Bonding capacity
Bonding capacity is the size of job your surety has approved you to bond, expressed as a single-job limit and an aggregate limit across all your active bonded work at once. Your surety sets bonding capacity based on your financials and your safety record, including your workers' comp EMR (experience modification rate), reviewed most closely at your program's annual renewal. A rising mod is one factor that can lead a surety to hold your capacity flat or grow it more cautiously than you'd planned, and because this usually happens at a scheduled review rather than in response to a single event, it can catch a contractor off guard well before the same number shows up as a rejected bid. Bringing your agent your current experience rating worksheet and loss runs, along with context on anything driving your mod, ahead of a renewal gives them something concrete to work with instead of a bare number.
See also
Is your mod right?
Most contractors have never had the worksheet compared to the loss runs and payroll behind it. See what your mod is costing you, or get on the list for a full verification.