.

  • The company provided reimbursement for his travel expenses
  • She submitted the receipts to get reimbursement for her work-related purchases
protection

Generally used to describe measures taken to guard against harm, damage, or loss. It can be applied in various contexts, from physical security to financial safeguards.

  • They installed an alarm system for protection against burglars
  • The new laws offer better protection for consumer rights

Examples of usage

  • The insurance policy provides indemnity in case of property damage.
  • The company offered an indemnity clause in the contract to protect themselves from any legal action.
Context #2 | Noun

financial compensation

Indemnity can also refer to financial compensation given to someone as a result of a loss or injury. It is a form of reimbursement for the damages suffered. In the insurance industry, indemnity is the payment made by the insurer to the insured for covered losses.

Synonyms

compensation, reimbursement, remuneration.

Which Synonym Should You Choose?

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Word Description / Examples
indemnity

Commonly used in legal and insurance contexts to refer to a contractual agreement to compensate for any loss or damage.

  • The insurance policy includes an indemnity clause to cover any legal costs.
  • They agreed to provide indemnity against potential lawsuits.
compensation

Typically used in a general context to refer to any type of payment made to offset a loss or injury. It is often used in legal and employment scenarios.

  • She received compensation for the injuries sustained in the accident.
  • The company offers compensation for overtime work.
reimbursement

Used when referring to the act of repaying someone who has spent their own money on behalf of another individual or organization. Often used in business and travel contexts.

  • Submit your travel receipts for reimbursement.
  • He will be fully reimbursed for his medical expenses.
remuneration

Refers to the payment received for work or services provided. Often used in a professional or formal context, particularly regarding salaries and wages.

  • Her remuneration package includes a base salary and bonuses.
  • The company is reviewing its remuneration policies to attract top talent.

Examples of usage

  • The court ordered the defendant to pay indemnity to the plaintiff for the damages caused.
  • Workers are entitled to indemnity for any work-related injuries.

Interesting Facts

Etymology

  • The word comes from the Latin 'indemnitas', meaning 'freedom from loss or damage'.
  • It evolved through Middle English, where it was used to mean 'compensation for harm'.

Law

  • Indemnity is commonly used in insurance policies, where insurers promise to cover the insured's losses.
  • In legal contracts, indemnity clauses protect one party from the actions of another, helping to manage risk.

Finance

  • Businesses often include indemnity agreements to safeguard against potential lawsuits or claims.
  • Indemnity can also apply in financial contexts, ensuring parties are compensated for losses in transactions.

Historical Context

  • The concept of indemnity has been used since ancient times, particularly in trade, to maintain trust between merchants.
  • Indemnification practices became formalized in the 19th century with the growth of insurance industries.

Pop Culture

  • In movies, indemnity often features in legal dramas, where characters seek compensation for damages incurred.
  • Several popular TV shows include characters dealing with indemnity issues, showcasing real-world dilemmas.

Translations

Translations of the word "indemnity" in other languages:

🇵🇹 indenização

🇮🇳 क्षतिपूर्ति

🇩🇪 Entschädigung

🇮🇩 ganti rugi

🇺🇦 відшкодування

🇵🇱 odszkodowanie

🇯🇵 補償

🇫🇷 indemnité

🇪🇸 indemnización

🇹🇷 tazminat

🇰🇷 보상

🇸🇦 تعويض

🇨🇿 odškodnění

🇸🇰 odškodnenie

🇨🇳 赔偿

🇸🇮 odškodnina

🇮🇸 bætur

🇰🇿 өтемақы

🇬🇪 ანაზღაურება

🇦🇿 təzminat

🇲🇽 indemnización

Word Frequency Rank

Position #8,516 indicates this is an advanced-level word. While not essential for basic communication, it will enhance your ability to understand and create more nuanced content.