indemnity

American  

[in-dem-ni-tee] / ɪnˈdɛm nɪ ti /

noun

indemnities plural

1. protection or security against damage or loss.

2. compensation for damage or loss sustained.

3. something paid by way of such compensation.

4. protection, as by insurance, from liabilities or penalties incurred by one's actions.

5. legal exemption from penalties attaching to unconstitutional or illegal actions, granted to public officers and other persons.

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indemnity British  

/ ɪnˈdɛmnɪtɪ /

noun

1. compensation for loss or damage; reimbursement

2. protection or insurance against future loss or damage

3. legal exemption from penalties or liabilities incurred through one's acts or defaults

4. (in Canada) the salary paid to a member of Parliament or of a legislature

5. an act of Parliament granting exemption to public officers from technical penalties that they may have been compelled to incur

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Usage

What does indemnity mean? Indemnity is protection or security against damage or loss, or compensation for damages or money spent. Insurance coverage provides indemnity to a person (or organization) by insuring them for certain potential situations, such as damages to their property from natural disasters or accidents. Indemnity is commonly used in legal contracts to secure protection against being sued or being held responsible for an accident. It’s often seen in the phrase indemnity clause. The verb form of indemnity is indemnify, which means to provide such protection or security, typically in the form of insurance. Outside the context of insurance, indemnity is sometimes used in a metaphorical way to mean protection, as in Your wealth does not provide indemnity from disease. Example: The whole purpose of car insurance is so that you have indemnity in case you get into an accident—buying insurance after an accident happens won’t cover you.

Other Word Forms

• anti-indemnity
  adjective
• preindemnity
  noun

Etymology

Origin of indemnity

First recorded in 1425–75; late Middle English indem(p)nite, from Middle French indemnité, from Latin indemnitāt-, stem of indemnitās “security from financial loss”; see origin at in- ³, damn, -i-, -ty ²

Explanation

Indemnity is protection against loss or harm — it is most often used in insurance. If you suffer an injury or there's damage to your house, an indemnity makes up for the loss — if it's part of your insurance. An indemnity may also keep something or someone from being held responsible for harm. Protection indemnity is mainly offered for unlikely events. If you regularly crash hot-air balloons, you won’t get indemnity for the next one you rent. In fact, the balloon rental company will probably demand their own indemnity in case you crash again.

Example Sentences

Offerings known as indemnity plans might pay only a set amount toward a medical service, leaving you on the hook for the rest of the cost.

From The Wall Street Journal • Apr. 18, 2026

The added coverage External link includes new protection specifically related to wartime conditions in the form of war hull risk insurance, protection and indemnity, and cargo insurance.

From Barron's • Apr. 3, 2026

For Medicare Advantage customers, the extra insurance needed is coverage for hospital indemnity or specific major illnesses like cancer, so people don’t face high copays if they get sick.

From MarketWatch • Oct. 15, 2025

They argue CalGEM’s determination means CRC must obtain, at most, a $30-million indemnity bond — an agreement in which a financial backer assumes responsibility for plugging the wells if CRC files for bankruptcy.

From Los Angeles Times • Aug. 22, 2024

It was the first payment on a forty-thousand-dollar policy that in the event of death by accidental means, paid double indemnity.

From "In Cold Blood" by Truman Capote

Related Words

• compensation
• repayment
• restitution