to compensate
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to compensate for
To provide someone with compensation for damage, loss, or disadvantage they have suffered, usually in the form of money.
Die Fluggesellschaft musste die Passagiere für die massive Verspätung entschädigen.
The airline had to compensate the passengers for the massive delay.
to compensate oneself for
To reward oneself or make up for an effort, hardship, or disappointment one has experienced.
Nach der anstrengenden Prüfungswoche habe ich mich mit einem Wellness-Wochenende für den Stress entschädigt.
After the exhausting week of exams, I compensated myself for the stress with a wellness weekend.
The verb is derived from the noun 'der Schaden' (damage). The prefix 'ent-' here means 'to take away' or 'to remove'. So 'entschädigen' (to compensate) literally means to 'take away' someone's damage by creating compensation.
Die Versicherung wird den Schaden am Auto vollständig entschädigen.
The insurance company will fully compensate the damage to the car.
The prefix 'ent-' is inseparable. It remains firmly attached to the verb stem in all conjugated forms and sentence types.
Er entschädigte seine Nachbarn für den Lärm.
He compensated his neighbors for the noise.
The structure is fixed: you compensate someone (accusative) FOR something (accusative). The preposition 'für' (for) introduces the reason for the compensation.
Das Unternehmen entschädigte die Kunden für die fehlerhafte Ware.
The company compensated the customers for the faulty goods.
The reflexive form 'sich entschädigen' (to compensate oneself) means that you reward yourself for an effort or a sacrifice. The reflexive pronoun is in the accusative.
Nach der harten Arbeit entschädigte sie sich mit einem guten Essen.
After the hard work, she compensated herself with a good meal.
to replace / reimburse
Both words can refer to a financial payment following damage or loss. Ersetzen places more emphasis on the specific value that is returned or made up for. Entschädigen presents the payment as compensation for the harm suffered.
Die Versicherung entschädigt Anna für den Verlust ihres gestohlenen Fahrrads.
The insurance company is compensating Anna for the loss of her stolen bicycle.
Die Versicherung ersetzt Anna den Wert ihres gestohlenen Fahrrads.
The insurance company is reimbursing Anna for the value of her stolen bicycle.
