Airlines Reporting Commission (ARC) Surety Bonds

Travel Agents and Agencies are required by the Airline Reporting Corporation (ARC) to obtain a surety bond that guarantees that the agents will forward payments they receive from the customers to airline carriers they work with. If a travel agent fails to forward any payments to the ARC or a carrier, these parties can place a claim against the bond.

Bond amounts for new applicants are $20,000. After two years, the amount can be dropped in half. The ARC will evaluate and determine the appropriate bond amount depending on your average monthly net cash for the last twelve months. Bond amounts can range between $10,000 and $100,000. The ARC does except multiple bonds to meet the required coverage.

Surety bonds must be maintained as long as the agent holds an ARC accreditation. Because the ARC is a federally regulated entity, travel agents throughout the United States must comply with these guidelines. In addition, some states have specific bonding requirements to operate as an agent or agency.

Pacific Surety offers industry-low rates and can obtain approvals for almost all credit situations, with rates as low as .85% for well qualified clients. Unlike other agencies that require collateral, Pacific Surety can provide the bond for an annual premium. We are licensed in all 50 states and take the extra steps needed to ensure your bond is issued correctly the first time on the required bond form. Once our simple application has been completed, we can have pricing to you within hours. If you have any specific questions, please contact our knowledgeable underwriting staff.

Pacific Surety proudly offers Airline Reporting Commission (ARC) Surety Bonds in the following states:

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