ECONOMY & WORK
MONEY 101
NEWS
PERSONAL FINANCE
NET WORTH
About Us Contact Us Privacy Policy Terms of Use DMCA Opt-out of personalized ads
© Copyright 2023 Market Realist. Market Realist is a registered trademark. All Rights Reserved. People may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.
MARKETREALIST.COM / NEWS

Don’t panic if an airline leaves you stranded — you might be entitled to financial compensation

Amid more flight delays and other unforeseeable events at airports, the Department of Transportation will compensate passengers. Here's what we know.
UPDATED SEP 18, 2024
Source: Getty Images | kieferpix (Representative)
Source: Getty Images | kieferpix (Representative)
When it comes to traveling, there's an old saying: "Hope for the best, prepare for the worst." Airline passengers were asked to prepare for the worst during the recent outages that jeopardized thousands of flights and left travelers stranded at airports.
 
The Department of Transportation wants to improve flight experiences for Americans, and they have been working on ways to compensate stranded travelers. The DOT has requested that major airlines allow free flight rebooking, provide in-flight meals, and accommodate any hotel arrangements necessary for those whose flights faced ongoing troubles within the industry. Here's what we know.

 

What action is the Department of Transportation taking to compensate stranded travelers?

A Southwest Airline flight board with all departing and arriving flights
Source: Getty Images
 

Per FOX Business, "this rule would, for the first time in U.S. history, propose to require airlines to compensate passengers and cover expenses such as meals, hotels, and rebooking in cases where the airline has caused a cancellation or significant delay," Transportation Secretary Pete Buttigieg said in a statement breaking down the specifics of the new notion, "when an airline causes a flight cancellation or delay, passengers should not foot the bill." However, the rule does have guidelines.

The proposed rule would come into effect "when there is a controllable airline cancelation or significant delay." Suggested forms of compensation for controllable airline cancellations or significant delays could be a meal or meal voucher, overnight accommodations, ground transportation to and from a hotel, or flight rebooking. The rate at which customer service agents address passenger concerns over controllable airline cancellations will also be re-evaluated by airline companies.

This measure of action amends rulings over flight delays and cancellations previously issued by the Department of Transportation. Amendments to their stance on whether passengers would be eligible for financial compensation over flight delays have been made in hindsight of the airline pandemonium that has caused greater upset within the industry. It was reported that federal law didn't require airlines to compensate passengers.

What form of compensation can stranded travelers expect?

 
A United Airlines employee helping a passenger with a flight departures board behind them
Source: Getty Images

In defense of their new ruling, the Department of Transportation has launched FlightRights.gov to keep American travelers up to date about what they may be entitled to. So far, these incentives have been broken into three major categories: cash compensation, travel credit or voucher, and frequent flier miles. The incentives can be redeemed when a cancellation or delay results in a passenger waiting three hours or more from the scheduled departure time.

Forbes reports that similar guidelines have already been in practice by Canadian and European airlines. The Department of Transportation hasn't defined what a controllable airline cancellation or significant delay means when asking airlines to offer some sort of payout to affected patrons. Before this rule, no major U.S. airline offered cash compensation following a three-hour delay. Travelers should know that these new mitigations may take months to go into effect.

The Department of Transportation has worked to obtain reasonable compensation for travelers.

 
A flight attendant with in-flight refreshments
Source: Getty Images

For those saddled with unnecessary costs added onto their already-hefty travel fees, the Department of Transportation is holding airline companies responsible for repayment. This is a reassuring step toward ensuring the U.S. is prepared if the industry faces extreme turmoil again. Airline companies have the means of generating an income and compensating passengers doesn't pose any threat of loss against their earnings.

Providing compensation to ensure customer satisfaction won't even dent airline companies' earnings. The compensation might help ease travelers' pre-flight anxiety now that a "safety net" has been implemented.

This article originally appeared on 8.5.23.

MORE ON MARKET REALIST
Apart from the venture, the boy goes to school while his father is in medical sales.
17 hours ago
The appraiser kept adding to the guest's astonishment by telling her how the basket's value could go up.
18 hours ago
The duo got a little carried away leaving the host, Ryan Seacrest on the sidelines.
19 hours ago
While many succumb to the pressure, a few elite contestants like Helen pull off stunning wins.
22 hours ago
The player was also joined by her family on the stage and they came together for a group hug.
1 day ago
The host was already startled by another contestant talking about putting the boss to sleep.
1 day ago
The entrepreneur was a former Google employee and had left his job for the venture.
1 day ago
The host was acting unfazed by the horror theme on the episode, but the player had other plans.
2 days ago
Fans of the show have been confused about a lot of aspects of the game for a while.
2 days ago
Maggie Sajak, who is the show's social media correspondent, fulfilled the long standing fan request.
2 days ago
The player couldn't contain her excitement after winning $20,000 from the game.
3 days ago
Fans expressed that the pressure of being in a studio must have been too much for the player.
3 days ago
This wasn't the first time O'Halloran did his bit to make the presentation look authentic.
3 days ago
She was pointing to her t-shirt after spinning the wheel as if she had predicted it.
4 days ago
Host Drew Carey has also stepped in as an officiant for couples on the show before.
4 days ago
Harvey told the players that they had no idea about what it is like to be bald.
4 days ago
The newest host of the show has done bizarre things to win over the fans of his predecessor.
4 days ago
Even the cast, including Drew Carey was overjoyed by the 'Miracle' win of the player.
5 days ago
Jennings fiercely competed with Mayim Bialik who was the co-host of Jeopardy! at the time.
5 days ago
Greiner even tried to offer him something better to change his mind even though the deal had been sealed.
6 days ago