Biden-Harris Administration Announces New Rule Requiring Automatic Refunds for Airline Passengers

Washington, D.C. – September 2024
The Biden-Harris Administration has announced a new rule requiring airlines to provide automatic refunds to passengers when flights are canceled or significantly changed. The rule, introduced by the U.S. Department of Transportation (DOT), aims to ensure passengers receive prompt refunds without needing to take any action themselves, improving customer service standards in the airline industry.

Under this new regulation, airlines must automatically issue refunds for flights that are canceled or delayed by more than three hours for domestic flights and six hours for international flights. Additionally, the rule mandates refunds for services that were paid for but not delivered, such as seat upgrades, checked baggage fees, or in-flight services. This policy is part of a broader effort by the DOT to increase transparency and accountability within the aviation sector.

Transportation Secretary Pete Buttigieg highlighted that the rule is designed to reduce the burden on passengers, who have previously had to initiate refund requests or face long waits for resolution. The administration hopes that the regulation will set a new industry standard, ensuring that passengers are treated fairly and compensated without delays.

The rule will go into effect later this year, and airlines will be required to comply fully to avoid penalties.

For more information, visit the full announcement here.

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