TICO Exam Practice 2026/2027 – Travel Industry Council of Ontario Certification
| 100 Practice Questions with Verified Answers & Detailed Explanations |
Complete Study Guide for Ontario Travel Industry Act & Regulation 26/05 |
Instant PDF Download
TICO Exam Study Guide 2026/2027 – Complete test bank with 100 questions and verified answers. Perfect for
Travel Industry Council of Ontario certification candidates. Covers all exam domains: registration compliance,
consumer protection, Compensation Fund (funded by registrants, not consumers), advertising requirements,
education standards (new 2026 interactive program), investigations, enforcement, and business record keeping.
Instant PDF download.
⭐⭐⭐⭐⭐ "Better than the official study materials"
– David L., Ontario Travel Professional
"The official TICO materials are dry and hard to follow. This guide breaks everything
down into manageable chunks with clear explanations. The questions on the
Compensation Fund ($5,000 max claim, funded by registrants) and the 12-hour delay
rule were exactly what appeared on my exam. Worth every penny!"
Section 1: Registration & Compliance (Questions 1-20)
1. John creates a company providing walking tours in Thunder Bay. He fails to show up for a booked tour
due to illness. The tourists complain to TICO. Why can TICO not assist?
A) John should have registered with TICO because he is providing a type of travel service
, B) Having the flu is considered force majeure, so tourists have no grounds for complaint
C) Anyone selling guide or sightseeing services in Ontario is exempt from registering with TICO
D) A tour guide is considered an end supplier and therefore exempt from registration
Explanation: Ontario Regulation 26/05 exempts sightseeing and guide services from registration
requirements. John's walking tour business qualifies as a guide service .
2. A person who has not registered with TICO in the previous 12 months must provide a:
A) Refundable security deposit of $10,000
B) Non-refundable security deposit of $10,000
C) Promissory note authorized by a lawyer for $10,000
D) Refundable security deposit of $25,000
Explanation: Ontario Regulation 26/05 requires new registrants (or those re-registering after 12+ months)
to provide a refundable $10,000 security deposit .
3. A man sells travel services without being registered. Upon conviction, what penalty could he face?
A) A fine of not more than $50,000
B) Imprisonment for not more than two years less a day
C) Both a fine of up to $50,000 AND imprisonment for up to two years less a day
D) A fine of not more than $250,000
Explanation: The Travel Industry Act, 2002 allows for both fines and imprisonment for unregistered travel
service sales .
4. What is the time limit for prosecuting offences under the Travel Industry Act after the Director becomes
aware of the facts?
A) Six months
B) One year
C) Two years
D) Five years
Explanation: Prosecutions under the Act must commence within two years of the Director first becoming
aware of the facts .
5. ABC Travel Agency must temporarily relocate due to building renovations. What is their duty to TICO?
A) The agency must inform TICO at least five days before the move
B) No need to inform TICO since the move is temporary
C) Only need to put a note on the door for customers
D) Must inform TICO within a reasonable time after the move
, Explanation: Registrants must provide TICO with at least five days' written notice before any change of
location .
6. According to Ontario Regulation 26/05, a financial statement does NOT need to include:
A) A statement of sales in Ontario
B) A balance sheet or income statement
C) The individual invoices sent to customers during a specific period
D) A reconciliation of the trust account with customer deposits
Explanation: Financial statements require summary sales figures and balance sheets, but not every
individual customer invoice .
7. A trust account may NOT be used to:
A) Borrow funds to keep the travel agency profitable if a customer is late paying
B) Hold customer deposits
C) Pay suppliers for travel services
D) Process refunds to customers
Explanation: Trust accounts are for customer funds only. Borrowing from trust accounts for operating
expenses is prohibited .
8. Operating expenses such as advertising bills may be paid from:
A) The trust account only
B) The general account only
C) Either the trust or general account
D) Neither account
Explanation: Only the general account can be used for operating expenses. Trust accounts are strictly for
customer deposits .
9. A reconciliation of the trust account with customer deposits:
A) Is never required
B) Is optional for small agencies
C) IS required in financial statements
D) Is only required if requested by TICO
Explanation: Trust account reconciliation is a required component of financial statements submitted to
TICO .
10. ABC agency has been in business for six months. The advertising bill must be paid. Can ABC take
money from the trust account?
| 100 Practice Questions with Verified Answers & Detailed Explanations |
Complete Study Guide for Ontario Travel Industry Act & Regulation 26/05 |
Instant PDF Download
TICO Exam Study Guide 2026/2027 – Complete test bank with 100 questions and verified answers. Perfect for
Travel Industry Council of Ontario certification candidates. Covers all exam domains: registration compliance,
consumer protection, Compensation Fund (funded by registrants, not consumers), advertising requirements,
education standards (new 2026 interactive program), investigations, enforcement, and business record keeping.
Instant PDF download.
⭐⭐⭐⭐⭐ "Better than the official study materials"
– David L., Ontario Travel Professional
"The official TICO materials are dry and hard to follow. This guide breaks everything
down into manageable chunks with clear explanations. The questions on the
Compensation Fund ($5,000 max claim, funded by registrants) and the 12-hour delay
rule were exactly what appeared on my exam. Worth every penny!"
Section 1: Registration & Compliance (Questions 1-20)
1. John creates a company providing walking tours in Thunder Bay. He fails to show up for a booked tour
due to illness. The tourists complain to TICO. Why can TICO not assist?
A) John should have registered with TICO because he is providing a type of travel service
, B) Having the flu is considered force majeure, so tourists have no grounds for complaint
C) Anyone selling guide or sightseeing services in Ontario is exempt from registering with TICO
D) A tour guide is considered an end supplier and therefore exempt from registration
Explanation: Ontario Regulation 26/05 exempts sightseeing and guide services from registration
requirements. John's walking tour business qualifies as a guide service .
2. A person who has not registered with TICO in the previous 12 months must provide a:
A) Refundable security deposit of $10,000
B) Non-refundable security deposit of $10,000
C) Promissory note authorized by a lawyer for $10,000
D) Refundable security deposit of $25,000
Explanation: Ontario Regulation 26/05 requires new registrants (or those re-registering after 12+ months)
to provide a refundable $10,000 security deposit .
3. A man sells travel services without being registered. Upon conviction, what penalty could he face?
A) A fine of not more than $50,000
B) Imprisonment for not more than two years less a day
C) Both a fine of up to $50,000 AND imprisonment for up to two years less a day
D) A fine of not more than $250,000
Explanation: The Travel Industry Act, 2002 allows for both fines and imprisonment for unregistered travel
service sales .
4. What is the time limit for prosecuting offences under the Travel Industry Act after the Director becomes
aware of the facts?
A) Six months
B) One year
C) Two years
D) Five years
Explanation: Prosecutions under the Act must commence within two years of the Director first becoming
aware of the facts .
5. ABC Travel Agency must temporarily relocate due to building renovations. What is their duty to TICO?
A) The agency must inform TICO at least five days before the move
B) No need to inform TICO since the move is temporary
C) Only need to put a note on the door for customers
D) Must inform TICO within a reasonable time after the move
, Explanation: Registrants must provide TICO with at least five days' written notice before any change of
location .
6. According to Ontario Regulation 26/05, a financial statement does NOT need to include:
A) A statement of sales in Ontario
B) A balance sheet or income statement
C) The individual invoices sent to customers during a specific period
D) A reconciliation of the trust account with customer deposits
Explanation: Financial statements require summary sales figures and balance sheets, but not every
individual customer invoice .
7. A trust account may NOT be used to:
A) Borrow funds to keep the travel agency profitable if a customer is late paying
B) Hold customer deposits
C) Pay suppliers for travel services
D) Process refunds to customers
Explanation: Trust accounts are for customer funds only. Borrowing from trust accounts for operating
expenses is prohibited .
8. Operating expenses such as advertising bills may be paid from:
A) The trust account only
B) The general account only
C) Either the trust or general account
D) Neither account
Explanation: Only the general account can be used for operating expenses. Trust accounts are strictly for
customer deposits .
9. A reconciliation of the trust account with customer deposits:
A) Is never required
B) Is optional for small agencies
C) IS required in financial statements
D) Is only required if requested by TICO
Explanation: Trust account reconciliation is a required component of financial statements submitted to
TICO .
10. ABC agency has been in business for six months. The advertising bill must be paid. Can ABC take
money from the trust account?
