premium

1 of 2

noun

pre·​mi·​um ˈprē-mē-əm 

1

a

: a reward or recompense for a particular act

b

: a sum over and above a regular price paid chiefly as an inducement or incentive

c

: a sum in advance of or in addition to the nominal value of something

bonds callable at a premium of six percent

d

: something given free or at a reduced price with the purchase of a product or service

2

: the consideration paid for a contract of insurance

3

: a high value or a value in excess of that normally or usually expected

put a premium on accuracy

premium

2 of 2

adjective

: of exceptional quality or amount

also : higher-priced

Synonyms

Noun

• accolade
• award
• blue ribbon
• decoration
• distinction
• honor
• kudo
• plume
• prize

Adjective

• big-ticket
• costly
• dear
• expensive
• extravagant
• high
• high-end
• high-ticket
• precious
• priceless
• pricey
• pricy
• spendy [chiefly Northwest]
• ultraexpensive
• valuable

Examples of premium in a Sentence

Noun

Health insurance premiums went up again this year.

The monthly premium for your health insurance is deducted from your paycheck.

Many customers are willing to pay a premium for organic vegetables.

Adjective

lavish feasts at which premium wines flowed freely

Recent Examples on the Web

Noun

Yet, no effort to thoughtfully manage Medicaid premiums is evident, particularly at a time when Congress has its eyes set on cutting this line item nationally, disproportionately impacting New York. —Eric J. Gertler, New York Daily News, 5 Apr. 2025

Shares of premium home furnishings brands like Arhaus dipped to a near-three year low on Thursday, while Williams Sonoma Inc.’s losses were contained, hitting a five-month low. —Sofia Celeste, Footwear News, 4 Apr. 2025

Adjective

Despite their premium sound quality and fresh styling, the new Axion are the Campfire Audio’s most accessible pair of earphones yet. —Mark Sparrow, Forbes.com, 7 Apr. 2025

The ethos of the company is premium quality stories with compelling characters. —Matt Minton, Variety, 6 Apr. 2025

Word History

Etymology

Noun

Latin praemium booty, profit, reward, from prae- + emere to take, buy — more at redeem

First Known Use

Noun

1601, in the meaning defined at sense 1a

Adjective

1844, in the meaning defined above

Phrases Containing premium

• at a premium
• come at a premium
• put/place a premium on
• time is at a premium

Kids Definition

premium

1 of 2 noun

pre·​mi·​um ˈprē-mē-əm 

1

a

: a reward for an act

b

: a sum over and above a regular or stated price

c

: something given free or at a lower price with the purchase of a product or service

2

: the amount paid for a contract of insurance

3

: a high or extra value

put a premium on accuracy

premium

2 of 2 adjective

: of high quality, value, or price

Etymology

Noun

Latin praemium "booty, profit, reward," from prae- "before" + emere "to take, buy"

Legal Definition

premium

noun

pre·​mi·​um ˈprē-mē-əm 

1

: the difference between the face value or par value of a security and its market price when the latter is greater compare discount

2

: the price paid for an insurance contract equal to the cost per unit times the number of units