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
In theory, this means that even a 10% decline in the value of a bank’s assets can potentially put the firm at risk of insolvency.
—
Morgan Chittum, CNBC, 15 Mar. 2026
District officials say that meeting the union’s demands would require $35 million in program cuts for students and possible insolvency.
—Jennah Pendleton, Sacbee.com, 12 Mar. 2026
The district teeters on the edge of insolvency in the face of a mayor and his main backer, the Chicago Teachers Union, staunchly opposed to consolidating any schools even though a third of them are at less than half their student capacity.
—The Editorial Board, Chicago Tribune, 11 Mar. 2026
The Social Security and Medicare Boards of Trustees suggest legislative action could slow insolvency rather than accelerate it.
—Alexis Simmerman, Austin American Statesman, 5 Mar. 2026
See All Example Sentences for insolvency
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Morgan Chittum, CNBC, 15 Mar. 2026
District officials say that meeting the union’s demands would require $35 million in program cuts for students and possible insolvency.
—Jennah Pendleton, Sacbee.com, 12 Mar. 2026
The district teeters on the edge of insolvency in the face of a mayor and his main backer, the Chicago Teachers Union, staunchly opposed to consolidating any schools even though a third of them are at less than half their student capacity.
—The Editorial Board, Chicago Tribune, 11 Mar. 2026
The Social Security and Medicare Boards of Trustees suggest legislative action could slow insolvency rather than accelerate it.
—Alexis Simmerman, Austin American Statesman, 5 Mar. 2026
See All Example Sentences for insolvency
Cite this Entry
“Insolvency.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/insolvency. Accessed 20 Mar. 2026.
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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