Europe Surety Market Forecast, Size, and Growth 2031

Europe Surety Market Size and Forecast (2021 - 2031), Regional Share, Trend, and Growth Opportunity Analysis Report Coverage: By Bond Type (Contract Surety Bond and Commercial Surety Bond), End Users (Individuals and Enterprises), and Country

  • Report Code : TIPRE00013323
  • Category : Technology, Media and Telecommunications
  • Status : Published
  • No. of Pages : 124
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Europe Surety Market Size (2021-2031) and Regional Overview

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The Europe surety market size is projected to reach US$ 6.53 billion by 2031 from US$ 4.13 billion in 2023. The market is expected to register a CAGR of 5.9% in 2023–2031. The rise in digitalization, automation, and other technological advancements is likely to remain among the key Europe surety market trends.

Europe Surety Market Analysis

The construction sector is one of the primary drivers of the surety market in Europe. Surety bonds are commonly required in construction contracts to ensure that projects are completed as per the specified terms and conditions. For example, a contractor bidding on a public construction project might need to obtain a bid bond to demonstrate financial capacity and assurance to the project owner. Performance bonds and payment bonds are also prevalent in construction contracts to protect project owners and subcontractors against default or non-payment.

Europe Surety Market Overview

Under the terms of a construction or engineering contract or in compliance with mandatory legal requirements, bonds and guarantees are typically needed to secure the obligations of the principal debtor (sometimes referred to as the principal) against the beneficiary. They provide assurances for fulfilling a wide range of duties, including commercial ventures, licenses, and construction or service contracts. A surety bond can be used to secure almost any kind of transaction, service, or compliance agreement. Surety companies issue bonds that guarantee the performance of a party (usually a contractor) in a contract. If a contractor is unable to fulfill their obligations, the surety company takes responsibility and financially compensates the project owner.

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Europe Surety Market: Strategic Insights

europe-surety-market
Market Size Value inUS$ 3,608.38 Million in 2019
Market Size Value byUS$ 5398.33 Million by 2027
Growth rateCAGR of 5.8% from 2020-2027
Forecast Period2020-2027
Base Year2020
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Europe Surety Market Drivers and Opportunities

Increasing Adoption of Public-Private Partnerships for Infrastructure Development to Favor Market

Public-private partnerships (PPPs) are being increasingly used in the assurance industry for infrastructure development projects. According to the European Investment Bank, in 2022, in Europe, the aggregate value of public-private partnership transactions that reached financial close totaled US$ 13,480.2 million, i.e., a 17% increase from 2021. Four public-private partnership projects, including CEGELOG Affordable Housing & Energy Efficiency in France, Community Nursing PPP in Ireland, Krakow Tramway PPP in Poland, and NeuConnect Interconnector in Germany and the Netherlands reached financial close during the year (2022), were financed by the EIB, for an aggregate lending volume of US$ 1,375.5 million. In PPPs, the public and private sectors work together, with the private sector usually handling the financing, designing, building, and operations of infrastructure projects. Surety bonds are an essential feature of PPPs, offering financial stability to government agencies and reducing risks for private sector players. This offers a substantial chance for surety firms to offer tailored solutions that address the particular requirements of PPP projects.

PPPs have grown in popularity recently as governments of various countries in Europe leverage private sector expertise and financing to address infrastructure needs. For instance, in February 2024, a high-level policy dialogue between the United Nations Development Programme (UNDP) and the European Union (EU) concluded that the partnership between the two organizations is vital to tackle the growing global challenges and scale up action to achieve a more sustainable and equitable future. Thus, the increasing adoption of public-private partnerships for infrastructure development fuels the Europe surety market growth.

Rapid Urbanization in Europe – An Opportunity in the Market

Europe has showcased tremendous advancements in urbanization owing to rapid population growth in recent years. The UK, Malta, and the Netherlands have the highest population density in urban areas. Governments of the countries mentioned above are investing substantial amounts toward the development of the respective country's infrastructure, leading to the continuous construction of residential and commercial infrastructures. For instance, the Grand Paris project was launched to interconnect the entire greater Paris area. This ongoing innovative urban development project aims to transform the city, creating new ties between inhabitants and revitalizing the local economy. This project is scheduled for completion in 2030, and surety bonds will likely be crucial for securing contracts with construction companies involved in this large-scale undertaking. Furthermore, the contract awarding authorities will demand a guarantee for the completion of defined tasks in the stipulated period, which will fuel the need for surety bonds.

Europe Surety Market Report Segmentation Analysis

Key segments that contributed to the derivation of the Europe surety market analysis are bond type and end users.

  • Based on bond type, the market is bifurcated into contract surety bond and commercial surety bond. The contract surety bond segment held a significant market share in 2023.
  • By end users, the market is segmented into individuals and enterprises. The enterprises segment held a substantial share of the market in 2023.

Europe Surety Market Share Analysis by Geography

The geographic scope of the Europe surety market report is mainly segmented into the UK, Germany, France, Spain, Italy, and the Rest of Europe.

In Germany, the surety market is highly driven by the increasing infrastructure developments. For instance, in November 2023, Germany’s federal and state governments agreed on a package to accelerate the roll-out of new infrastructure projects such as railways and power grids, in part by automatically approving applications if there is no timely response by responsible authorities. Moreover, the German construction industry is anticipated to witness a positive outlook owing to an increase in its residential construction. Low interest rates and high employment rates drive the country’s residential construction activities. Thus, the rise in construction activities and infrastructure developments in Germany is anticipated to positively influence the construction sector, thereby driving the surety market in Germany. France is recognized as one of the top countries in terms of infrastructure, energy, transport, and social infrastructure (especially in healthcare, justice, education, and housing). Moreover, in 2022, France was the largest public-private partnership market in Europe not only in terms of value, with a total of US$ 4.55 billion (US$ 1.73 billion in 2021), but also in terms of the number of projects, with 21 deals closed (18 deals were closed in 2021). Thus, the increase in infrastructure and public-private partnerships is driving the surety market in France.

Europe Surety Market Report Scope

Europe Surety Market News and Recent Developments

The Europe 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 Europe surety market:

  • Cadence Bank ("Cadence" or the "Company") announced that it entered into a definitive agreement to sell its insurance operations, Cadence Insurance, Inc., to Arthur J. Gallagher & Co. ("Gallagher") for US$ 904 million.

(Source: Cadence Bank, Company Website, 2023)

  • Liberty Mutual Surety announced the appointment of Renee Llewellyn as senior vice president manager of Liberty Mutual Surety Plus, a unit dedicated to providing bonds for small and mid-size contractors, including subdivision, transactional, and hard-to-place bonds.

(Source: Liberty Mutual Surety, Company Website, 2023)

Europe Surety Market Report Coverage and Deliverables

The “Europe Surety Market Size and Forecast (2021–2031)” report provides a detailed analysis of the market covering below areas:

  • Market size and forecast at regional and country levels for all the key market segments covered under the scope
  • Market dynamics such as drivers, restraints, and key opportunities
  • Key future trends
  • Detailed PEST and SWOT analysis
  • Regional market analysis covering key market trends, major players, regulations, and recent market developments
  • Industry landscape and competition analysis covering market concentration, heat map analysis, prominent players, and recent developments
  • Detailed company profiles
Report Coverage
Report Coverage

Revenue forecast, Company Analysis, Industry landscape, Growth factors, and Trends

Segment Covered
Segment Covered

Bond Type, and Country

Regional Scope
Regional Scope

North America, Europe, Asia Pacific, Middle East & Africa, South & Central America

Country Scope
Country Scope

UK, Germany, France, Italy, Russia

Frequently Asked Questions


What is the estimated market size for the Europe surety market in 2023?

The market was estimated to be US$ 4.13 billion in 2023 and is expected to record a CAGR of 5.9% during the forecast period.

What are the driving factors impacting the Europe surety market?

Increasing adoption of public-private partnerships for infrastructure development and the growing need for the restoration of aging infrastructure in European economies are the major factors that propel the Europe surety market.

What are the future trends of the Europe surety market?

The rise in digitalization, automation, and other technological advancements is anticipated to play a significant role in the Europe surety market in the coming years.

What will be the market size of the Europe surety market by 2031?

The market is expected to reach US$ 6.53 billion by 2031.

Which are the key players holding the major market share of the Europe surety market?

The key players holding majority shares in the market are Liberty Mutual Insurance Company, CNA FINANCIAL CORPORATION, The Travelers Indemnity Company, Atradius N.V., and Zurich Insurance Company Ltd.

1. Introduction

1.1 The Insight Partners Research Report Guidance

1.2 Market Segmentation

2. Executive Summary

2.1 Key Insights

3. Research Methodology

3.1 Secondary Research

3.2 Primary Research

3.2.1 Hypothesis formulation:

3.2.2 Macro-economic factor analysis:

3.2.3 Developing base number:

3.2.4 Data Triangulation:

3.2.5 Country level data:

4. Europe Surety Market Landscape

4.1 Overview

4.2 PEST Analysis

4.3 Ecosystem Analysis

4.3.1 List of Vendors in the Value Chain

5. Europe Surety Market – Key Market Dynamics

5.1 Europe Surety Market – Key Market Dynamics

5.2 Market Drivers

5.2.1 Increasing Adoption of Public-Private Partnerships for Infrastructure Development

5.2.2 Growing Need for Restoration of Aging Infrastructure in European Economies

5.3 Market Restraints

5.3.1 Shortage of Properly Trained Underwriters in Surety Industry

5.4 Market Opportunities

5.4.1 Rapid Urbanization in Europe

5.5 Future Trends

5.5.1 Rise in Digitalization, Automation, and Other Technological Advancements

5.6 Impact of Drivers and Restraints:

6. Europe Surety Market Analysis

6.1 Europe Surety Market Revenue (US$ Million), 2023–2031

6.2 Europe Surety Market Forecast and Analysis

7. Europe Surety Market Analysis – by Bond Type

7.1 Contract Surety Bond

7.1.1 Overview

7.1.2 Contract Surety Bond: Europe Surety Market – Revenue and Forecast to 2031 (US$ Million)

7.2 Commercial Surety Bond

7.2.1 Overview

7.2.2 Commercial Surety Bond: Europe Surety Market – Revenue and Forecast to 2031 (US$ Million)

8. Europe Surety Market Analysis – by End Users

8.1 Individuals

8.1.1 Overview

8.1.2 Individuals: Europe Surety Market – Revenue and Forecast to 2031 (US$ Million)

8.2 Enterprises

8.2.1 Overview

8.2.2 Enterprises: Europe Surety Market – Revenue and Forecast to 2031 (US$ Million)

9. Europe Surety Market – Country Analysis

9.1 Europe

9.1.1 Europe Surety Market Breakdown by Countries

9.1.2 Europe Surety Market Revenue and Forecast and Analysis – by Country

9.1.2.1 Europe Surety Market Revenue and Forecast and Analysis – by Country

9.1.2.2 Germany: Europe Surety Market – Revenue and Forecast to 2031 (US$ Million)

9.1.2.2.1 Germany: Europe Surety Market Breakdown by Bond Type

9.1.2.2.2 Germany: Europe Surety Market Breakdown by End Users

9.1.2.3 France: Europe Surety Market – Revenue and Forecast to 2031 (US$ Million)

9.1.2.3.1 France: Europe Surety Market Breakdown by Bond Type

9.1.2.3.2 France: Europe Surety Market Breakdown by End Users

9.1.2.4 Italy: Europe Surety Market – Revenue and Forecast to 2031 (US$ Million)

9.1.2.4.1 Italy: Europe Surety Market Breakdown by Bond Type

9.1.2.4.2 Italy: Europe Surety Market Breakdown by End Users

9.1.2.5 United Kingdom: Europe Surety Market – Revenue and Forecast to 2031 (US$ Million)

9.1.2.5.1 United Kingdom: Europe Surety Market Breakdown by Bond Type

9.1.2.5.2 United Kingdom: Europe Surety Market Breakdown by End Users

9.1.2.6 Spain: Europe Surety Market – Revenue and Forecast to 2031 (US$ Million)

9.1.2.6.1 Spain: Europe Surety Market Breakdown by Bond Type

9.1.2.6.2 Spain: Europe Surety Market Breakdown by End Users

9.1.2.7 Rest of Europe: Europe Surety Market – Revenue and Forecast to 2031 (US$ Million)

9.1.2.7.1 Rest of Europe: Europe Surety Market Breakdown by Bond Type

9.1.2.7.2 Rest of Europe: Europe Surety Market Breakdown by End Users

10. Competitive Landscape

10.1 Heat Map Analysis by Key Players

10.2 Company Positioning & Concentration

11. Industry Landscape

11.1 Overview

11.2 Market Initiative

11.3 Product Development

11.4 Mergers and Acquisitions

12. Company Profiles

12.1 Zurich Insurance Group AG

12.1.1 Key Facts

12.1.2 Business Description

12.1.3 Products and Services

12.1.4 Financial Overview

12.1.5 SWOT Analysis

12.1.6 Key Developments

12.2 CNA Financial Corp

12.2.1 Key Facts

12.2.2 Business Description

12.2.3 Products and Services

12.2.4 Financial Overview

12.2.5 SWOT Analysis

12.2.6 Key Developments

12.3 Liberty Mutual Holding Co Inc

12.3.1 Key Facts

12.3.2 Business Description

12.3.3 Products and Services

12.3.4 Financial Overview

12.3.5 SWOT Analysis

12.3.6 Key Developments

12.4 Atradius NV

12.4.1 Key Facts

12.4.2 Business Description

12.4.3 Products and Services

12.4.4 Financial Overview

12.4.5 SWOT Analysis

12.4.6 Key Developments

12.5 Chubb Ltd

12.5.1 Key Facts

12.5.2 Business Description

12.5.3 Products and Services

12.5.4 Financial Overview

12.5.5 SWOT Analysis

12.5.6 Key Developments

12.6 The Travelers Companies Inc

12.6.1 Key Facts

12.6.2 Business Description

12.6.3 Products and Services

12.6.4 Financial Overview

12.6.5 SWOT Analysis

12.6.6 Key Developments

12.7 COFACE SA

12.7.1 Key Facts

12.7.2 Business Description

12.7.3 Products and Services

12.7.4 Financial Overview

12.7.5 SWOT Analysis

12.7.6 Key Developments

12.8 Credendo

12.8.1 Key Facts

12.8.2 Business Description

12.8.3 Products and Services

12.8.4 Financial Overview

12.8.5 SWOT Analysis

12.8.6 Key Developments

12.9 Arthur J Gallagher & Co

12.9.1 Key Facts

12.9.2 Business Description

12.9.3 Products and Services

12.9.4 Financial Overview

12.9.5 SWOT Analysis

12.9.6 Key Developments

12.10 Allianz Trade

12.10.1 Key Facts

12.10.2 Business Description

12.10.3 Products and Services

12.10.4 Financial Overview

12.10.5 SWOT Analysis

12.10.6 Key Developments

13. Appendix

13.1 Glossary

13.2 About The Insight Partners

List of Tables

Table 1. Europe Surety Market Segmentation

Table 2. List of Vendors

Table 3. Europe Surety Market – Revenue and Forecast to 2031 (US$ Million)

Table 4. Europe Surety Market – Revenue and Forecast to 2031 (US$ Million) – by Bond Type

Table 5. Europe Surety Market – Revenue and Forecast to 2031 (US$ Million) – by End Users

Table 6. Europe Surety Market – Revenue and Forecast to 2031 (US$ Million) – by Country

Table 7. Germany: Europe Surety Market – Revenue and Forecast to 2031 (US$ Million) – by Bond Type

Table 8. Germany: Europe Surety Market – Revenue and Forecast to 2031 (US$ Million) – by End Users

Table 9. France: Europe Surety Market – Revenue and Forecast to 2031 (US$ Million) – by Bond Type

Table 10. France: Europe Surety Market – Revenue and Forecast to 2031 (US$ Million) – by End Users

Table 11. Italy: Europe Surety Market – Revenue and Forecast to 2031 (US$ Million) – by Bond Type

Table 12. Italy: Europe Surety Market – Revenue and Forecast to 2031 (US$ Million) – by End Users

Table 13. United Kingdom: Europe Surety Market – Revenue and Forecast to 2031 (US$ Million) – by Bond Type

Table 14. United Kingdom: Europe Surety Market – Revenue and Forecast to 2031 (US$ Million) – by End Users

Table 15. Spain: Europe Surety Market – Revenue and Forecast to 2031 (US$ Million) – by Bond Type

Table 16. Spain: Europe Surety Market – Revenue and Forecast to 2031 (US$ Million) – by End Users

Table 17. Rest of Europe: Europe Surety Market – Revenue and Forecast to 2031 (US$ Million) – by Bond Type

Table 18. Rest of Europe: Europe Surety Market – Revenue and Forecast to 2031 (US$ Million) – by End Users

Table 19. Heat Map Analysis By Key Players

List of Figures

Figure 1. Europe Surety Market Segmentation, by Country

Figure 2. PEST Analysis

Figure 3. Ecosystem Analysis

Figure 4. Impact Analysis of Drivers and Restraints

Figure 5. Europe Surety Market Revenue (US$ Million), 2021–2031

Figure 6. Europe Surety Market Share (%) – by Bond Type, 2023 and 2031

Figure 7. Contract Surety Bond: Europe Surety Market– Revenue and Forecast to 2031 (US$ Million)

Figure 8. Commercial Surety Bond: Europe Surety Market– Revenue and Forecast to 2031 (US$ Million)

Figure 9. Europe Surety Market Share (%) – by End Users, 2023 and 2031

Figure 10. Individuals: Europe Surety Market– Revenue and Forecast to 2031 (US$ Million)

Figure 11. Enterprises: Europe Surety Market– Revenue and Forecast to 2031 (US$ Million)

Figure 12. Europe Surety Market Breakdown by Key Countries, 2023 and 2031 (%)

Figure 13. Germany: Europe Surety Market – Revenue and Forecast to 2031 (US$ Million)

Figure 14. France: Europe Surety Market – Revenue and Forecast to 2031 (US$ Million)

Figure 15. Italy: Europe Surety Market – Revenue and Forecast to 2031 (US$ Million)

Figure 16. United Kingdom: Europe Surety Market – Revenue and Forecast to 2031 (US$ Million)

Figure 17. Spain: Europe Surety Market – Revenue and Forecast to 2031 (US$ Million)

Figure 18. Rest of Europe: Europe Surety Market – Revenue and Forecast to 2031 (US$ Million)

Figure 19. Company Positioning & Concentration

The List of Companies - Europe Surety Market

  1. Liberty Mutual Insurance Company
  2. CNA FINANCIAL CORPORATION
  3. Chubb
  4. The Travelers Indemnity Company
  5. Atradius N.V. 
  6. Allianz SE
  7. Arthur J. Gallagher & Co.
  8. Zurich Insurance Company Ltd 
  9. Coface
  10. Credendo

The Insight Partners performs research in 4 major stages: Data Collection & Secondary Research, Primary Research, Data Analysis and Data Triangulation & Final Review.

  1. Data Collection and Secondary Research:

As a market research and consulting firm operating from a decade, we have published many reports and advised several clients across the globe. First step for any study will start with an assessment of currently available data and insights from existing reports. Further, historical and current market information is collected from Investor Presentations, Annual Reports, SEC Filings, etc., and other information related to company’s performance and market positioning are gathered from Paid Databases (Factiva, Hoovers, and Reuters) and various other publications available in public domain.

Several associations trade associates, technical forums, institutes, societies and organizations are accessed to gain technical as well as market related insights through their publications such as research papers, blogs and press releases related to the studies are referred to get cues about the market. Further, white papers, journals, magazines, and other news articles published in the last 3 years are scrutinized and analyzed to understand the current market trends.

  1. Primary Research:

The primarily interview analysis comprise of data obtained from industry participants interview and answers to survey questions gathered by in-house primary team.

For primary research, interviews are conducted with industry experts/CEOs/Marketing Managers/Sales Managers/VPs/Subject Matter Experts from both demand and supply side to get a 360-degree view of the market. The primary team conducts several interviews based on the complexity of the markets to understand the various market trends and dynamics which makes research more credible and precise.

A typical research interview fulfils the following functions:

  • Provides first-hand information on the market size, market trends, growth trends, competitive landscape, and outlook
  • Validates and strengthens in-house secondary research findings
  • Develops the analysis team’s expertise and market understanding

Primary research involves email interactions and telephone interviews for each market, category, segment, and sub-segment across geographies. The participants who typically take part in such a process include, but are not limited to:

  • Industry participants: VPs, business development managers, market intelligence managers and national sales managers
  • Outside experts: Valuation experts, research analysts and key opinion leaders specializing in the electronics and semiconductor industry.

Below is the breakup of our primary respondents by company, designation, and region:

Research Methodology

Once we receive the confirmation from primary research sources or primary respondents, we finalize the base year market estimation and forecast the data as per the macroeconomic and microeconomic factors assessed during data collection.

  1. Data Analysis:

Once data is validated through both secondary as well as primary respondents, we finalize the market estimations by hypothesis formulation and factor analysis at regional and country level.

  • 3.1 Macro-Economic Factor Analysis:

We analyse macroeconomic indicators such the gross domestic product (GDP), increase in the demand for goods and services across industries, technological advancement, regional economic growth, governmental policies, the influence of COVID-19, PEST analysis, and other aspects. This analysis aids in setting benchmarks for various nations/regions and approximating market splits. Additionally, the general trend of the aforementioned components aid in determining the market's development possibilities.

  • 3.2 Country Level Data:

Various factors that are especially aligned to the country are taken into account to determine the market size for a certain area and country, including the presence of vendors, such as headquarters and offices, the country's GDP, demand patterns, and industry growth. To comprehend the market dynamics for the nation, a number of growth variables, inhibitors, application areas, and current market trends are researched. The aforementioned elements aid in determining the country's overall market's growth potential.

  • 3.3 Company Profile:

The “Table of Contents” is formulated by listing and analyzing more than 25 - 30 companies operating in the market ecosystem across geographies. However, we profile only 10 companies as a standard practice in our syndicate reports. These 10 companies comprise leading, emerging, and regional players. Nonetheless, our analysis is not restricted to the 10 listed companies, we also analyze other companies present in the market to develop a holistic view and understand the prevailing trends. The “Company Profiles” section in the report covers key facts, business description, products & services, financial information, SWOT analysis, and key developments. The financial information presented is extracted from the annual reports and official documents of the publicly listed companies. Upon collecting the information for the sections of respective companies, we verify them via various primary sources and then compile the data in respective company profiles. The company level information helps us in deriving the base number as well as in forecasting the market size.

  • 3.4 Developing Base Number:

Aggregation of sales statistics (2020-2022) and macro-economic factor, and other secondary and primary research insights are utilized to arrive at base number and related market shares for 2022. The data gaps are identified in this step and relevant market data is analyzed, collected from paid primary interviews or databases. On finalizing the base year market size, forecasts are developed on the basis of macro-economic, industry and market growth factors and company level analysis.

  1. Data Triangulation and Final Review:

The market findings and base year market size calculations are validated from supply as well as demand side. Demand side validations are based on macro-economic factor analysis and benchmarks for respective regions and countries. In case of supply side validations, revenues of major companies are estimated (in case not available) based on industry benchmark, approximate number of employees, product portfolio, and primary interviews revenues are gathered. Further revenue from target product/service segment is assessed to avoid overshooting of market statistics. In case of heavy deviations between supply and demand side values, all thes steps are repeated to achieve synchronization.

We follow an iterative model, wherein we share our research findings with Subject Matter Experts (SME’s) and Key Opinion Leaders (KOLs) until consensus view of the market is not formulated – this model negates any drastic deviation in the opinions of experts. Only validated and universally acceptable research findings are quoted in our reports.

We have important check points that we use to validate our research findings – which we call – data triangulation, where we validate the information, we generate from secondary sources with primary interviews and then we re-validate with our internal data bases and Subject matter experts. This comprehensive model enables us to deliver high quality, reliable data in shortest possible time.

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