Premium
Etymology
From Latin "praemium" (reward, prize, profit), from prae "before" + emere "to buy or take" — literally something taken in advance. In insurance it is the sum paid up front to secure protection; in phrases like “at a premium” it keeps the older sense of an added value or scarcity charge.
noun · /PREE-mee-um/
The regular payment you make to keep an insurance policy active, or an extra amount paid above a standard price.
What it names
The recurring cost of being insured — the money that buys coverage whether or not you ever file a claim.
Example
Choosing a higher deductible lowered her monthly premium by nearly a third.
Related idea
Weigh it against the deductible: a lower premium usually means a higher deductible, trading smaller regular payments for a bigger bill when you actually make a claim.
adjective · /PREE-mee-um/
Of superior quality or value; commanding a higher price.
What it names
the top grade of something
Example
They pay for the premium version; skilled labor is at a premium.
Related idea
The ‘extra amount’ sense turned into a mark of quality — and ‘at a premium’ means scarce and prized.