Denied boarding due to overbooked flight? How to get Rs 20,000 as refund

If you have been denied boarding because your flight was overbooked and you have not been offered an alternate flight in the next one hour, you are eligible for a compensation of up 200% of booked one way basic fare + airline fuel charge subject to maximum of Rs 10,000.  However, for any delay beyond 24 hours, a compensation of up to Rs 20,000 has to be paid. 

The passenger will be eligible for a compensation of up 400% of booked one way basic fare + airline fuel charge subject to maximum of Rs 20,000 if airline aranges an alternative flight schedule to depart more than 24 hours of the booked scheduled departure.

These are liable only in cases where the traveller is holding a valid ticket and has presented it on time, according to the Directorate General of Civil Aviation (DGCA).

Overbooking is when the number of passengers who have been given confirmed bookings for flight travel and have reported for the flight well within the specified period ahead of flight departure, is more than the number of seats available. 

In such a situation, the airline must first ask volunteers to give up their seats so as to make seats available for other booked passengers to travel on the flight, in exchange of such benefits as the airline, at its own discretion, may wish to offer and provided that concerned airports have dedicated checked-in facilities/gate arreas which make it practical for the airline to do so. 

Scenario one: An alternate flight scheduled to depart within one hour of the original scheduled departure time is arranged

Your Right: You cannot hold the airline responsible for any comensation for the missed original flight on which you were denied boarding due to over-booking.

Scenario 2: The airline fails to arrange for an alternate flight scheduled to depart within one hour of the original scheduled departure time

Your rights: If the alternative flight is arranged within 24 hours of the original flight’s departure, an amount of up to Rs 10,000 has to be paid as compensation by the airline.

Scenario 3: If the alternative flight is beyond 24 hours of the original flight’s departure

Your right: An amount up to Rs. 20,000 has to be paid as compensation by the airline.

Scenario 4: If you don't opt for alternative flight 

Your right: Airline has to refund full value of your ticket and compensation equal to 400 per cent of booked one-way ticket plus airline fuel charge, subject to a maximum of Rs 20,000.

How long do you have to wait for the refund? 

Immediately, if you made a cash payment to purchase your air ticket. 

Within 7 days if payment has been made using a credit card 

From the travel agent, if payment was made using a travel agent.

What about flight delays? 

According to the DGCA, if the delay is for less than 24 hours from the scheduled departure, you are entitled to meals and refreshments at the airport. If it exceeds 24 hours, you should be provided with hotel accommodations and transfers. However, the choice of hotel is up to the airline.

The airline is not obligated to compensate the flier if the delay is caused due to 'force majeure', meaning unusual and unforeseeable events that are beyond the airline's control, cause cancellation/delay of flight(s) and which could not have been avoided despite taking enough measures, such as events due to political instability, natural disaster, civil war, riot, government order affecting the aircraft, strikes and labour disputes etc.

All airlines operating in India have  to follow the guidelines and protocols issued by DGCA regarding compensations established due to delays or cancellations of flights. Passengers need to ensure that they provide all relevant documents while claiming compensation, failing which the process may get delayed or even canceled.