There are two meanings to empathy, both of which mean to "understand or share the emotions of other people." Psychic empathy means to share the emotions of other, in a non-psychological manner; which means such emotions are felt though a connection that is not the result of logic or observation.
Although, a person may relate the impression to their own experience, the actual emotion shared is not the result of personal perception.
Empathy is said to be related to telepathy and is sometimes used interchangably. The main difference, when using this word in a specific manner, is that emotions are not typically transmitted and recieved as images/sounds, but distinct primal human emotions. For example: a person in great pain may think many different things, but the feeling of pain will remain relative between empath and transmitter.
See also: clairsentience