Big I Alliance

Agents in the surety bond sector must understand not only the intricacies of the product but also the broader market conditions at play. Here are three tips.

While the global surety market is expected to continue to grow through 2032, it has yet to see changes driven by funding allocation for government contracts or by tariffs. 

Demand for surety bonds remains strong thanks to federal government legislation funding construction and other growth areas such as fraud mitigation.

The soft market for bonds has been underpinned by sufficient reinsurer capacity and new surety company entrants into the market. However, there are some indications that the market is hardening.

“Long-lifecycle customer relationships are how agencies can drive profit,” says independent agent Ross E. Johnson. “Those are built on strong service relationships from knowledgeable people for long periods of time.”