What does the word indemnify mean in legal terms?

What does the word indemnify mean in legal terms?

To indemnify another party is to compensate that party for losses that that party has incurred or will incur as related to a specified incident.

What does providing indemnity mean?

In an indemnity agreement, one party will agree to offer financial compensation for any potential losses or damages caused by another party, and to take on legal liability for whatever damages were incurred. The most common example of indemnity in the financial sense is an insurance contract.

What does the term to indemnify means in insurance?

Indemnity
Definition: Indemnity means making compensation payments to one party by the other for the loss occurred. Description: Indemnity is based on a mutual contract between two parties (one insured and the other insurer) where one promises the other to compensate for the loss against payment of premiums.

How do you use indemnify?

Indemnify in a Sentence ?

1. Since Kurt was driving drunk, the insurance company will not indemnify him from the property damage he caused.
2. The trucking company will indemnify the victim of the car accident caused by the sleeping trucker.

Do employers indemnify employees?

Indemnification in California Under California law, employers must indemnify their employees, and defend them in court, if the lawsuit against the employee is brought for actions that occurred in the scope of the employee’s employment.

Which is an example of contract of indemnity?

To indemnify something basically means to make good a loss. In other words, it means that one party will compensate the other in case it suffers some losses. For example, A promises to deliver certain goods to B for Rs. 2,000 every month.

Are indemnity agreements legal?

Indemnification is a legal agreement by one party to hold another party blameless – not liable – for potential losses or damages. It is a mutually binding contract.

Is “indemnify” and “hold harmless” the same?

While in legal circles, there may be some debate about the exact meaning of “indemnity” vs. “hold harmless”-some experts argue that “hold harmless” protects against both liability and losses, while “indemnity” protects only against losses-practically, they are one in the same.

What does indemnify mean in a contract?

In law, to indemnify means to protect a party from suffering any losses. Indemnity is a form of compensation for losses or damages, often in relation to a legal contract. The term refers to both the pre-loss guarantee of compensation and the compensation itself.

What does it mean to hold harmless?

A hold harmless clause may be unilateral or reciprocal. With a unilateral clause, only one party to the contract agrees not to hold the other party liable for injuries or damages incurred. With a reciprocal clause, both parties to the contract agree to hold the other harmless.

What is a hold harmless agreement?

A Hold Harmless Agreement (HHA) is used to protect one party from liability from the actions of another party. It is typically used in situation where services are being provided, a party is using the property of another, or when a party is participating in an activity hosted by another.