insolvency

noun

in·​sol·​ven·​cy (ˌ)in-ˈsäl-vən(t)-sē 

-ˈsȯl-

: the fact or state of being insolvent : inability to pay debts

Synonyms of insolvency

• bankruptcy

Examples of insolvency in a Sentence

unless the economy improves, many resorts in the area face insolvency

Recent Examples on the Web

In 2021, Brown pushed through legislation that saved the pensions of millions of union workers from insolvency. — Andrea Hsu, NPR, 2 Oct. 2026

Losing state funding could potentially exacerbate the district’s financial crisis which is already at risk of pushing the 38,000-student district into insolvency. — Jennah Pendleton, Sacbee.com, 30 Sep. 2026

By doing this, lowest-income beneficiaries would receive larger benefits, poverty would be reduced, and Social Security's insolvency would be delayed, advocates said. — Medora Lee, USA Today, 9 Sep. 2026

A number of the state’s local school systems are in financial straits, with some — such as Sacramento City Unified — flirting with insolvency. — Dan Walters, Oc Register, 31 Aug. 2026

Word History

First Known Use

1660, in the meaning defined above

Rhymes for insolvency

• solvency

Kids 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.