Services for Sureties and Insurance

The growing complexity of large-scale construction projects, coupled with labor shortages, supply chain volatility, and inflation, creates an environment where delays, cost overruns, and even defaults have become increasingly common. These factors intensify the financial and operational risks tied to project delivery, placing greater responsibility on surety underwriters and insurers to evaluate exposure with precision, anticipate potential setbacks, and protect both capital and client confidence.

SOCOTEC offers proactive project monitoring across every stage of the asset lifecycle with:

• Independent project risk reviews (budget, schedule, contractor qualifications, site conditions)
• Construction risk assessments and monitoring
• Cost review, funds tracing, and inflation analysis
• On-site inspections, testing and progress verification
• Investigations of defects or failures (structural, MEP systems) 
• Advisory services to mitigate exposure and safeguard investments
• Remediation, repairs and restorations on building and infrastructure
• Weather damage impacts reviews and claims

The surety and insurance sector operates within a landscape of constantly evolving regulations, both financial and industry specific. Keeping pace with these changes while maintaining efficiency is an ongoing challenge, particularly for organizations managing projects across multiple jurisdictions. The complexity increases further when navigating local, state-specific and international frameworks, making specialized expertise essential to ensure compliance without disrupting business continuity.

SOCOTEC helps clients stay ahead of regulatory changes with:

• Building code, Energy code, and Fire and life safety code compliance reviews (including local amendments in NYC, Boston, Chicago, Miami, and others)
• Building facade, accessibility & ADA evaluations
• Engineering and design compliance for industry-specific requirements (healthcare, education, residential, commercial)
• Compliance audits and investigations of defects or failures
• Filing strategies and permit support
• Standard of care

Fraudulent transactions, unethical operations (such as corruption, waste, and abuse), and inappropriate management can have far-reaching consequences on projects and businesses. Beyond generating unnecessary costs, these issues erode efficiency, weaken stakeholder trust, and disrupt the performance of teams and processes. Left unchecked, they expose insurers, sureties, and policyholders to significant financial and reputational risks, making early detection and strong oversight critical.

SOCOTEC detects irregularities and ensures trust in business operations with:

• Fraud risk assessments and forensic accounting investigations
• Contract review and negotiation
• Integrity monitoring and non-compliance assessment
• Contractor performance evaluations
• Cash flow control and allocation oversight
• Evaluation of potential exposures (bonds, policies, warranties) 
• Anti-fraud, bribery and corruption policies
• Third-party due diligence

Issues in the construction process such as delays, design or workmanship defects, contractor mismanagement, terminations, and even force majeure events, can pile up a significant financial loss and damages, creating the need for complex claims and dispute resolution. Insurers and sureties face the difficult task of conducting thorough due diligence and detailed investigations while still delivering timely resolutions to maintain transparency and client confidence. Effective support across the entire claims lifecycle, from initial assessment to litigation or arbitration, is essential to safeguard value and achieve fair outcomes.

SOCOTEC assist with dispute resolution effectively and fairly with:

• Forensic investigations – accounting, engineering, and architecture
• Claims preparation, evaluation, and assessment
• Litigation readiness
• Technical investigations
• Quantification of economic damages and loss evaluation
• Independent third-party analysis
• Expert witness testimony in litigation, arbitration, and courtrooms

With competition and alternative risk solutions rising in the industry, surety firms are under increasing pressure to differentiate themselves. Success depends on demonstrating deep expertise, leveraging advanced risk management methods, and adopting innovative technology tools, all while maintaining healthy loss ratios and controlling operational costs. At the same time, clients expect more personalized coverage, faster and more transparent claims resolution, and greater overall value, which puts additional pressure on insurers and sureties to deliver value beyond standard products.

SOCOTEC helps reduce risk exposure and improve efficiency with:

• Advanced data-driven risk management and lifecycle project advisory
• Technical consulting and engineering expertise across building and infrastructure sectors
• Sustainability and resilience evaluations to support long-term client value
• Tailored solutions for underwriting support, monitoring, and dispute resolution
• Market analysis (trends, competition, opportunities, etc.) and feasibility studies