TICO Registration Requirements 4 — Questions and Answers
Question 1: Under TICO regulations, which of the following entities is EXEMPT from registration as a travel agent or travel wholesaler?
- A hotel booking directly for its own accommodations only (Correct answer)
- A bus company selling package tours
- An online travel aggregator displaying third-party offers
- A cruise line selling shore excursions bundled with cruises
Correct answer: A hotel booking directly for its own accommodations only
Hotels selling only their own accommodations are exempt from TICO registration because they are not acting as travel agents or wholesalers.
Question 2: If a registered travel agency wishes to open a second branch location in Ontario, what must the registrant do?
- Notify TICO and ensure the branch is listed on the registration (Correct answer)
- Submit a completely new registration application for the branch
- No action is required as the original registration covers all branches
- Obtain a separate TICO certificate only if the branch handles wholesale bookings
Correct answer: Notify TICO and ensure the branch is listed on the registration
Branch locations must be disclosed to TICO and included under the registrant's existing registration, not treated as entirely separate registrations.
Question 3: A travel agency's registration has lapsed because the registrant failed to renew. What is the legal consequence of continuing to sell travel services?
- The registrant may face fines and prosecution under the Travel Industry Act (Correct answer)
- The registrant can continue operating for 60 days under a grace period
- The registrant only needs to post a notice that renewal is pending
- There is no immediate consequence until TICO issues a formal warning
Correct answer: The registrant may face fines and prosecution under the Travel Industry Act
Operating without valid registration is an offence under the Travel Industry Act, 2002, and can result in fines or prosecution.
Question 4: Which of the following best describes the purpose of the TICO Registration Education Program (REP)?
- To ensure prospective registrants understand their obligations under Ontario travel law (Correct answer)
- To provide marketing certification for travel agents selling luxury packages
- To train registrants in GDS booking systems
- To certify travel agents in international destination knowledge
Correct answer: To ensure prospective registrants understand their obligations under Ontario travel law
The REP is designed to educate future registrants about their legal and regulatory responsibilities under Ontario's Travel Industry Act.
Question 5: Under Ontario's Travel Industry Act, 2002, who is responsible for ensuring that employees of a registered travel agency comply with TICO regulations?
- The registered travel agent (the registrant/operator) (Correct answer)
- Each individual employee personally
- The Registrar of TICO
- The Ontario Ministry of Consumer Services directly
Correct answer: The registered travel agent (the registrant/operator)
The registered operator is ultimately responsible for ensuring all employees and representatives comply with the Act and TICO regulations.
Question 6: A travel wholesaler based in British Columbia sells package tours to Ontario consumers exclusively through Ontario-registered travel agents. Must this wholesaler be registered with TICO?
- Yes, because it is selling travel services to Ontario consumers (Correct answer)
- No, because it only deals with registered agents, not directly with the public
- No, because it is incorporated and licensed in British Columbia
- Yes, but only if its annual sales to Ontario exceed $500,000
Correct answer: Yes, because it is selling travel services to Ontario consumers
Any travel wholesaler selling or offering travel services to Ontario residents must be registered with TICO regardless of where the wholesaler is based.
Question 7: What information must a registered travel agency display prominently at its place of business?
- Its TICO registration number and the TICO logo or consumer protection notice (Correct answer)
- Only the owner's name and business hours
- A list of all insurance products offered to customers
- The agency's IATA accreditation certificate
Correct answer: Its TICO registration number and the TICO logo or consumer protection notice
Registered agencies are required to display their TICO registration number and consumer protection information so customers can verify registration.
Under TICO regulations, which of the following entities is EXEMPT from registration as a travel agent or travel wholesaler?