US airlines have for years been especially stingy with refunds during irregular operations. If your flight is delayed or cancelled because of something the airline did - staffing, mechanical failures, lack of Kahlua onboard - then they are required to refund you. But for flight issues beyond their control - weather, mainly - it was up to the individual airline's corporate policy whether to refund you. In most cases, they'd give customers a voucher for a replacement flight, and refuse to refund the purchase price unless the customer jumped through several hoops.
But this changes today. The new rules require the following:
- Airlines must give a cash refund if a flight is delayed by more than three hours domestically or six hours internationally - FOR ANY REASON.
- Refunds must be provided within 7 business days if a credit card, and 20 business days if miles/points were used
- If a customer postpones a flight due to illness, the airline must honor their booking and provide them with a travel credit for a future flight that's valid for five years
- Airlines must now refund all taxes and fees to the customer
- Airlines must clearly disclose all ancillary fees - baggage, change fees, seat selection fees, etc.
- Airlines must refund a customer's checked-bag fee if the customer files a report that their bag was damaged or not delivered to them within 12 hours of their flight's arrival
- Airlines must refund customers who pay for Wi-Fi but are unable to access it due to broken shit on the plane
The nation's primary airline lobbying group is holding their fire on this one, considering how loudly consumers have been demanding these changes for years. They'll find a way to make up for any lost revenue, but these changes represent a revolution in how airlines have to treat their paying customers.