SECURITY
Agent
If you're acting as an agent, it's a condition of ABTA membership that you provide us with security in the form of a bond or other applicable security for this purpose. If your business should fail financially, this bond or security will help to ensure that your customers can continue with their travel arrangements or are reimbursed the cost of their travel arrangements.
We'll also ask you to make a contribution to the Travel Agents' Bond Replacement Scheme (TABRS) - a low-cost alternative to bonding. You can normally apply to join the TABRS once you've been in membership for three years.
In exceptional circumstances, we may also ask you to contribute to the Retail Fund.
Principal
ABTA has no bonding requirements for principals, but we ensure that Members acting as a principal provide financial protection for their customers' travel arrangements in accordance with the law.
If you so choose, you can bond your non-licensable packages or single-element business with us.
If you do bond with us, we'll also ask you to make a contribution to the Shortfall Insurance scheme.
In exceptional circumstances, we may also ask you to contribute to the ABTA Principals' Fund.
Information you’ll need to provide
- The information you provide as part of your application will help us to establish whether or not you need to bond with us. If you do, we’ll calculate the level of bond or other form of security that we’ll require.
FAQs
Do I need to obtain my bond before I apply to join ABTA?
No, you don't need to provide a bond until we’ve confirmed that your application’s been approved.
How much will I have to pay for a bond?
This is a matter between you and the bond obligor. The amount you pay will depend on the financial stability of your company and on the way the bond obligor structures their offer. It's likely to take the form of a set fee or a percentage of the total value of the bond.
Do I have to obtain a bond, or can I provide ABTA with some other form of financial protection?
We require all agent Members to provide us with a bond, and can't accept any other form of financial protection, although some Members with agent activity may be allowed full entry into the Travel Agents’ Bond Replacement Scheme (TABRS).
We may, on rare occasions, ask a Member to provide other forms of security in addition to a bond.
If I have a bond with the CAA and a bond with ABTA, does this mean double the paperwork?
Not necessarily. Wherever possible we share documents and procedures with the CAA, which means that you don't need to duplicate your paperwork.
