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Do airlines have to compensate you for lost luggage? How much and how to get a refund?
Airlines are required by law to compensate passengers for lost or damaged luggage, but the specifics of what to recompense varies.
If your baggage is lost while under the airline’s control during transportation, the airline is obligated to reimburse you for the bag’s contents.
However, there are limits on liabilities, and airlines are not responsible for pre-existing damage or damage caused by improper packing. The Department of Transportation (DOT) limits the liability of domestic airlines for lost, damaged, or delayed baggage to a maximum of $3,800 per passenger.
How to get compensation for lost luggage
Delayed Baggage: What to do and compensation
When your checked bag is missing, airlines are responsible for locating it. Passengers should file a baggage claim promptly and stay in close communication with the airline throughout the process.
Airlines are required to compensate passengers for reasonable, verifiable, and actual incidental expenses incurred due to delayed bags, such as toiletries and clothes. There are no arbitrary daily limits set by airlines for interim expenses.
Lost Baggage: Determining Loss and Airlines’ Responsibilities
Airlines will declare a bag lost depending on their company policy; this is no longer than fourteen days after a flight. Passengers should file a claim promptly, and if the airline unreasonably delays declaring a bag lost, enforcement action by the DOT may be taken.
Once declared lost, the airline is responsible for compensating passengers for the bag’s contents, subject to depreciation and maximum liability limits. The airline must also refund any fees paid for transporting the lost bag.
Receipts or proof may be required for valuable items in the lost bags.
Limits on Baggage Liability
As mentioned, airline liability for domestic flights is limited to $3,800 per passenger. This is the maximum amount they must pay for a lost, damaged, or delayed bag.
For most international flights, the Montreal Convention applies, setting the maximum liability at approximately $1,700. Airlines can pay more, but this is the required minimum.