A manager claims that because contractors signed indemnification language, "incidents cannot happen on our sites anymore." What misconception should be corrected?
Select an answer to reveal the explanation.
Short Explanation
Indemnity talks about who pays after a mess — it doesn't put a magic force field over the site. Bad things can still happen; the clause just argues about the bill.
Full Explanation
Indemnification is a contractual allocation of financial responsibility for defined losses. It does not prevent incidents, substitute for operational controls, or equal avoidance of the activity. Managers should treat indemnity as transfer of money consequences, while reduction and prevention remain necessary to limit harm.