kompsensatsioon

Kompsensatsioon is a term used to describe the act or result of offsetting losses, costs, or damages by providing something of equivalent value. In broad use, it covers monetary payments, in-kind replacements, or non-monetary relief intended to restore a person or organization to the position they would have been in otherwise. The word derives from the Latin compensatio and is rendered in Estonian alike as kompensatsioon; spellings vary by language.

In practice, kompsensatsioon appears in several domains: civil law (damages payable to a party who suffered loss); labor and social policy (compensation for overtime, injuries); environmental and industrial policy (compensation for environmental damages or noise). It can be statutory (set by law or contract) or contractual (agreed in a settlement).

Mechanisms include direct monetary payments, replacement of goods or services, tax relief or subsidies, and non-financial support such as free access to services or restoration of property. Calculation generally depends on the value of the loss, the terms of a contract, relevant statutes, and court judgments. In some cases, compensation is designed to restore rather than punishing wrongdoing, while in others it serves as a deterrent or risk-sharing instrument.

Critiques emphasize the difficulty of accurately measuring losses, potential for moral hazard, and administrative costs. Proper design seeks proportionality, clarity of eligibility, and transparency. Related concepts include damages, indemnity, restitution, and social security provisions. The exact use and scope of kompensatsioon depend on jurisdiction, policy goals, and the specific context.