US airline passengers may soon receive compensation for disrupted travel plans.
Southwest Airplane
If you’ve flown domestically in the US in recent years, there’s a good chance that you may have experienced at least one flight delay or cancellation. In fact, according to the US Department of Transportation, more than 23% of US flights were delayed in the first half of 2024. The US government is currently working on a solution to ensure passengers aren’t stuck with the bill in the case of flight delays.
As reported by The Dallas Morning News, the Biden Administration is currently working on a proposed rule that would require US airlines to compensate passengers for controllable cancellations or delays of three hours or more. The rule may be issued as soon as January 2025 and would be a game-changer for the US aviation industry and its passengers.
Orlando International Airport
In a meeting on September 10th, Michael Negron, special assistant to the President for economic policy, said, “This is not radical — we are late to the game on this as a country.” The proposed plan would require US airlines to pay a set cash payment amount to each passenger on a disrupted flight and provide compensation for meals and lodging. The exact details and compensation amounts are still being finalized.
Sanford Airport
The European Union has had a similar rule in place for the past 20 years, which applies to US airlines when they operate internationally. EU rules require airlines to compensate travelers between $275 to $660 for controllable cancellations and extended delays, depending on the distance of the flight. Delay compensation rules are also already in place in other countries such as Canada, India, Saudi Arabia, Turkey, Brazil, and China, and Australia is set to pass one this year.
Frontier Plane at the Orlando Airport
Major US airlines currently have differing policies for handling delays and cancellations. All 10 of them will rebook passengers on the same airline when a flight is delayed or canceled and provide meals. Nine out of 10 will provide hotels and ground transportation, but only six will rebook passengers on another airline, and just three in 10 will offer a voucher. Currently, none pay cash for any kind of cancellation or delay.
Orlando Airport
The ultimate goal of the new proposed rule is to incentivize airlines to provide better service. In Europe, flights have a higher on-time rate, which may indicate a strong correlation with the fact that European airlines are required to compensate travelers for long delays and cancellations.
Spirit Airlines at Orlando Airport
Negron says, “Where there’s a clear standard, that is good for the industry and that is good for consumers because everybody understands what’s required. That information can lead to improved services… We can’t make up for the fact that you had to spend nine hours away from your family stuck in an airport or hotel — but we can make sure the airlines are held accountable when it’s something they could have prevented.”
We’ll continue to be on the lookout for more updates about the new proposed policy, so stay tuned to DFB for the latest travel news.
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Yes, Delta Airlines pulled a plane up to a gate they knew could not fly. They literally could not get me to my destination costing me $1800 in a financial hotel and boating experience loss. They refused to compensate for any of those lost expenses. I filed with the DoT and they did nothing. Delta did nothing. Trip insurance did nothing.