An Air India flight heading from Ahmedabad to London crashed minutes after take-off on Thursday afternoon. The plane, a Boeing 787-8 Dreamliner, was carrying 242 people onboard, including crew members. The plane had 169 Indians, 53 British nationals, one Canadian and seven Portuguese nationals on board.
The matter also brings to light the issue of compensation and whether airlines are liable to pay the same. Let’s take a detailed look at the liabilities of flight operators in the case of a tragic incident like a plane crash.
Are Airline Operators Liable To Pay Compensation?
The Montreal Convention of 1999, to which India is a signatory, governs the rules regarding airline liabilities in case of death or injury.
For international flights, compensation is mandatory under the Montreal Convention. The domestic airlines in India often follow similar standards under the guidelines set by the Directorate General of Civil Aviation (DGCA).
The International Civil Aviation Organization (ICAO) announced an increase in the Montreal Convention liability limits for death, injury, baggage, flight delays and cargo issues from December 28, 2024. The liability limits are based on Special Drawing Rights (SDRs), a unit of account that is defined by the International Monetary Fund. According to reports, 1 SDR was equal to US$1.33318 in October 2024.
In case of death, the upper limit of compensation was increased to 1,51,880 SDR from 1,28,821 SDR. In case of international flights to or from India, this means that the compensation could be around Rs 1.8 crore based on the exchange rate. The amount can be higher if there is negligence on the part of the flight operator.
Cases Where Airlines Had To Pay Compensation
In 2020, an Air India Express Flight 1344 from Dubai crashed while landing at Calicut International Airport, resulting in 21 deaths. The aircraft skidded off a wet runway and broke into two. Air India was liable to pay around Rs 1.19 crore each to the next of kin of victims as per the Montreal Convention.
The actual amount next of kin can claim depends on factors like the age of the deceased, their employment and educational status, marital status and number of dependents.
Travel insurance also plays a role in the matter. Comprehensive travel insurance plans provide coverage against a range of risks. This includes accidental death benefits between Rs 25 lakh and Rs 1 crore as well as permanent disability compensation ranging from Rs 5 lakh to Rs 10 lakh.
. Read more on Trending by NDTV Profit.The Montreal Convention of 1999, to which India is a signatory, governs the rules regarding airline liabilities in case of death or injury onboard a flight. Read MoreTrending
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