Premium is defined as a reward, or the amount of money that a person pays for insurance.(noun)
The definition of premium is something or someone of greater or superior quality.(adjective)
An example of premium used as an adjective is the phrase premium gasoline which means a gasoline with a higher octane rating.
See premium in Webster's New World College Dictionary
noun pl. premiums
Origin: L praemium, reward, recompense < prae-, before + emere, to take: see pre- & redeem
See premium in American Heritage Dictionary 4
Origin: Latin praemium, inducement, reward
Origin: : prae-, pre-
Origin: + emere, to take, buy; see em- in Indo-European roots.
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