US mandates airlines to refund passengers for canceled, delayed flights

Good news for airline travelers. The Department of Transportation (DOT) announced a major win for passenger rights on Wednesday. New regulations will require airlines to automatically provide cash refunds to passengers for cancelled flights and significantly delayed ones.

This long-awaited change eliminates the often frustrating process of battling airlines for compensation in the form of vouchers or credits. Under the new rules:

Passengers will be entitled to a prompt cash refund for the full cost of their ticket, including any airline fees, if their flight is cancelled for any reason.

For domestic flights delayed by more than three hours, and international flights delayed by more than six hours, passengers will also be eligible for a cash refund.

"Passengers deserve to get their money back when an airline owes them – without headaches or haggling," said Transportation Secretary Pete Buttigieg in a statement. "Our new rule sets a new standard to require airlines to promptly provide cash refunds to passengers."

DOT will also require airlines to give cash refunds if your bags are lost and not delivered within 12 hours.

The new regulations come into effect in six months, giving airlines time to adjust their policies. This move is expected to empower passengers and hold airlines accountable for disruptions within their control.