What does insolvent mean? insolvent. Adjective 1. Unable to pay one’s bills as they fall due. For example, an insolvent debtor 2. Owing more than one has in assets. 3. Not sufficient to pay all the debts of the owner. For example, an insolvent estate insolvent. Noun 1. (law) ; One who is insolvent; an insolvent debtor. For example, (Can we find and add a quotation of Bouvier to this entry?)