When flying from a US airport, opting for a UK or EU airline could offer significant protection, particularly concerning compensation for delays or denied boarding. Understanding the differences in passenger rights under the Civil Aviation Authority (CAA) and Federal Aviation Administration (FAA) regulations highlights why a non-US carrier might be a better choice.
Compensation for Delays
Under European Union Regulation 261/2004 (EU261), passengers on flights operated by EU airlines are entitled to compensation for long delays. This regulation applies to any flight departing from an EU airport or arriving at an EU airport on an EU carrier. Compensation can range from €250 to €600, depending on the length of the delay and the flight distance. For example, if a flight from New York to London on British Airways is delayed by more than three hours, passengers are entitled to compensation.
In contrast, the FAA does not mandate compensation for delays. US carriers are only required to compensate passengers in cases of overbooking and subsequent denied boarding. Delays due to weather, technical issues, or operational reasons do not obligate US airlines to offer any financial recompense. Therefore, a flight delay with a US carrier like American Airlines or Delta may leave passengers without any compensation.
Denied Boarding Compensation
EU261 also provides robust compensation for denied boarding due to overbooking. Passengers involuntarily denied boarding are entitled to compensation ranging from €250 to €600, again depending on the flight distance. Additionally, airlines must offer rerouting or a full refund, as well as meals, accommodation, and transport if needed.
In the US, the Department of Transportation (DOT) requires airlines to compensate passengers denied boarding involuntarily due to overbooking. Compensation is based on the delay’s length and the ticket price, with a maximum of $1,350. While this provides some protection, the compensation amounts and additional benefits are generally less favorable than those under EU261.
Practical Examples
Consider a scenario where a passenger flying from New York to London experiences a significant delay. If the flight is operated by British Airways, the passenger could receive up to €600 under EU261. However, if the same delay occurs on a flight with United Airlines, the passenger may receive no compensation at all.
Similarly, if a passenger is denied boarding on a Lufthansa flight from Chicago to Frankfurt due to overbooking, they are entitled to substantial compensation and comprehensive assistance under EU261. On a comparable flight with a US carrier, while compensation is available, the amount and associated benefits may be considerably less.
Beware of the Compensation Loophole
It’s important to note that US airlines are liable to pay compensation on flights originating from UK or EU airports but not on flights from US airports to EU or UK destinations. This loophole catches many passengers off guard. For instance, a flight from London to New York on Delta would be subject to EU261 compensation rules, but the return flight from New York to London would not be, leaving passengers without protection if issues arise on the outbound journey. A UK or EU airline would pay compensation in both directions.
Gulf carriers like Emirates, Qatar Airways, and Etihad can also exploit the inbound loophole in compensation regulations. Under EU261, airlines are only obligated to pay compensation if the flight departs from an EU airport or if the airline is based in the EU. Since these Gulf carriers are not EU-based, they are only required to follow EU261 rules on flights departing from the EU. For flights originating outside the EU, such as those from the US or the Middle East into Europe, they are not legally bound to provide compensation for delays, cancellations, or denied boarding. This means passengers flying inbound to the EU on these airlines may find themselves without the same level of protection offered by European carriers, even if the flight experiences significant disruptions.
By operating outside of EU jurisdiction for inbound flights, these Gulf carriers can avoid compensation obligations that EU-based airlines would have to meet under the same circumstances. This legal distinction allows them to minimise compensation costs while offering competitive fares and services on long-haul routes.
BG1 Verdict
Choosing a UK or EU airline over a US airline when flying from a US airport can offer greater protection and compensation in the event of delays or denied boarding. Regulations under EU261 provide significant financial compensation and comprehensive assistance, which are generally more favourable than the protections offered by US carriers under FAA and DOT regulations. For anyone booking a flight, understanding these differences can make a substantial impact on the overall travel experience and peace of mind.
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