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Almost all of the fault current limiters (FCLs) have a negligible voltage drop during normal operation mode of the power system and show considerable impedance during the fault period. In addition, the most of the FCLs employ a reactor to limit the fault current, which carrying a DC current and named DC reactor-based FCL (DRFCL) or carrying AC current named AC reactor-based FCL (ARFCL). Here, a novel ARFCL is introduced for radial distribution networks protection. Then, the ARFCL performance on the limitation of the fault current is compared with DRFCL in a simple radial distribution network. The MATLAB software is used to simulate both FCLs performance and their effect on the fault current. The laboratory prototype of the ARFCL is built and tested for the evaluation of the ARFCL performance during normal and fault operation modes. The simulation and experimental results show the superiority of ARFCL to control the fault current, fast, and set the point of common coupling voltage in an acceptable range.