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Legal Definitions - indemnification
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Definition of indemnification
Definition: Indemnification is the act of compensating for any loss or damage that has been sustained. It is the compensation that is made to cover the loss or damage.
Example: If a person's car is damaged in an accident, the insurance company will provide indemnification to cover the cost of repairs. The insurance company will compensate the person for the loss or damage that has been sustained.
Explanation: The example illustrates how indemnification works in the case of a car accident. The insurance company compensates the person for the loss or damage that has been sustained. This compensation is known as indemnification.
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Simple Definition
Indemnification: When someone compensates you for something you lost or got damaged, it is called indemnification. It means that they are making up for the harm that was caused. For example, if someone accidentally breaks your phone, they might offer to pay for a new one as indemnification.
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