The Department of Transport has been working to simplify the regulation of air traffic, reducing controls over fares and routes. Yet for all this liberalizations, problems remained and new rules have been introduced to protect consumers.
1. Fares
Because there's been a significant increase in the amount of price competition, there's increasing choice for consumers both as to where to buy and how much to pay for the different packages. The rules now require more transparency with all the taxes and fees included in the ticket prices, and all the additional fees for services shown prominently on the websites. This is still short of the more desirable all-in pricing structure, but it's an improvement. Remember if you buy discounted tickets on cheap flights, there are usually penalties for requesting a change or canceling. However, if you merely make a reservation, that price must be held for at least 24 hours.
2. Overbooking
Put any planeload of people together and you can always find some people who are willing to do a deal on giving up their seats should there be overbooking. But when there's no one volunteering and people have to be cut, the DoT requires the airlines to give everyone an explanation of their rights. This is usually cash or a check and the amount payable varies based on the ticket price and how long the flight is delayed. No compensation is payable if you arrive at your destination within one hour of the originally scheduled time. If you're on a domestic flight and arrive within two hours, or on an international flight and arrive within four hours, you get double the ticket price up to a maximum of $650. If the delay is longer, you get four times the ticket price up to a maximum of $1,300. In any event, you get to keep your original ticket and can use it any time in the future. It's always up to the airlines to set their own bumping policies, usually starting with those in the cheap seats on the cheap flights.