Travel Agent Licensing Requirements

Share

417

If you love to travel, being a travel agent can be a dream job.

It’s relatively easy to get started, and most states don’t require you to be licensed or have specific training requirements.

Despite this, or perhaps because of it, knowing exactly what licenses or certifications you need to be a travel agent can be confusing.

The good news is, you’ll find everything you need to know right here.

States That Require Travel Agent Licenses

First, let’s take a look at the four states that require travel agent licenses.

These are known as sellers of travel states and include California, Florida, Hawaii, and Washington.

You’ll need a license for the state if you plan to operate in the state or to sell travel to residents of these states, you’ll need to be licensed.

You may have noticed that three of these states are very popular travel destinations, so it’s difficult to make it as a travel agent without being able to sell trips in these states.

Not everyone needs to be licensed, however.

If you work with a host agency, you will use their license instead of getting your own.

These states have certain requirements that you must meet.

You’ll need to submit an application and pay the registration fee.

You may also be required to use a trust account or have a surety bond.

Several other states have some type of licensing requirement, including Delaware, Illinois, and Nevada.

The requirements vary by state, but you may be required to have an occupational license or pay a licensing fee.

Host Agency vs. Independent Agent

When becoming a travel agent, you have two main options.

You can work with a host agency, or you can be an independent travel agent.

Host Agency

When you join a host agency, you’ll be using the agency’s credentials.

This can make it much easier to get started as a travel agent.

You’ll also have access to the agency’s network of suppliers, marketing materials, and exclusive discounts.

The downside of this is that you’ll need to comply with their regulations and procedures.

You’ll also need to pay a portion of the commissions you earn to the host agency.

However, it’s still possible to earn more with a host agency, despite giving them a percentage of your commissions.

Independent Travel Agent

As an independent travel agent, you’ll be able to run your business the way you want, as long as you are following all local and federal laws and regulations.

The downside is that you’ll need to get accreditations on your own, which requires time and money.

You may also need experience to get these accreditations.

It’s possible for you to begin your career as an independent travel agent.

However, it’s often easier to begin working with a host agency.

Then, you can transition to being an independent agent once you have experience.

Credentials

You may also need some credentials to be a successful travel agent.

These include the IATA (International Air Transport Association), CLIA (Cruise Line International Association), and TRUE (Travel Retailer Universal Enumeration).

If you are working with a host agency, you will probably use their credentials.

However, if you are an independent agent, you’ll need these credentials to book flights, cruises, and accommodations.

International Air Transport Association

The IATA offers the IATAN accreditation for individuals and businesses in the U.S.

To become accredited, you’ll need to show that you have an established travel business.

You’ll also need to pay the registration fee and get errors and omissions insurance.

You’ll also need at least 2 years of experience.

You can forgo this requirement if you complete an approved training program.

The IATAN allows you to purchase airline tickets directly.

Without it, you’ll need to go through a third party, which means extra time and expense.

You’ll also have access to discounts, and credibility with hotels and other travel-related businesses.

You’ll receive an IATAN number and a physical and digital I.D. card.

In addition to booking discounts, you’ll get 50% off on training programs offered by the IATA.

Cruise Line International Association

Plan to book cruises?

You’ll need a CLIA number provided by the Cruise Line International Association.

If you work with a host agency, you can simply use their CLIA.

If you are an independent travel agent, you’ll need to get your own.

You can become a travel agent member or TAM.

You’ll pay a fee of $399.

You’ll also need to meet any federal and local regulations to qualify.

As long as you are running your business legitimately, you are covered here.

This is a booking credential and allows you to book with cruise lines and many other businesses, including hotels.

However, it doesn’t allow you to book with airlines.

Once you become a TAM, you can get an individual agent membership or IAM.

This is not a booking credential.

Instead, it gives you access to CLIA’s wide variety of training programs and the certifications that come with them.

If your business focuses on cruises, this is the way to go.

The training for these certifications is rigorous and can involve ship inspections and even taking a cruise trip yourself, along with completing the education modules.

You’ll need to take the introductory course, State of the Industry, to maintain your IAM status.

This course is free of charge with your membership.

Computerized Corporate Rate Association (TRUE)

TRUE (Travel Retailers Universal Enumeration) is another accreditation you should consider, particularly if you are a niche travel agent.

TRUE is similar to the above accreditations.

However, you’ll have access to different travel service providers.

Your TRUE code allows you to book with amusement parks, car rental companies, cruise lines, and tour operators.

To get this credential, you’ll need at least 6 months of experience as a travel agent.

You’ll also need to provide proof that you are meeting your state’s requirements as a seller of travel, and 3 business references