An example of indemnity is when a contractor agrees to reimburse a client for any losses or damages that the client incurs due to the contractor's negligence or mistake. For example, if a contractor damages a client's property while working, the contractor may agree to indemnify the client by paying for repairs. Another easy example of indemnity is when a company agrees to repay a customer for any charges or fees incurred due to the company's mistake. For example, suppose a customer is charged a late fee on their credit card due to a processing error by the company. In that case, the company may agree to indemnify the customer by reimbursing them for the late fee.