indemnity

Meaning

Noun

• Security from damage, loss, or penalty.
• An obligation or duty upon an individual to incur the losses of another.
• Repayment; compensation for loss or injury.
• The right of an injured party to shift the loss onto the party responsible for the loss.
• A principle of insurance which provides that when a loss occurs, the insured should be restored to the approximate financial condition occupied before the loss occurred, no better, no worse.

Origin

• From late Middle English indempnite, from Middle French indemnité, from Late Latin indemnitas ("security from damage"), from Latin indemnis ("undamaged"), from in- + damnum.