insolvency
noun
in·sol·ven·cy
(ˌ)in-ˈsäl-vən(t)-sē 
-ˈsȯl-
: 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
Attorneys argued that Bisch rescued the nonprofit from the brink of insolvency during his four years as executive director and set it on its path to success.
—
Darrell Smith, Sacbee.com, 26 Nov. 2025
Higher benefits also strain the Social Security trust fund, which could face insolvency within a decade if long-term reforms are not enacted.
—Aliss Higham, MSNBC Newsweek, 25 Nov. 2025
McLaren, meanwhile, has gone from facing insolvency five years ago to making a profit of $61 million last year, with more to come, thanks to a new sponsorship deal with Mastercard that will reportedly bring in around $100 million a year.
—Diane Brady, Fortune, 24 Nov. 2025
As the number of policyholders on the FAIR Plan nearly doubled over the past two years to more than 640,000, plan officials had warned that a surge in claims triggered by a catastrophic wildfire could propel the program toward insolvency, risking coverage for those in fire-prone parts of the state.
—Ethan Varian, Mercury News, 13 Nov. 2025
See All Example Sentences for insolvency
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Darrell Smith, Sacbee.com, 26 Nov. 2025
Higher benefits also strain the Social Security trust fund, which could face insolvency within a decade if long-term reforms are not enacted.
—Aliss Higham, MSNBC Newsweek, 25 Nov. 2025
McLaren, meanwhile, has gone from facing insolvency five years ago to making a profit of $61 million last year, with more to come, thanks to a new sponsorship deal with Mastercard that will reportedly bring in around $100 million a year.
—Diane Brady, Fortune, 24 Nov. 2025
As the number of policyholders on the FAIR Plan nearly doubled over the past two years to more than 640,000, plan officials had warned that a surge in claims triggered by a catastrophic wildfire could propel the program toward insolvency, risking coverage for those in fire-prone parts of the state.
—Ethan Varian, Mercury News, 13 Nov. 2025
See All Example Sentences for insolvency
Cite this Entry
“Insolvency.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/insolvency. Accessed 9 Dec. 2025.
Copy CitationKids Definition
insolvency
noun
in·sol·ven·cy
(ˈ)in-ˈsäl-vən-sē
plural insolvencies
: the quality or state of being insolvent
Legal Definition
insolvency
noun
in·sol·ven·cy
in-ˈsäl-vən-sē
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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