The Department of Transportation’s new refund rule for air travelers is now in full effect.
If your flight is canceled or delayed by more than three hours for a domestic route, or six hours for an international route, you are automatically entitled to a refund.
“Passengers deserve to get their money back when an airline owes them something — without the headaches or haggling,” Transportation Secretary Pete Buttigieg said in a statement when the scheme was announced this spring. “Our new rule sets a new standard to require airlines to provide immediate refunds to their passengers.”
Some parts of the DOT’s new rule took effect as early as May when Federal Aviation Administration funding was reauthorized, but some provisions had a longer lead time for implementation. Buttigieg underlined in a letter to airline executives in July what the new rules would mean for travelers and airlines.
Here’s what travelers need to know about how the new rule works and what they are entitled to.
Refunds for canceled flights
Even before the new rule was announced, the DOT required airlines to provide refunds to travelers whose flights were canceled as long as they chose not to take alternative flights offered by the airline.
The DOT policy clarifies how and when these refunds should be processed. Under the latest guidelines, an airline must issue refunds automatically, without passengers specifically requesting them. Airlines and ticket agents are also required to complete refunds within seven days for credit card purchases, and within twenty days for other forms of payment.
Refunds must be made to the original payment method. They cannot be covered by airline vouchers or credits if the tickets have not been paid for in that way. And refunds must cover the full, unused value of the ticket. Airlines are not required to provide refunds for portions of an itinerary that were already flown before the trip was canceled.
Cruise height: Bumped by a flight? What airlines owe you, and why it might be nothing.
Refunds for delayed flights
The bigger change in DOT policy is the way it clarifies what counts as a significant delay. While the previous policy was ambiguous, the new rule specifies that delayed flights after three hours for a domestic route or after six hours for an international route are eligible for a refund. These terms apply to both departure and arrival delays.
The policy also covers “significantly modified” flights, which the DOT says means “departure or arrival from another airport; increase in the number of connections; cases where passengers are downgraded to a lower class of service; or connections at different airports or flights. on different aircraft that are less accessible or accommodating for a person with disabilities.”
All refund guidelines for cancellations also apply to delayed flights. This means that refunds must be made automatically and in full via the original payment method.
Refunds for baggage problems
Passengers are now also entitled to a refund of checked baggage fees if their baggage does not arrive at their destination on time. Under the DOT’s new rule, baggage fees will be refunded for passengers who file a mishandled baggage claim if their bags are not delivered within 12 hours on a domestic route, or 15-30 hours on an international route, depending on the length of the flight flight .
Airline fare reimbursements
The DOT rule also requires airlines to provide refunds for charges such as inflight Wi-Fi, seat selection or inflight entertainment if the passenger paid for such a service but it was not functional or unavailable during the flight.
Medical and government travel exemptions
Passengers will also soon be entitled to an airline credit valid for at least five years from the date of issue if they are restricted by a government or advised by a medical professional not to travel because they are diagnosed after booking a flight of a serious communicable disease. Under DOT policy, airlines may require passengers applying for this credit to provide documentary evidence to support their request. This part of the policy won’t go into full effect until May.
Zach Wichter is a travel reporter for USA TODAY based in New York. You can reach him at zwicher@usatoday.com.
This article originally appeared on USA TODAY: Automatic refunds now required for delayed and canceled flights
