For example, A promises to deliver certain goods to B for Rs. 2,000 every month. C comes in and promises to indemnify B's losses if A fails to so deliver the goods. This is how B and C will enter into contractual obligations of indemnity.
What is an example of an indemnity?
The most common example of indemnity in the financial sense is an insurance contract. For instance, in the case of home insurance, homeowners pay insurance to an insurance company in return for the homeowners being indemnified if the worst were to happen.
Which is contract of indemnity?
A contract by which one party promises to save the other from loss caused to him by the conduct of the promisor himself, or by the conduct of any other person, is called a contract of indemnity.
What are the three 3 methods of indemnity?
Contract of Group Insurance, market Insurance ɪmp; Property insurance is all contracts of Indemnity. These are indeed a contract of indemnity.