If you describe a style, colour, or effect as understated, you mean that it is not obvious. I have always liked understated clothes -- simple shapes which take a lot of hard work to get right. his typically understated humour. = subtle. an understated style is one that is attractive because it is simple and does not have too many decorations = subtle
If you understate something, you describe it in a way that suggests that it is less important or serious than it really is. The government chooses deliberately to understate the increase in prices overstate, exaggerate. to describe something in a way that makes it seem less important or serious than it really is overstate