Meaning of “letter of indemnity” in the English Dictionary

"letter of indemnity" in Business English

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letter of indemnitynoun [ C ]

uk us plural letters of indemnity

LAW, INSURANCE a legal document in which a person or company promises to pay for any loss that happens as a result of them doing a particular task. Letters of indemnity are often used when transporting goods by ship:

The letter of indemnity protects the shipping company against any claims that may arise from the issue of a clean Bill of Lading.

STOCK MARKET a formal letter to ask for new share certificates (= documents) to replace the original certificates that you have lost:

Where a certificate is lost, stolen or missing, completion of a letter of indemnity is required.

(Definition of “letter of indemnity” from the Cambridge Business English Dictionary © Cambridge University Press)