premium

American  

[pree-mee-uhm] / ˈpri mi əm /

noun

1. a prize, bonus, or award given as an inducement, as to purchase products, enter competitions initiated by business interests, etc.

2. a bonus, gift, or sum additional to price, wages, interest, or the like.

   Synonyms:

   reward

3. Insurance. the amount paid or to be paid by the policyholder for coverage under the contract, usually in periodic installments.

4. Economics. the excess value of one form of money over another of the same nominal value.

5. a sum above the nominal or par value of a thing.

6. the amount paid to the lender of stock by the borrower, typically a short seller.

7. the amount the buyer of a call or put option pays to the seller, quoted in dollars per share of stock.

8. a fee paid for instruction in a trade or profession.

9. a sum additional to the interest paid for the loan of money.

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adjective

1. of exceptional quality or greater value than others of its kind; superior.

   a wine made of premium grapes.

2. of higher price or cost.

3. of or relating to premiums.

   to work in premium sales.

idioms

1. at a premium,

   1. at an unusually high price.

   2. in short supply; in demand.

      Housing in that area is at a premium.

premium British  

/ ˈpriːmɪəm /

noun

1. an amount paid in addition to a standard rate, price, wage, etc; bonus

2. the amount paid or payable, usually in regular instalments, for an insurance policy

3. the amount above nominal or par value at which something sells

4. 1. an offer of something free or at a specially reduced price as an inducement to buy a commodity or service

   2. ( as modifier )

      a premium offer

5. a prize given to the winner of a competition; award

6. an amount sometimes charged for a loan of money in addition to the interest

7. great value or regard

   to put a premium on someone's services

8. a fee, now rarely required, for instruction or apprenticeship in a profession or trade

9. 1. in great demand or of high value, usually because of scarcity

   2. above par

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premium More Idioms  

1. see at a premium; put a premium on.

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Related Words

See bonus.

Other Word Forms

• nonpremium noun
• superpremium adjective

Etymology

Origin of premium

First recorded in 1595–1605, premium is from the Latin word praemium profit, reward

Example Sentences

In turn, this could result in permanently higher building insurance premiums.

From BBC

And they’ve reported strong sales to international destinations and in premium classes this year, even as domestic and main-cabin sales softened.

From The Wall Street Journal

When accidents happen, more drivers are personally paying for repairs instead of filing claims that could push up their premiums.

From MarketWatch

All of this potential M&A carries one main implication for equity investors: a host of small-cap stocks could pop, given that buyout offers come at substantial premiums to current trading prices.

From Barron's

Fast food and classic quick-service restaurants will lean into premium condiments for limited time offers, while more sauce brands will break out with small packets.

From The Wall Street Journal

Related Words

• dividend
• fee
• stock
• value