The surety market was valued at US$ 20.26 billion in 2024 and is projected to reach US$ 31.85 billion by 2031; it is expected to register a CAGR of 6.6% during 2025-2031. Growing digitalization and increasing focus on sustainable development are likely to remain a key surety market trend.
The surety market is growing at a rapid pace due to the growing number of construction activities and digital transformation in bonding processes. The market is expanding steadily, driven by the availability of customized bonds and growing adoption surety for managing financial risks. Moreover, the growing use of advanced technologies and increased focus on environmental, social, and governance (ESG) factors are providing lucrative opportunities for market growth.
Surety is financial guarantees or bonds, a pledge to be liable for another's debt, default, or failure. It is a three-party agreement in which one party (the surety) guarantees the performance or obligations of another (the principal) to a third party (the obligee). A surety functions as an assurance that a person or organization will accept responsibility for meeting financial commitments if the debtor defaults and is unable to pay. The party that guarantees the debt is known as the surety or guarantor. Sureties can be obtained by issuing surety bonds, which are legal contracts that require one party to pay if the other fails to live up to the arrangement. These bonds are highly used by the construction, real estate, finance, and transportation industries to safeguard the oblige against the principal's noncompliance.
Digital transformation has become one of the noticeable drivers in recent years. The digital revolution of bonding operations is replacing the traditional paper-based system, which supports users in reducing the additional operational costs are driving the market. Traditional paper-based systems are being replaced by digital platforms that simplify bond applications, approvals, and issuances. Middle-market construction companies can consider using these digital solutions to decrease paperwork, increase efficiency, and shorten bond application processing times.
Technology will become increasingly crucial in the surety industry. Surety organizations are heavily investing in advanced technologies such as artificial intelligence, blockchain, and big data analytics to streamline and improve their operations. For instance, blockchain is used to streamline surety bond issuance and claims processing, while big data analytics can help uncover possible hazards and fraud. Thus, significant benefits offered by advanced technologies are creating lucrative opportunities in the market during the forecast period.
Key segments that contributed to the derivation of the surety market analysis are bond type.
The geographic scope of the surety market report is mainly divided into five regions: North America, Asia Pacific, Europe, Middle East & Africa, and South America/South & Central America.
In terms of revenue, North America accounted for the largest surety market share, due to the growing industrialization and increasing number of small businesses in the US and Canada. These countries have a strong economy and favorable support from the government in promoting and establishing start-ups is boosting the market. Surety bonds are highly adopted by small businesses to obtain contracts to assure their customer that the particular work will be performed and completed on time. Surety bonds, issued by surety businesses, are required for a variety of governmental and commercial transactions. The growing number of small enterprises in the North American construction industry, together with the presence of a significant number of surety market participants in the US and Canada, is predicted to drive the surety market.
The regional trends and factors influencing the Surety Market throughout the forecast period have been thoroughly explained by the analysts at Insight Partners. This section also discusses Surety Market segments and geography across North America, Europe, Asia Pacific, Middle East and Africa, and South and Central America.
| Report Attribute | Details |
|---|---|
| Market size in 2024 | US$ 20.26 Billion |
| Market Size by 2031 | US$ 31.85 Billion |
| Global CAGR (2025-2031) | 6.6% |
| Historical Data | 2021-2023 |
| Forecast period | 2025-2031 |
| Segments Covered |
By Bond Type
|
| Regions and Countries Covered | North America
|
| Market leaders and key company profiles |
The Surety Market market is growing rapidly, driven by increasing end-user demand due to factors such as evolving consumer preferences, technological advancements, and greater awareness of the product's benefits. As demand rises, businesses are expanding their offerings, innovating to meet consumer needs, and capitalizing on emerging trends, which further fuels market growth.
Market players density refers to the distribution of firms or companies operating within a particular market or industry. It indicates how many competitors (market players) are present in a given market space relative to its size or total market value.
Major Companies operating in the Surety Market are:
Disclaimer: The companies listed above are not ranked in any particular order.
The surety market is evaluated by gathering qualitative and quantitative data post primary and secondary research, which includes important corporate publications, association data, and databases. The following is a list of developments in the market for telecom billing and revenue management and strategies:
The “Surety Market Size and Forecast (2023–2031)” report provides a detailed analysis of the market covering below areas:
The List of Companies - Surety Market
The North America held the largest market share in 2024, followed by Europe and APAC.
The global surety market is expected to reach US$ 31.85 billion in the year 2031.
The key players, holding majority shares, in global surety market includes Liberty Mutual Insurance Company; The Travelers Indemnity Company; CNA FINANCIAL CORPORATION; CHUBB LIMITED; and The Hartford.
Rise in digitalization, automation, and other technological advancements is the future trends of the global surety market.
The global surety market was valued at US$ 20.26 billion in 2024 and is expected to grow at a CAGR of 6.6% during 2025–2031.
Increase in adoption of public-private partnerships for infrastructure development, need for restoration of aging infrastructure, and proliferation of insurance industry are the driving factors impacting the global surety market.