A bill to amend and extend the National Foundation on the Arts and Humanities Act of 1965, to provide for the improvement of museum services, and to provide indemnities for exhibitions of artistic and humanistic endeavors.

(Reported to House from the Committee on Education and Labor with amendment, H. Rept. 94-680)

Arts and Artifacts Indemnity Act - Authorizes the Federal Council on the Arts and Humanities to make agreements to indemnify against loss or damage such items as works of art, manuscripts, artifacts and objects, and photographs, which are of educational, cultural, historical, or scientific value and the exhibition of which is certified by the Secretary of State as being in the national interest.

Sets forth procedures for application for such indemnity agreements.

Provides that the aggregate of loss or damage covered by such agreements shall not exceed $250,000,000 at any one time, nor shall any such agreement for any single exhibition cover losses or damage in excess of $50,000,000.

Authorizes appropriations to carry out this Act. Requires annual reports to the Congress on claims paid and pending under this Act, and the aggregate value of outstanding agreements entered into under this Act for that year.