Icelandair Compensation Policies: Your Guide to Rights & Claims
Icelandair is known for its extensive network, connecting North America and Europe through its Reykjavik hub. As with any major airline, understanding the Icelandair compensation and refund policies is crucial for passengers, especially in case of unexpected flight disruptions. This guide will ensure that you're well-informed about your rights when flying with Icelandair.
Icelandair Compensation Policies
EC 261/2004 Applicability to Flights from Iceland
Although Iceland is not a member of the European Union, EC 261/2004 applies to all flights departing from Iceland and all flights which depart or arrive there on an EU-based airline. This is due to Iceland's participation in the European Economic Area (EEA), which aligns many of its aviation regulations with the EU.
This law establishes comprehensive passenger rights, guaranteeing financial compensation, care, and assistance based on the circumstances of the disruption. This ensures travellers to and from Iceland enjoy the same protections as those flying within the EU.
EC 261/2004 compensation amounts are determined by the distance of the flight:
- Short-haul flights (up to 1,500 km) are eligible for €250
- Medium-haul flights (1,500–3,500 km) are compensated with €400
- Long-haul flights (over 3,500 km) qualify for €600
Another key benefit of EC 261/2004 is its coverage of entire itineraries involving connecting flights.
For example, if an Icelandair flight departs from Reykjavik but a connection is delayed or cancelled, passengers are eligible for compensation for the entire journey. This applies even if the disruption occurs on a subsequent leg outside the EU, provided the booking is on a single ticket.
Icelandair Compensation for Flight Delays
If the cause is within the airline’s control, Icelandair Compensation is granted for flight delays of 3 hours or more at the final destination. Technical faults or operational inefficiencies qualify, whereas extraordinary circumstances like bad weather or air traffic control restrictions do not.
As with all types of disruptions covered by EC 261/2004, the flight delay compensation amounts are as follows:
- €250 for short-haul flights
- €400 for medium-haul flights
- €600 for long-haul flight
In addition to monetary compensation, passengers are entitled to care during the delay. Icelandair must provide complimentary meals and refreshments proportional to the waiting time.
Compensation for Icelandair Cancellations
Flight cancellations are another area where Icelandair ensures compliance with EC 261/2004. Icelandair compensation eligibility depends on the given notice period and the cause of the cancellation. Yet, the airline is not liable for compensation in situations involving extraordinary circumstances.
Cancellation Notice Periods:
- The airline owes no compensation if it notifies passengers at least 14 days before the scheduled departure.
- Notifications provided 7–14 days before departure make you eligible for compensation if the replacement flight’s departure differs by more than 2 hours or the arrival by more than 4 hours.
- Notifications within 7 days of departure require compensation unless the replacement flight departs within 1 hour of the original and arrives within 2 hours of the scheduled time.
The compensation amounts mirror those for delays, ranging from €250 to €600 based on the flight distance.
What happens if you are denied boarding?
Denied boarding can occur when a flight is overbooked or when operational constraints prevent all ticketed passengers from boarding. Icelandair will first request volunteers willing to give up their seats in exchange for compensation. Volunteers typically get offered travel vouchers, rebooking options, or monetary compensation.
When not enough passengers volunteer, the airline denies boarding to select individuals based on criteria such as check-in time or fare class. Such passengers are entitled to Icelandair compensation under EC 261/2004, ranging from €250 for short-haul flights to €600 for long-haul journeys.
Icelandair Refund Policy: When Is a Refund Possible?
Icelandair’s refund policy is straightforward. It is structured around the fare type, the circumstances of the ticket’s cancellation or change, and the reason for the refund request. Passengers may be entitled to a refund in several scenarios, including schedule changes, and involuntary and voluntary cancellations.
Schedule Changes
Passengers are entitled to certain options if Icelandair makes a significant schedule change. According to their terms, significant schedule changes refer to alterations to the flight schedule that affect the departure time by more than 5 hours.
In such cases, passengers can request a full refund for the unused part of the ticket. If the flight has been cancelled, passengers can also request a flight refund of the entire ticket price, including any return flights.
Alternatively, you can choose to be rebooked on the next available flight. If this option is not suitable, you may still choose the refund option.
Voluntary vs Involuntary Refunds
Involuntary refunds apply when Icelandair cancels or significantly alters a flight and the passenger is unable to travel because of these changes.
Depending on the circumstances of the flight disruption, passengers may also be entitled to Icelandair compensation under EC 261/2004. Submit your Icelandair flight claim today, and we will help you find out if you are eligible for monetary compensation.
Voluntary refunds are applicable when passengers choose to cancel their flights for reasons unrelated to operational changes by the airline. For voluntary cancellations, the refund eligibility depends on the fare type purchased.
For non-refundable tickets, Icelandair generally does not issue refunds unless there are exceptional circumstances. Passengers who purchased non-refundable fares are typically only eligible for an Icelandair refund if there has been a major operational disruption by the airline.
Some fare types allow partial refunds but may include booking fees or a no-show fee.
Frequently Asked Questions
What Icelandair compensation can I expect for a flight delayed by more than 3 hours?
If your Icelandair flight is delayed by more than 3 hours, you may be eligible for compensation under regulation EC 261/2004. Compensation amounts range from €250 to €600.
Are EU regulations applicable to flights with a layover outside Europe?
Yes, compensation applies not only to direct flights from the EU but also to flights with layovers outside Europe. For example, if you're flying from a European city to North America with a layover in Reykjavik, and your flight is delayed or cancelled, you would still be eligible for compensation under EU regulations.
Can I receive a refund for non-refundable tickets under exceptional circumstances?
Icelandair refund is available for exceptional circumstances only when the passenger purchases “cancellation protection” with their ticket. This add-on provides access to refunds in cases of medical emergencies or the death of a family member. However, you will need to provide relevant documentation as proof.
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