A Guide to Airline Reporting Bonds
SuretyBonds.com is legally licensed to issue airline reporting bonds nationwide. Whether you are an airline reporting company in New York, Illinois or California, we can help!
The more airline reporting professionals know about surety bond insurance, the better prepared they’ll be to buy or renew their airline reporting bonds. So, to help you along your way, our surety specialists have developed this guide to airline reporting bonds.
How much does an ARC bond cost?
If your business has an agent reporting agreement with the Airlines Reporting Corporation (ARC) addressing how your business reports and settles ARC Traffic Documents, you are required to post a surety bond.
Bond amounts are determined by the Airline Reporting Corporation. Bond amounts vary, but must be at least $20,000. Since the amount of the bond varies, the premium an applicant will pay also varies. The premium an applicant pays is based on a review of their credit report. An applicant with exceptional credit could pay as little as 1% of the total amount of the bond.
Select your state below for more information about airline reporting bonds in your area, or give us a call at 1 (800) 308-4358.
Why do I need this bond?
The Airlines Reporting Corporation is a company which provides ticket transaction settlement services between airlines and travel agencies (both traditional and online) and the travel management companies that sell their products in the United States.
All ARC-Accredited Entities need a bond. This includes all of the following:
- ARC-Accredited Agents (also called Ticket Reporting Agents or TRAs)
- Corporate Travel Departments (CTDS)
- Sovereign Entity Agents (SEAs)
- Sovereign Entity Corporate Travel Departments (SECTDs)
By posting a bond, the principal guarantees to comply with the provisions of the Agent Reporting Agreement and to pay all amounts owed to the Airlines Reporting Corporation. Following the provisions and posting a surety bond is mandatory for being an ARC-Accredited Agency and listed on the ARC Agency List. Apply now to get a free price quote!
What’s the fine print?
Airline reporting bonds are in effect for one year and must be renewed annually until claimed against or cancelled. The surety has the right to cancel the bond at any time by giving 30-days’ written notice to the principal and obligee. Apply today!
How to become an airline reporting company
To be placed on the ARC Agency List, you must submit an application to the Airline Reporting Corporation. All applicants must also submit the following:
- A non-refundable $2,000 application fee
- A $210 annual fee
- A surety bond in the correct amount
Additional resources and application information can be found below.
Understanding surety bonds
Surety bonds hold business professionals responsible for acting ethically and lawfully while on the job. When it comes to airline reporting bonds, the obligee requiring the bond is the Airline Reporting Company, the principal required to purchase the bond is the company trying to become ARC-Accredited and the surety responsible for producing the bond is the underwriting company.
For more information submit a bond request to get in touch with a bonding professional today.