Arkansas Airline Reporting Corporation (ARC) Bond
An Arkansas Airline Reporting Corporation (ARC) Bond is a specialized surety bond required for travel agents and agencies that plan to issue airline tickets and distribute travel information under the ARC accreditation system.
This bond is a financial guarantee that your business will faithfully handle airline ticket funds and comply with the ARC’s reporting and settlement requirements.
What is an ARC bond?
An ARC Bond is a type of surety bond mandated by the Airlines Reporting Corporation (ARC)—the entity that provides financial settlement services and accreditation for travel agencies in the U.S. Travel professionals must secure this bond before selling airline tickets and accessing ARC systems.
The bond protects airlines and the ARC by ensuring that payments travel agents collect for airline tickets are properly remitted to carriers and reported according to the Agent Reporting Agreement.
Without this bond, you cannot become an ARC-accredited travel agency or conduct airline ticketing through the ARC platform.
Get Your ARC Bond:
Who needs an Arkansas ARC bond?
You need an ARC bond if your business:
- Is a travel agent or travel agency
- Sells standalone airline tickets or vacation packages with airfare
- Wants to become ARC Accredited and use ARC systems for ticketing and reporting
This requirement applies nationally (including Arkansas), regardless of where your travel agency is located.
Why is the ARC bond required?
An ARC bond ensures that:
- Money collected for airline tickets is paid in full and on time to the appropriate airline or ARC.
- Your business follows all ARC reporting protocols and agreements.
- Airlines and ARC are financially protected if payments aren’t forwarded properly.
By securing this bond, your agency demonstrates financial responsibility and integrity, which is essential for maintaining ARC accreditation and trust with carriers and customers.
How do ARC bonds work?
An ARC bond involves three parties:
- Principal: You (the travel agent or agency applying for the bond)
- Surety: The company (like ZipBonds) issuing the bond
- Obligee: The Airlines Reporting Corporation (ARC) requiring the bond
If your agency fails to remit payments as required, someone can file a claim against the bond. Upon a valid claim, the surety may pay up to the bond amount on your behalf, but you’ll be responsible for reimbursement.
Typical Bond Amounts & Costs
- First-year bond amount: Usually $20,000 (set by ARC)
- Cost to obtain: Typically 1%–5% of the bond amount (varies based on credit and financial history)
- Renewal: Bonds renew annually to maintain ARC accreditation.
Your premium is lower than the full bond amount. You only pay the surety’s fee. ZipBonds can provide a fast, competitive quote tailored to your profile.
How to Get Your Arkansas ARC Bond with ZipBonds
Ready to get bonded today? ZipBonds makes it simple. Apply instantly through our secure online form.
ZipBonds Advantages:
- Quick online application — minutes, not days
- Competitive premiums and expert guidance
- Digital bond delivery and annual renewals
- Support across all 50 states
FAQs About Airline Corporation Bonds
Q: Is an ARC bond the same as a travel agency bond?
A: No. An ARC bond is specifically for airline ticketing compliance required by the ARC. Your state may require a travel agency bond for broader travel services. Learn about travel agency bonds here.
Q: Can I use my ARC bond in other states?
A: Yes. ARC bonds are federal/industry requirements, not state-specific licensing bonds — so coverage extends nationwide.
Get Your ARC Bond in Arkansas
ZipBonds is the fastest and most secure option for getting surety bonds. Our all-digital platform is intuitive and straightforward. Apply online, email support@zipbonds.com or call 888.435.4191 to speak with an agent directly.
About ZipBonds.com
Founders Ryan Swalve and Zach Mefferd formed the vision for ZipBonds.com when they realized how overly complicated it was to help clients place surety. The frustration of being unable to incorporate the technology they’d used in other insurance-focused projects left them thinking “there has to be a better way.”
Fast forward a couple of years, and that better way is the impetus of everything we do at ZipBonds. We constantly look for innovative ways to improve the bonding process for our clients and agents. Our team comprises individuals who understand all angles of surety – for companies, agencies, and individuals. Incorporating everyone’s point of view to improve the process while simultaneously integrating cutting-edge technology is what sets our business apart.