Premium

ˈpriːmiəm

nounmedium📊CommonGeneral
2 meanings1 idiom/phrase3 questions

Definitions

2 meanings
1

The amount paid regularly for an insurance policy or a membership, or the amount above the usual price of something.

ˈpriːmiəm

nounneutralmedium
General

A sum paid for an insurance policy or other benefit.

The car insurance premium increased this year.

💡 Simply: Imagine you have a special membership to the best video game club. You pay a certain amount of money every month, which is the premium! It's like paying extra for something special or better.

👶 For kids: Money you pay to get something special like a toy or a special service.

More Examples

2

The company offers a premium service that includes extra benefits.

3

We paid a premium for the beachfront property.

How It's Used

Finance

"The insurance premium is due next month."

General

"Customers who buy in bulk can get a premium."

2

Denoting or relating to a product or service of high quality or value, a product of superior quality.

ˈpriːmiəm

adjectivepositivemedium
General

Of superior quality or higher value.

They offer a premium line of clothing made from fine materials.

💡 Simply: Have you ever seen a really fancy toy? One that feels better and is made with nicer materials? That toy is a 'premium' toy! It's the best of the best!

👶 For kids: It's like the best of the best, like the most special thing.

More Examples

2

The hotel provides premium accommodations for its guests.

3

This is a premium coffee, carefully sourced and roasted.

How It's Used

Marketing

"The product is a premium brand."

Business

"Customers are willing to pay a premium price for quality."

Tip:Think of a 'premium' car – it's luxurious and high-quality.

Idioms & expressions

at a premium

In high demand and therefore expensive.

"During the holiday season, flights are always at a premium."

From Latin *praemium* 'reward, prize,' originally 'something taken beforehand,' from *prae* 'before' + *emere* 'to take, buy'.

The word 'premium' has been used since the 16th century, initially referring to a reward or prize.

Memory tip

Think of the 'premium' you pay for a special service; it's the price.

Word Origin

LanguageLatin
Original meaning

"reward, prize, something taken beforehand"

premium pricepremium qualitypay a premiumpremium productpremium service

Common misspellings

premeiumpremiumepreimum

Usage

40%Spoken
60%Written