Travel Agency Bonds (Seller of Travel Bonds)

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Bonded travel agent handing tickets to clients

What are travel agency bonds?

Travel agency bonds, also called seller of travel bonds, guarantee your business partners and customers that your agency will transfer funds as promised for bookings you make on their behalf. Your business partners may include hotels, cruise lines, resorts, etc. 

Various states require seller of travel bonds, including Iowa, Illinois, California, and Florida. These states use bonds to hold travel agencies accountable, ensuring they handle money properly and forward it to the correct service providers for prospective travelers.

Note: The Airlines Reporting Corporation requires a different type of bond for travel agents, called an ARC bond. ARC bonds ensure airlines receive proper payment for transactions made through ARC’s global distribution system.

Get Your Travel Agency Bond:

Quick Takeaways

  • Your state government may use surety bonds to help regulate the travel industry.
  • Seller of travel bonds guarantee business partners and customers that your travel agency will transfer funds as promised.
  • A travel agency bond also shows other parties that you are a trustworthy, safe business to work with and will uphold your contracts.
  • Your travel agency surety bond may cost as little as $100 if you have good credit.

How do travel agency bonds work?

Travel agency bonds are required at the state level. Your state government may use surety bonds to help regulate the travel industry. The bond guarantees that you will forward the money you receive on behalf of customers appropriately. It also ensures your customers and partners that you will make ethical and legal business decisions and offer legitimate travel options.

Travel agency bonds can also benefit your business. Bonding shows current and potential partners and customers that you are a trustworthy business and will uphold your contracts. It may give them greater peace of mind working with you knowing your business is legitimate and safe.

How do bond claims work?

If you break a contract and cost another party money, they can file a claim against your bond for compensation. If the claim is valid, your surety may cover the costs upfront, then hold you liable for full repayment. To maintain your reputation in the travel industry, follow all applicable laws and fulfill your contracts faithfully.

Travel Agency Bond Requirements for States

If you live in any of the following states, you may need travel agency bonding. Bond requirements, costs, and regulations can vary based on your state and business. Generally, bond requirements range from $10,000 to $50,000. For a $10,000 bond, you might pay anywhere from $100-$300, depending on your credit score and business financials.










Apply for a Travel Agency Bond

Just select your state, pay, and print your bond! We offer the fastest and most secure option for getting the surety bonds you need. Our all-digital platform is intuitive and straightforward, and many of our bonds are issued instantly. Apply on our website or call us at 888-435-4191 to speak with an agent directly.



Founders Ryan Swalve and Zach Mefferd formed the vision for 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.