US lawmakers seek to strengthen bill to ensure quick airline refunds

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WASHINGTON (Reuters) – U.S. House and Senate negotiators have agreed to revise language in an aviation reform bill to ensure quick refunds for airline passengers whose flights are canceled and who are not seeking alternative flights.

On April 24, the U.S. Transportation Department finalized new rules that will later this year require automatic cash refunds for canceled flights when passengers choose not to take a new flight. A bipartisan proposal in Congress released last week said passengers must request the refunds. This raised concerns the law could undercut USDOT rule that would ensure people who bought non-refundable tickets got reimbursed for canceled flights.

Instead, refunds would be automatic in many instances under revised language seen by Reuters. But the automatic refunds would not apply if passengers rebooked and accepted a new flight.