Hicran
June 3, 2010

Airline passengers would have 24 hours to cancel reservations without penalty and receive as much as $1,300 for being bumped from a flight under a series of consumer protections.

Currently, airlines must pay up to $800 for involuntary bumping of passengers.

The new rules, which will likely go into effect later this year, would also require airlines to fully and prominently disclose baggage fees as well as refunds and expense reimbursement when bags are not delivered on time, provide special notice any time baggage fees are increased and notify passengers buying tickets whether they must pay to check up to two bags.

Price increases after a ticket is purchased would be prohibited under the proposal. Airlines would also have to give passengers timely notice of flight status changes.

The proposal would extend to foreign airlines a three-hour limit on the time airlines can keep passengers waiting on airport tarmacs. The three-hour limit went into effect for U.S. carriers in April.

Currently, airlines may limit compensation to $400 for involuntary bumping of passengers if the carrier arranges substitute transportation scheduled to arrive at the passenger’s destination one to two hours after the passenger’s original scheduled arrival for domestic flights, or one to four hours for international flights.

They limit compensation to $800 if the substitute transportation is scheduled to arrive more than two hours later for domestic flights, or more than four hours later for international flights.