Definition - What does Indemnitee mean?
The indemnitee is the party in an indemnity contract who is to be indemnified, or protected by the other party. An indemnitee, in other words, will not incur losses from part of the indemnitor. While indemnity contracts have a single indemnitor who owes a certain protection to the other parties, multiple indemnitees may also be stipulated.
An indemnitee can either be an individual or a business entity.
Insuranceopedia explains Indemnitee
In insurance, the principle of indemnity ensures that when the insured experiences a covered loss, the insurer will restore them to the approximate financial condition they were in prior to the loss.
In an indemnity contract, the indemnitee is the party that is bound to be protected or indemnified by the indemnitor. In that sense, the indemnitee is protected from liability for damages or loss. Most insurance agreements have an indemnity clause, as do some agreements between businesses and individuals.
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