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Home Travel

DOT reverses Biden-era auto-reimbursement rule for delayed travelers

INBV News by INBV News
November 27, 2025
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DOT reverses Biden-era auto-reimbursement rule for delayed travelers
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What is that this — the mile lie club?

The Department of Transportation has announced it is going to roll back widely lauded Biden-era plans to reimburse travelers for flight delays and cancellations mechanically.

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Under the previous rule, which was finalized through the previous few months of President Biden’s administration, carriers would have needed to compensate passengers for reasons deemed under the airlines’ control comparable to mechanical issues or staffing shortages, AFAR reported.


Passengers at the airport.
The DOT said that the reversal would allow carriers to “compete on the services and compensation that they supply to passengers.” Paul Hennessy/SOPA Images/Shutterstock

The reimbursement would’ve ranged from $200 to $300 for domestic delays of not less than three hours, and as much as $775 for longer disruptions, PoliticoPro reported. As well as, the carriers would’ve needed to foot the bill for meals and hotel rooms.

Nonetheless, now this proposed safeguard has been nixed with the rollback slated to enter effect Monday. In a document filed within the Federal Register, the DOT argued that the policy would lead to “unnecessary regulatory burdens.”

The department stated that they made a choice according to an executive order that President Donald Trump signed in January on “Unleashing Prosperity Through Deregulation.”

The DOT wrote that rules like the automated reimbursement policy might “discourage airlines from specializing in investments in recent technologies to handle cancellation and delays directly.”

They said that the reversal would allow carriers to “compete on the services and compensation that they supply to passengers.”

This rollback would largely leave it as much as the airlines to determine find out how to reimburse travelers within the event of a disruption.


Sean Duffy.
US Transportation Secretary Sean Duffy speaks to reporters during a visit to the Ronald Reagan Washington National Airport on November 07, 2025 in Arlington, Virginia. Getty Images

Under the updated policy, carriers will still be required to refund passengers for canceled flights. Nonetheless, because it won’t be processed mechanically, they’ll must contact the airline in query to be certain that the reimbursement went through.

The experts at AFAR slammed the measure to offer airlines carte blanche to implement their very own policies because they “vary widely and usually are not legally enforceable.” This will leave flyers prone to getting stranded sans compensation, no matter whether the airline is at fault, they argued.

To make sure they’re compensated, AFAR experts “urged travelers to research the choices they’ve through their bank card or through the travel insurance they purchased.”

Democratic lawmakers were also swift to criticize the reversal. In October, 18 Democratic senators penned joint letter imploring the Trump administration to maintain the reimbursement plant.

“This can be a commonsense proposal: when an airline’s mistake imposes unanticipated costs on families, the airline should attempt to treatment the situation by providing accommodations to consumers and helping cover their costs,” read the correspondence, signed by Richard Blumenthal, Maria Cantwell and Ed Markey, amongst others.

Nonetheless, the rollback has been applauded by airlines, which largely felt that the Biden-era requirements would increase ticket costs and add unnecessary red tape.

In a September 4 statement, Airlines for America — which represents all of the key U.S. carriers — dubbed the principles “unnecessary and burdensome regulations that exceed its authority and don’t solve issues vital to our customers.”

The rollback comes after the Federal Aviation Administration implemented flight cuts at 40 major airports in response to staffing shortages attributable to the shutdown.

The reductions remain in effect for now.

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do you think most people take vacations yearly?

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