What compensation are you entitled to if your flight is delayed or cancelled?

Canadians have faced a number of issues flying as travel increases following two years of pandemic restrictions, leaving some stranded or delayed for hours at airports amid ongoing staffing shortages.

As airlines, security, and customs agencies struggle to handle the resurgence in travel, the problems have stranded travellers and delayed the start of vacations for others, leaving many Canadians wondering what rights they have in such situations.

In Canada, air passengers can be compensated for flight delays and cancellations under the Canadian Transportation Agency's Air Passenger Protection Regulations (APPR).

If a flight is delayed or cancelled and the reason is within the airline's control and not safety-related, travellers are entitled to "a specific standard of treatment, compensation, and rebooking or a refund" under the APPR.

CTVNews.ca breaks down what rights passengers have when a flight is delayed or cancelled and how to go about getting compensation.

WHEN ARE PASSENGERS ENTITLED TO COMPENSATION?

According to the APPR, passengers are entitled to compensation if a flight is delayed for more than three hours for an issue that is within the carrier's control, but not related to safety.

Under the federal rules, airline are liable for expenses or damages caused by the delay of a flight, unless the airline can show that it has taken all reasonable measures to prevent what happened.

This applies to all flights to, from and within Canada, including connecting flights.

Under federal rules, airlines have a legal obligation to inform passengers of delays and cancellations, as well as their rights in such situations.

However, Gabor Lukacs, an advocate for Canadian air passengers and the president of the non-profit Air Passenger Rights, told CP24 that passengers should take it upon themselves to do their own research.

"They should never rely on just what the airline's telling them," he said in an interview in April. "Don't ask the airline about your rights, but tell the airlines what your rights are and demand that they respect them."

WHAT KIND OF COMPENSATION ARE PASSENGERS ENTITLED TO?

The amount of compensation for air travellers depends on whether the airline is classified as a large carrier or a small one.

Large airlines are considered to be those that have flown more than two million passengers in each of the two previous years, according to the APPR. This would include Air Canada compensation and British Airways, for example.

All other airlines are considered small carriers. Up until Jan. 12, 2022, Sunwing was considered a large carrier, but after this date its classification was changed to small.

With a large carrier, passengers are entitled to $400 for a delay of three to six hours, $700 for a delay between six and nine hours, and $1,000 for a delay that lasts more than nine hours, according to the APPR. For small carriers, passengers are entitled to $125, $250 and $500 for those delay times, respectively.

Under the federal rules, passengers also have to be compensated up to $2,400 if they were denied boarding because a trip was overbooked, and receive up to $2,100 for lost or damaged luggage.

Airlines may also be on the hook for any other out-of-pocket expenses incurred by the passengers because of the delay, such as parking or lost wages.

WHAT COMPENSATION ARE YOU ENTITLED TO AT THE AIRPORT?

After a departure delay of two hours, airlines are required to provide food and drink in "reasonable quantities" as well as a means of communication, such as free Wi-Fi.

If passengers have to wait overnight for their flight, airlines have to offer hotel or other comparable accommodation free of charge, as well as free transportation to the accommodation.

When a flight is cancelled, or once a delay reaches three hours, airlines are required to offer alternate travel arrangements "in the same class of service and using a reasonable route." Under federal rules, the airline must rebook the passenger on the next available flight operated by them or an airline with which they have a commercial agreement.

For disruptions other than those outside the airline's control, such as weather or unscheduled mechanical issues, a passenger would be entitled to a refund instead of rebooking, if the arrangements offered do not meet their travel needs or there is no longer any purpose for the travel because of the disruption.

As of Sept. 8, airlines will either have to fully refund passengers or rebook them if a flight is cancelled or delayed by three hours or more, as part of new regulations announced by the Canadian Transportation Agency (CTA).

Under the updated rules, airlines will be required to offer a rebooking or refund within 30 days, at the traveller's choice, if it cannot provide a new reservation within 48 hours of a flight cancellation or three-hour delay, including for flight disruptions outside the airline's control.

WHAT'S THE PROCESS FOR FILING A COMPENSATION CLAIM?

To receive compensation for a flight delay compensation or cancellation, travellers must make a claim with the airline in writing within one year of the incident date. Some airlines allow you to make a claim directly on their websites.

According to the APPR, the airline has 30 days to respond by issuing a payment or by telling the traveller why it believes compensation is not owed.

Airlines are required to offer compensation in monetary form, such as cash, cheque, or bank account deposit. Airlines can offer other forms of compensation including vouchers or rebates, but they must have a higher value than the monetary compensation and cannot expire.

The airline must tell passengers in writing the amount of compensation they are owed and the value of any other form of compensation offered.

The APPR says passengers have the right to choose the form of compensation they want. However, when choosing another form of compensation, passengers will be required by the airline to confirm in writing that they are aware financial compensation is available and they are choosing to forego it.

WHAT ARE THE NEXT STEPS SHOULD AN AIRLINE DENY COMPENSATION?

Should the airline not respond to a claim within 30 days, passengers can then submit a complaint to the CTA or go to small claims court.

Lukacs said filing a claim with a major airline is not always easy and sometimes travellers will have to go to court to get the compensation they deserve.

"On day 31, I would just serve the airline with small claims court papers. No point in belabouring it," Lukacs said. "Once they understand that you mean business, once they understand that you are actually willing to go a step further, they are going to come to their senses."

While the APPR advises passengers to do so, Lukacs does not suggest passengers seek help from the CTA.

"We recommend that you go to the provincial small claims courts route because there you are going to get a fair hearing," he said.