| Coverage | Trend | Range |
|---|---|---|
| Commercial |
|
→ Stable / Flat |
| Contract |
|
→ Stable / Flat |
| International |
|
→ Stable / Flat |
Key takeaways
- Underwriting fundamentals remain strong, though developing loss activity on large civil projects has underwriters’ attention.
- Secure maximum capacity while credit is strong and exposure is stable; consistent dialogue with sureties creates the greatest flexibility.
- Digital infrastructure and power spending is driving demand for much larger performance bonds and project security.
- A projected $151 trillion in global infrastructure spending by 2050 with over half in APAC, continues to fuel international surety demand.[1]
Market overview
The surety industry enters 2027 from a position of strength. Results have been exceptionally favorable for several years, capacity remains abundant, and demand is rising on the back of historic investment in infrastructure, power and digital technology at home and abroad. However, the market is not standing still: margins have compressed modestly over the past 24 months, loss activity is developing in pockets, and underwriters are becoming more analytical and selective as a result. The clients best positioned for 2027 will be those who engage their sureties early, keep information flowing, and choose partners with genuine depth in the industries and products now reshaping the marketplace.
Surety rates are expected to remain stable across contract, commercial and international lines through 2027. Riskier obligations or softening credits may see higher entry points on new obligations, though increases on existing programs are unlikely.
Footnote
- “Global Infrastructure Outlook 2025 to 2050,” PwC, April 28, 2026. Return to article
Disclaimer
WTW hopes you found the general information provided here informative and helpful. The information contained herein is not intended to constitute legal or other professional advice and should not be relied upon in lieu of consultation with your own legal advisors. In the event you would like more information regarding your insurance coverage, please do not hesitate to reach out to us. In North America, WTW offers insurance products through licensed entities, including Willis Towers Watson Northeast, Inc. (in the United States) and Willis Canada Inc. (in Canada).
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