Performance Bond Losses - Annual Industry Averages

[secretagent]

As an industry, does any trade group report average losses suffered by the surety industry? This is a frequent question among public entity clients, as auditors are starting to ask questions about the relationship between cost of construction bonding and losses incurred by the surety.

I have already given the classical definitions about how insurance and surety can't be compared, but unless I come up with some industry loss trends or statistics, well you know how this works.

So if you have some rules of thumb or can point me to an organization, like the SIO, I'd love to see your response.

Thanks in advance.

[BondLaw]

The information you are looking for is compiled by the Surety Association of America. However, I believe you must be a member and have an access code to reach that data.

[Admin]

See: http://www.surety.org/main.cfm?catid=9&lid=0