what is indemnity?

Answer 1

Indemnity is a legal exemption from the penalties or liabilities incurred by any course of action. For example, after wars, the losers have sometimes been required to pay indemnities. An insurance payout is often called an indemnity, or it can be insurance to avoid paying expenses in case of a lawsuit.

In pre-biblical times,most societies allowed for non-equal indemnity; a person who was only injured was often allowed to kill the person responsible in revenge. This was true of many near-eastern and middle-eastern societies. In some cultures, the standard has been like-for-like recompense, as in "an eye for an eye".An innovation occurred with the development of the Hebrew Bible ("Old Testament"), which put limits on indemnities; in the Biblical view, a maximum limit was applied with the phrase "an eye for an eye, a tooth for a tooth." In later centuries this was anachronistically read by non-Jews as a promotion of equal physical indemnity, while many Jews and Bible scholars hold that in its original context its function was to limit such actions.

Indemnification is a promise, usually as a contract provision, protecting one party from financial loss. This is sometimes stated as a requirement that one party "hold harmless" the other. Indemnification is a type of insurance, which protects one party at the expense of the other. Indemnification can either by direct payment or reimbursement for the loss. Indemnification clauses cannot usually be enforced for intentional tortious conduct of the protected party.

Corporate officers, board members and public officials often require an indemnity clause in their contracts before they perform any work.

In addition, indemnification provisions are common in intellectual property licenses in which the licensor does not want to be liable for misdeeds of the licensee. A typical license would protect the licensor against product liability and patent infringement.

Comment: "hold harmless" does not imply indemnification. The first says I won't make a claim against you; the second says I will pay off claims against you and/or your costs, etc.

Answer 2

Indemnity is a legal exemption from the penalties or liabilities incurred by any course of action. For example, after wars, the losers have sometimes been required to pay indemnities. An insurance payout is often called an indemnity, or it can be insurance to avoid paying expenses in case of a lawsuit.

In pre-biblical times,most societies allowed for non-equal indemnity; a person who was only injured was often allowed to kill the person responsible in revenge. This was true of many near-eastern and middle-eastern societies. In some cultures, the standard has been like-for-like recompense, as in "an eye for an eye".An innovation occurred with the development of the Hebrew Bible ("Old Testament"), which put limits on indemnities; in the Biblical view, a maximum limit was applied with the phrase "an eye for an eye, a tooth for a tooth." In later centuries this was anachronistically read by non-Jews as a promotion of equal physical indemnity, while many Jews and Bible scholars hold that in its original context its function was to limit such actions.

Indemnification is a promise, usually as a contract provision, protecting one party from financial loss. This is sometimes stated as a requirement that one party "hold harmless" the other. Indemnification is a type of insurance, which protects one party at the expense of the other. Indemnification can either by direct payment or reimbursement for the loss. Indemnification clauses cannot usually be enforced for intentional tortious conduct of the protected party.

Corporate officers, board members and public officials often require an indemnity clause in their contracts before they perform any work.

In addition, indemnification provisions are common in intellectual property licenses in which the licensor does not want to be liable for misdeeds of the licensee. A typical license would protect the licensor against product liability and patent infringement.

For more information about Indemnity, please visit website:

http://en.wikipedia.org/wiki/Indemnity

Answer 3

I work for a TPA that handles “mini-Med” or indemnity policies.
If you have one of these types of indemnity policies then the way they work is either:
1)you must pay out of pocket and submit your receipts/claims for reimbursement
2)there is no co-pay or deductible, you have 100% coverage up to a per visit, daily, or annual maximum. Any amount over the covered benefit is insured responsibility.
ex. You have a plan which covers $80 per Dr. visit, regardless of speciality, and your physician bills $110. If no networks associated with the plan (or you have gone to an OON provider) you would owe $30, the difference between covered amount and billed amount)
3)Much like a major-med policy, there is a deductible and/or co-pay that must be met before services will be covered, but there may be daily or annual limits/maximums for some types of services.

Most major Insurance companies now have a “Mini-Med” product out on the market as a lower cost alternative for companies that cannot afford to offer benefits, or for companies to extend benefits to hourly and/or part time employees.

Answer 4

If you are talking about Indemnity health insurance, It's a type of insurance that pays the same percentage (after the deductible is satisfied) no matter what type of doctor you visit. There is no in or out of network and no copays. These type policies deal with participating and non-participating. The payment from the insurance company is still the same, however, if you visit a participating doctor.; he can only bill you for your part (20%). If you visit a non-participating doctor he can bill you for whatever the insurance company doesn't pay.

Answer 5

reimburse. With a policy that's an indemnity policy, you pay out first, then the insurance company reimburses you up to the policy limits, terms & conditions.

The alternative is a "pay on behalf of" basis, and it's a better way to go if you have a choice.

Answer 6

Basically, indemnity is the same as compensation. In the insurance world, when you have an accident, the insurance company would "indemnify" or compensate you for your losses. In other words, they would pay you for your damages.

Answer 7

this is one of the basic principles of insurance........... in insurance it is called principle of indemnity........ which means that in the event of a loss the company will indemnify the person coverd but this cover will not be more than the extent of loss to that person.............. speaking in other terms insurance can never be used as a tool to make profit............. for example if you car suffers an accident and you happen to break its windshield the insurance company will pay you the only the amount of the loss you have suffered and not more than that........... hope i have answered it properly

Answer 8

http://en.wikipedia.org/wiki/Indemnity

Answer 9

it is one of the pricipal of insurance..say that person has to be bring in the state which he/she was previously enjoying before loss..in anycase not to get benifited the insured...usually found in general insurance

Answer 10

1 a : security against hurt, loss, or damage b : exemption from incurred penalties or liabilities