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
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.
A surety bond is a legally mandatory agreement that ensures the fulfillment of obligations or, in case of non-compliance, provides compensation to cover the unmet obligations. This involves three parties: the principal (who purchases the bond and commits to fulfilling an obligation), the surety (the company issuing the bond), and the obligee (the entity requiring the bond). Surety bonds are a financial guarantee for the completion of specific obligations, holding bondholders accountable for their professional or personal commitments. They protect the government, businesses, and individuals from financial loss by ensuring compliance, payment, or performance of an act. The primary principle of a surety bond is to ensure the completion of contracts in the event of contractor default. They can also guarantee the completion of government contracts, cover losses resulting from legal cases, or safeguard companies from employee dishonesty.
A recent trend in the European market is the growing cooperation between banks and Surety companies to develop distribution and to offer cover for risks. Such cooperation is anticipated to develop prosperous opportunities for the Europe surety market players. Although banks propel the surety market in the European region, capital regulations are driving them to share some of their uncertainties with surety companies. This enables banks to mitigate their risks and achieve more cost-effective portfolio management. Moreover, surety players facilitate banks to enhance their customer relationships and expand their market share or enter new, niche markets. Also, cooperation with banks enables surety players to access clients and markets that were otherwise not reachable to them. Alternatively, the key challenge is expected from developing these new market distributions. Unlike banks being capacity providers, surety companies are bond underwriters. This could bring out a challenge for surety providers in gaining new customers, who are more inclined towards capacity providers. Although surety providers offer an equivalent portfolio, there is always a risk of adverse selection.
Another major challenge prevailing in the European surety market is the entrance of new players as well as the geographical expansion of existing players, resulting in intensifying competition. Simultaneously, the customers' needs are constantly growing. Thus, surety providers who are capable of fulfilling these evolving customers' needs are expected to sustain and compete efficiently in the Europe surety market.
Liberty Mutual Insurance Company, CNA FINANCIAL CORPORATION, Chubb, The Travelers Indemnity Company, Atradius N.V., Allianz SE, Arthur J. Gallagher & Co., Zurich Insurance Company Ltd, Coface, and Credendo are among the prominent players profiled in the Europe surety market. The Europe surety market report emphasizes the key factors driving the market and prominent players' developments.
The overall Europe surety market size has been derived using both primary and secondary sources. Exhaustive secondary research has been conducted using internal and external sources to acquire qualitative and quantitative information related to the. The process also helps obtain an overview of the Europe surety market with respect to all the market segments. Also, multiple primary interviews have been conducted with industry participants to validate the data and gain analytical insights. This process includes industry experts such as VPs, business development managers, market intelligence managers, and national sales managers, along with external consultants such as valuation experts, research analysts, and key opinion leaders, specializing in the Europe surety market. The Europe surety market forecast can help stakeholders in this marketplace plan their growth strategies.
A surety bond is a legally mandatory agreement that ensures the fulfillment of obligations or, in case of non-compliance, provides compensation to cover the unmet obligations. This involves three parties: the principal (who purchases the bond and commits to fulfilling an obligation), the surety (the company issuing the bond), and the obligee (the entity requiring the bond). Surety bonds are a financial guarantee for the completion of specific obligations, holding bondholders accountable for their professional or personal commitments. They protect the government, businesses, and individuals from financial loss by ensuring compliance, payment, or performance of an act. The primary principle of a surety bond is to ensure the completion of contracts in the event of contractor default. They can also guarantee the completion of government contracts, cover losses resulting from legal cases, or safeguard companies from employee dishonesty.
A recent trend in the European market is the growing cooperation between banks and Surety companies to develop distribution and to offer cover for risks. Such cooperation is anticipated to develop prosperous opportunities for the Europe surety market players. Although banks propel the surety market in the European region, capital regulations are driving them to share some of their uncertainties with surety companies. This enables banks to mitigate their risks and achieve more cost-effective portfolio management. Moreover, surety players facilitate banks to enhance their customer relationships and expand their market share or enter new, niche markets. Also, cooperation with banks enables surety players to access clients and markets that were otherwise not reachable to them. Alternatively, the key challenge is expected from developing these new market distributions. Unlike banks being capacity providers, surety companies are bond underwriters. This could bring out a challenge for surety providers in gaining new customers, who are more inclined towards capacity providers. Although surety providers offer an equivalent portfolio, there is always a risk of adverse selection.
Another major challenge prevailing in the European surety market is the entrance of new players as well as the geographical expansion of existing players, resulting in intensifying competition. Simultaneously, the customers' needs are constantly growing. Thus, surety providers who are capable of fulfilling these evolving customers' needs are expected to sustain and compete efficiently in the Europe surety market.
Liberty Mutual Insurance Company, CNA FINANCIAL CORPORATION, Chubb, The Travelers Indemnity Company, Atradius N.V., Allianz SE, Arthur J. Gallagher & Co., Zurich Insurance Company Ltd, Coface, and Credendo are among the prominent players profiled in the Europe surety market. The Europe surety market report emphasizes the key factors driving the market and prominent players' developments.
The overall Europe surety market size has been derived using both primary and secondary sources. Exhaustive secondary research has been conducted using internal and external sources to acquire qualitative and quantitative information related to the. The process also helps obtain an overview of the Europe surety market with respect to all the market segments. Also, multiple primary interviews have been conducted with industry participants to validate the data and gain analytical insights. This process includes industry experts such as VPs, business development managers, market intelligence managers, and national sales managers, along with external consultants such as valuation experts, research analysts, and key opinion leaders, specializing in the Europe surety market. The Europe surety market forecast can help stakeholders in this marketplace plan their growth strategies.
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
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
