With much global infrastructure needing to be replaced in first world countries such as the United States, the global surety market is expected to grow by 7% per year up to the year 2025. There are going to be an increasing number of public infrastructure construction jobs in the United States, among other countries, and there will need to be more public construction jobs in place to be bid on and performed.
The U.S. especially has lagged in investing in infrastructure recently but with the need becoming more evident, the country has no choice but to invest in infrastructure and have more public work performed. A lack of skilled workers available to contractors is likely going to limit the extend to which the industry can grow in the near future, limiting the growth to that 7% per year. Technology will presumably help fill some of the gap, however.
As more infrastructure is invested in by the United States, more contract surety bonds will need to be granted in order to guarantee that projects can be performed at their bid amount, subcontractors will be paid for, and that projects will be completed satisfactorily. That’s why more bid bonds, payment bonds, and performance contract surety bonds will be needed.
Purchase Payment/Performance Bonds for a Project?
Colonial gives you an easier way to manage your bid and payment/performance bonds online. Having your single and aggregate limits in writing allows you to update your work on hand and adjust your bonding capacity in real time. Print your bond from your office. It’s that simple! Contact us today to learn more about payment and performance bonds.