Europe Surety Market is expected to reach US$ 5398.33 Mn by 2027

In terms of bond type, contract surety bond to dominate Europe surety market during 2020–2027

According to our new market research study on “Europe Surety Market to 2027 – Regional Analysis and Forecast by bond type, and country,” the market is expected to reach US$ 5,398.33 million by 2027 from US$ 3,608.38 million in 2019; it is estimated to grow at a CAGR of 5.7% from 2020 to 2027. The ageing power generation and distribution infrastructure are becoming a key biggest challenges for utilities in developed countries. European countries emphasize on respective power generation and distribution infrastructure over the years. However, over the past few years, several such infrastructures are aging and are demanding restoration activities. The restoration of power generation and distribution infrastructure incur significantly higher amounts, and pertaining to this, the demand for surety bonds among the parties involved in restoration activity is surging. This is enhancing the surety market in the European countries. The continuously rising number of renovation projects as well as contractors / builders in European region is supporting the growth of surety market in the region. This factor is also foreseen to drive the surety market through 2027.

 Europe is the region with the largest number of smart city projects. As many as 250 smart city projects globally in more than 178 cities around the world with the majority focusing on government and energy initiatives, followed by transport, buildings, and water goals. In Europe, a significant driver for smart cities is the European Commission, which launched the European Innovation Partnership on Smart Cities and Communities (EIPSCC) in 2012. This would influence the construction sector thus, propelling the growth of surety market.

The European Union’s has set a long term goal of reducing greenhouse gas emissions by 80% to 95% by 2050. To achieve this goal, the government is making significant investments in energy generation through renewable sources, grid infrastructure, low-carbon-technologies and energy efficiency. These investments would further result in increasing investments in power plants construction resulting in influencing the growth of Surety market.

CNA Financial Corporation, The Travelers Indemnity Company, Liberty Mutual Insurance Company, and Chubb, are among the leading companies in the Europe surety market. The companies are focused on adopting inorganic growth strategies such as mergers and acquisitions to sustain their position in the dynamic market. For Instance, in 2018, The Travelers Indemnity Company completed the acquisition of the majority of shares of Cardinal Compañía de Seguros.

Europe surety market

The report segments the Europe surety market as follows:

By Bond Type

• Contract Surety Bond
• Commercial Surety Bond
• Court Surety Bond
• Fidelity Surety Bond

By Country

• France
• Germany
• Italy
• UK
• Spain
• Rest of Europe