How to Claim Your Airline Compensation in Case of Lost Luggage

When we travel, we are not always guaranteed that everything will go according to plan. Sometimes, things go wrong due to unforeseen circumstances. One of the most dreaded yet sometimes unavoidable problems is loss of baggage.

While it doesn’t happen often, when it happens it could be troublesome especially if the affected customer carries valuable items and necessities in his or her luggage. Aside from lost possessions, it is also a great inconvenience. While we can’t readily prevent these things from happening, at least there are solutions we can seek out if it does.

First of all, passengers should be fully aware of their rights as air passengers before travelling. The Department of Transportation (DOTr) and the Department of Trade and Industry (DTI) previously issued the Joint Administrative Order (JAO) No. 1 Series of 2012 or the Air Passenger Bill of Rights, which details the rights of passengers when it comes to ticket purchasing, booking cancellations, and lost or damaged valuables.

According to the bill, airlines are obliged to shell out PhP2,000 as compensation for every 24 hours that a baggage is delayed upon getting to the destination. If the baggage fails to get to the proper owner within seven days, it is considered lost. Local airlines such as Cebu Pacific and Philippine Airlines follow the air passengers rights when dealing with lost or damaged baggage.

For lost luggage in international flights, our air passenger rights states that airlines shall abide by the appropriate international agreement to determine the applicable compensation. Cebu Pacific, for one, abides by the Warsaw Convention, wherein the passenger can be reimbursed with up to 1,131 special drawing rights, which is equal to USD1,685.19 or approximately PhP87,765.54*. The Warshaw Convention is based on the Montreal Convention of 1999 which covers international carriage of luggage, passengers, and cargos.

For lost or damaged luggage in domestic flights, the maximum amount that an affected customer can be reimbursed with is the peso equivalent of what is set in the convention. According to the website Travel Insurance Review, the compensated amount depends on several factors such as the luggage’s contents and the flight route.

Once travellers notice that their luggage may be missing, the first thing to do is to contact the air courier and follow their given instructions. They can immediately file a missing baggage report and a claim for compensation without having to go through legal procedures; it is within the airline’s authority to do so.

To be sure, travellers should also ask the airline if they need to procure documents such as receipts of the items included in the missing luggage. Some airlines will ask for receipts of the valuable items inside the lost baggage in order to estimate the value of the lost possessions.

The Air Passenger Bill also states that the compensation fee shall be given to the affected passengers on the same date of the incident. The passenger can ask to receive the amount at the airline’s main office or other branches at their own discretion. However, airlines have set deadlines for claiming of compensation. For foreign airlines, usually the deadline for claiming is after the baggage has been officially marked lost.

While it helps to know what to do during these instances, prevention is still better than cure. Here are other tips that can help lessen the risk of losing your luggage.

Travelling, whether for business or vacation, is supposed to be a memorable experience, and while losing our luggage isn’t exactly how we would want to remember a trip, it always helps to know what we can do.

* Based on exchange rate of PhP52.00 for USD1.