Surety Industry Continues to Rebound

Even in the best of financial times obtaining a performance bond can be a daunting task. If you consider the flagging uncertainty in economic conditions across the United States and nervous bankers tightening credit requirements, it’s no surprise contractors often complain about having a tough time landing these types of project guarantees.

However, as the U.S. economy continues to recover, the surety bond business has stabilized. The industry’s rocky past and record losses have forced many bonding companies to close their doors for good. Now the current market is again using more conservative underwriting practices and approving only contractors that qualify under exacting surety guidelines. According to most industry insiders, the market is expected to remain solid for the near future and likely beyond.

And this is good news not only for contractors and surety companies, but the people who depend on new developments to work, live and play.