insolvency

noun

in·​sol·​ven·​cy (ˌ)in-ˈsäl-vən(t)-sē How to pronounce insolvency (audio)
-ˈsȯl-
Synonyms of insolvencynext
: the fact or state of being insolvent : inability to pay debts

Examples of insolvency in a Sentence

unless the economy improves, many resorts in the area face insolvency
Recent Examples on the Web
Examples are automatically compiled from online sources to show current usage. Read More Opinions expressed in the examples do not represent those of Merriam-Webster or its editors. Send us feedback.
The Social Security trust fund will run dry in 2032, unless Congress combines the program's old-age and disability funds, in which case insolvency would arrive in 2034, the report found. Max Zahn, ABC News, 2 July 2026 The foreclosure itself also triggered a default under the park lease’s insolvency section. Jennifer Van Grove, San Diego Union-Tribune, 1 July 2026 If the forecast is wrong, owners are left with underperforming assets, overcapacity and sometimes insolvency. Robert C. Wolcott, Forbes.com, 30 June 2026 With the insolvency cliff just six years away, senators elected in this year’s midterm races will likely cast votes on a solution. Jason Ma, Fortune, 28 June 2026 See All Example Sentences for insolvency

Word History

First Known Use

1660, in the meaning defined above

Time Traveler
The first known use of insolvency was in 1660

Browse Nearby Words

Cite this Entry

“Insolvency.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/insolvency. Accessed 6 Jul. 2026.

Kids Definition

insolvency

noun
in·​sol·​ven·​cy (ˈ)in-ˈsäl-vən-sē How to pronounce insolvency (audio)
plural insolvencies
: the quality or state of being insolvent

Legal Definition

insolvency

noun
in·​sol·​ven·​cy in-ˈsäl-vən-sē How to pronounce insolvency (audio)
plural insolvencies
1
: the fact or state of being insolvent compare bankruptcy
2
: insufficiency (as of an estate) to discharge all enforceable debts

Note: Insolvency matters are covered under the Bankruptcy Code.

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