Free Cancellation, Faster Refunds: Aviation Body Proposes 'Passenger-First' Rules

Air travellers in India may soon get more flexibility and faster refunds, as the Directorate General of Civil Aviation (DGCA) has proposed new passenger-friendly rules for ticket cancellation and amendments.

Under the draft Civil Aviation Requirement (CAR), airlines will be required to offer a "Look-in option" that allows passengers to cancel or change their tickets within 48 hours of booking without any additional charges.

"The airline shall provide a 'Look-in option' for a period of 48 hours after booking the ticket. During this period, passengers can cancel or amend the ticket without any additional charges, except for the normal prevailing fare for the revised flight for which the ticket is sought to be amended," the draft reads.

However, this facility will not apply if the flight is scheduled to depart within five days for domestic flights or 15 days for international flights from the booking date.

"Beyond 48 hours of initial booking time, this option is not available and the passenger has to pay the relevant cancellation fees for amendment," according to the DGCA.

No Extra Fee For Correcting Name Errors Within 24 Hours

Passengers who make a spelling error while booking directly on the airline's website will not be charged extra if they correct it within 24 hours. An "airline shall not levy any additional charge for correction in the name of the same person when the error is pointed out by the passenger within 24 hours of making the booking," the draft states.

The DGCA has also defined clear timelines for refunds.

• Credit card payments: Airlines must process refunds within seven days.
• Cash payments: Refunds must be given immediately at the airline's office.
• Tickets booked through travel agents or portals: The "onus of refund shall lie with the airlines as agents are their appointed representatives", and the process must be completed within 21 working days.

In case a passenger cancels a ticket due to a medical emergency, airlines may provide a refund or offer a credit shell to be used for future travel. The DGCA has invited comments from stakeholders on the draft rules until 30 November.