contract of indemnity

This policy is a contract of indemnity between you, our policyholder and us, General Accident.

The Policy is based on a Contract of Indemnity and reinstatement is not provided other than for explosion cover.

For example, under a contract of indemnity insurance, the insurer agrees to indemnify the victim for harm not caused by the insurer, but by other parties.

However, an insurance contract is a contract of indemnity, and to allow a party to receive insurance proceeds and claim against third parties would mean that they might recover more than their total loss.

Often it will be worded so as to constitute a contract of indemnity under which the dealer must make good any loss suffered by the finance company in the event of the customer defaulting on his payments or terminating his agreement.