Word
insolvent
Phoneticsin·sol·vent, stress on the second syllable
US/ˌɪnˈsɑɫvənt/
UK/ɪnsˈɒlvənt/
Definition
adj. unable to pay your debts because you do not have enough money. This is a legal word used when a person or company cannot meet their financial obligations.
adj. incapable of paying debts as they fall due. Often used in legal contexts to describe the state of a person or entity that has exhausted its assets and cannot meet its liabilities.
Examples
“The company became insolvent after the market crashed.”
“The court declared the firm insolvent and appointed a liquidator to manage the sale of its remaining assets.”
“While a person may be bankrupt if they cannot pay their debts, a corporation is typically declared insolvent when its liabilities exceed its assets, triggering a formal liquidation process.”
Examples
simple
“The company became insolvent after the market crashed.”
contextual
“The court declared the firm insolvent and appointed a liquidator to manage the sale of its remaining assets.”
complex
“While a person may be bankrupt if they cannot pay their debts, a corporation is typically declared insolvent when its liabilities exceed its assets, triggering a formal liquidation process.”
Real-World Examples
“Research by the watchdog found 94% of clubs are loss-making, and more than 60% of EFL and National League clubs are technically insolvent.” “It then passed by marriage through the Nicholson family and when Humphrey Nicholson died insolvent at Lancaster Castle it was sold to the governor.” Etymology
From in- + solvent.
Etymology adapted from Wiktionary, available under CC BY-SA 4.0.
Word family
NOUN
ADJECTIVE
Related words
Domain
- Exam level
- CambridgeCambridgeCambridge English QualificationsThe exam suite from Cambridge University Press & Assessment, from A1 Movers up to C2 Proficiency. The benchmark names double as CEFR labels.C1 AdvancedIELTSIELTSInternational English Language Testing SystemThe 0–9 band test co-owned by the British Council, IDP, and Cambridge. Used for university entry, work, and migration.7.0–8.0TOEFL iBTTOEFL iBTTest of English as a Foreign Language, Internet-Based TestETS's academic English test, the standard route for US university admissions. Scored 0–120, with a 1–6 scale since 2026.1–6 scale: 5.0–5.595–113TOEICTOEICTest of English for International CommunicationETS's workplace English test, big in Japan and Korea. Listening & Reading scores 10–990 and tops out at C1.945–990
- Frequency
- Occasional
- Level
- C1 · Advanced
- Updated
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