US DOT: Airlines must refund cancelled flights
October 31, 2024
Airlines are now mandated to provide automatic refunds to customers for cancelled and significantly delayed flights, following a new US Department of Transportation rule that took effect this week.
Under the new rules, refunds must be issued automatically, without unnecessary hurdles, and must be provided promptly—either in cash or to the original payment method—for the full ticket amount. While this may not ease the frustration of dealing with flight delays and cancellations, it ensures you will receive your money back when an airline fails to transport you as promised, without the hassle of filing paperwork. The rule also aims to motivate airlines to reduce disruptions.
Defining a “significant” delay
For the first time, the rule clarifies what constitutes a “significant change” to a flight. A significant change now includes delays of three hours or more for domestic flights and six hours or more for international flights. Any alterations to the departure or arrival airport, or the addition of a connection, also qualify.
Itinerary changes
Passengers who are downgraded to a lower class of service or placed on a less accessible aircraft for passengers with disabilities are entitled to an automatic refund.
Baggage delays, Wi-Fi issues and seat changes
The new regulation also covers baggage delays. If checked luggage doesn’t arrive in a reasonable timeframe, airlines must refund any baggage fees paid. Refunds are due if luggage isn’t delivered within 12 hours for domestic flights or within 15-30 hours for international flights, depending on the flight’s duration. Also, if you pay for Wi-Fi but it fails to work, or if you pay to select a specific seat but are reassigned, you are entitled to a refund for those services.
