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The Collaborative International Dictionary of English v.0.48 (gcide)

Premium \Pre"mi*um\, n.; pl. {Premiums}. [L. praemium,
originally, what one has got before or better than others;
prae before emere to take, buy. See {Redeem}.]
1. A reward or recompense; a prize to be won by being before
another, or others, in a competition; reward or prize to
be adjudged; a bounty; as, a premium for good behavior or
scholarship, for discoveries, etc.
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To think it not the necessity, but the premium and
privilege of life, to eat and sleep without any
regard to glory. --Burke.
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The law that obliges parishes to support the poor
offers a premium for the encouragement of idleness.
--Franklin.
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2. Something offered or given for the loan of money; bonus;
-- sometimes synonymous with interest, but generally
signifying a sum in addition to the capital.
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People were tempted to lend, by great premiums and
large interest. --Swift.
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3. A sum of money paid to underwriters for insurance, or for
undertaking to indemnify for losses of any kind.
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4. A sum in advance of, or in addition to, the nominal or par
value of anything; as, gold was at a premium; he sold his
stock at a premium.
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