New to the surety business. Have questions.

[CPCU1]

I know all bonds for the public sector pretty much require an A rated Surety. Is there a market out there for bonds written by a new non-admitted bond company who doesn't have a Best's rating yet? Or does every bond (even private) require the surety to be A rated and an admitted company?

Are there any niche areas of commercial/contract/misc bonds that are not being well served by the market right now?

[Admin]

Sorry we took so long to respond to you on this, your post fell through the cracks somehow.

I know all bonds for the public sector pretty much require an A rated Surety.

Not necessarily true. Sometimes, they do not know to specify or will simply accept B paper as well.

Is there a market out there for bonds written by a new non-admitted bond company who doesn't have a Best's rating yet? Or does every bond (even private) require the surety to be A rated and an admitted company?

There are bonding companies out there writing business w/o an AM Best rating. However, they are much more limited as to what they can write.

Are there any niche areas of commercial/contract/misc bonds that are not being well served by the market right now?

Yes there are. However, I can not share my opinion on you with this, as we are constantly trying to fill the gaps in the markets with specialty programs.