Premium

Alternative forms

• præmium archaic

Full definition of premium

Adjective

1. Superior in quality; higher in price or value.

Noun

1. A prize or award.
2. Something offered at a reduced price as an inducement to buy something else.
3. A bonus paid in addition to normal payments.
4. The amount to be paid for an insurance policy.
5. An unusually high value.
6. (finance) The amount by which a security's value exceeds its face value.

Usage notes

Premia is much less common than premiums, accounting for less than 1% of total usage in US (COCA) and 4% in UK (BNC).

Antonyms

• (finance) discount

Derived terms