“The rule is that if you get bumped and the airline can get you to your destination within two hours of your original scheduled arrival time, you’re entitled to cash equal to the value of your one-way ticket, with a max of $400. If you get there more two hours late, you get double the value, up to $800. Not bad, huh?
But now, the Department of Transportation is changing the rule so that this will go up substantially. Now, if you arrive within two hours, you’ll get double the value of your ticket, up to $650. If it’s more than two hours, you’ll get four times the value, up to a whopping $1,300.”
To me, this is a good strategy for addressing the issue of airlines overbooking flights. No one wants to get bumped if they really have somewhere to be. More money when that happens? Ok, cool.
I also think it’s a good idea to not ban the overbooking policy as a whole because it’s a safe bet airfare would go up across the board as a result. The news article I mentioned earlier explains this pretty well…or you can go to the source and take a look at details there.
Now that you’ve done that, what do you think about this new policy? Let me know. There is a flip side to all of this so please feel free to disagree 🙂