Obtaining Refunds for Canceled Flights May Become More Difficult in Near Future
The Department of Transportation (DOT) has announced a review of various rules regarding air passenger rights, with tentative deadlines for the review process set between February and May of next year.
Currently, passengers are entitled to a refund of baggage fees if their bags are delayed by 12 hours or more (15 hours on international flights). If an airline cancels a flight or changes or delays it by three hours or more (six hours or more for international flights) and the passenger chooses not to fly, they are entitled to a refund. Passengers are also entitled to a refund of the difference in fare prices if they are involuntarily downgraded to a lower seat class, or if their arrival or departure airport or connecting flight is changed, constituting a significant change.
However, the DOT has withdrawn a proposed rule that would have provided additional cash compensation for flight delays or cancelations. The withdrawn rule, which hadn't taken effect yet, would have entitled travelers to $200 to $775 in cash compensation, depending on the length of the delay and the destination.
The DOT is also reviewing existing consumer protection regulations, which could make it harder to get a refund for a delayed or canceled flight. Some of the most notable consumer protections that could be rolled back in the coming months include a requirement for airlines to disclose all fees and charges upfront, a rule prohibiting airlines from imposing additional fees on passengers who need to change their ticket after buying it, and a rule that requires airlines to provide clear and accurate information about flight delays and cancellations.
It's important to note that passengers are allowed to refuse the offer of a travel voucher or credit and request a refund to their original payment method. Passengers with disabilities are entitled to a refund if a change in aircraft or flight itinerary would make accessibility features unavailable.
If changes are made, new guarantees for passengers may be established. Passengers should always book their flight with a travel card as many offer complimentary trip protection. Refunds must be made within seven business days if paid via credit card, and within 20 calendar days if paid by any other method.
Consumer advocate groups like Skycop and AirHelp have stated that similar mandates in the European Union account for less than 1% of ticket prices for European consumers. If the mandate were implemented in the U.S., they estimate that ticket prices would go up no more than $1 per flight.
In other news, the DOT has not yet decided on changes to the existing consumer protection regulations regarding refunds and other rights for passengers. No specific information is available about what the traffic authority ("Behörde für Verkehr") canceled or discontinued last week.
Airlines and trade associations like Airlines for America have criticized the proposed rule, arguing it would drive up ticket prices. However, the review process is ongoing, and it remains to be seen what changes, if any, will be made to air passenger rights in the coming months.