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87% of Travelers Don't Claim Airline Compensation for Lost Luggage

Sept. 27, 2018
2 min read
Couple waiting for luggage at baggage claim
87% of Travelers Don't Claim Airline Compensation for Lost Luggage
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These days, airlines seem to always be finding new and creative methods to nickel-and-dime passengers. However, it turns out that one of the many significant ways that air travelers lose money is actually completely preventable – they just don't know about it.

Case and point: a new survey by passenger rights group AirHelp that found 87% of travelers don't claim airline compensation for lost luggage, and 90% of passengers don't know the full extent of their airline rights. That adds up to a whopping $6 billion in compensation left unclaimed globally by passengers each year.

The study, conducted in February 2018 through SurveyMonkey, asked 2,000 participants involved were all over 18 years old and lived in the United States. The survey further found that 31% didn't know about their rights period, and 29% didn't know how to file a claim with an airline carrier.

Henrik Zillmer, CEO of AirHelp, believes that it is the airline's responsibility to inform passengers of their rights. "Many U.S. travelers are unaware of their rights under the Montreal Convention, which was ratified by more than 120 countries," says Zillmer. "It protects passengers when their luggage is delayed, damaged or lost while in the care of the airlines."

The Montreal Convention is an agreement that was installed to protect passengers rights to compensation. Drafted in 1999, the convention states that airlines are liable for lost baggage up to 1,131 Special Drawing Rights (SDRs), which is equivalent to about $1,525. And that's not even including the US Code of Federal Regulations, which set the limit for compensation for lost baggage at no less than $3,500. Meaning that passengers entitled to compensation in the thousands are not getting what they are owed, hence the $6 billion left in the ether.

With airlines raising bag fees frequently (and bags returning damaged, late, or even shredded and burnt to a crisp), it's time now more than ever to know your rights as an air traveler. Last August, AirHelp held the first "Passenger Rights Awareness Month," however plenty of people are still in the dark.

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If your bag gets lost or damaged at the airport, don't sweat it. We've compiled a guide of what you should do to earn proper compensation.

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  • Packed with credits foodies will enjoy
  • Solid welcome bonus

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  • Not as useful for those living outside the U.S.
  • Some may have trouble using Uber and other dining credits
  • You may be eligible for as high as 100,000 Membership Rewards® Points after you spend $6,000 in eligible purchases on your new Card in your first 6 months of Card Membership. Welcome offers vary and you may not be eligible for an offer. Apply to know if you’re approved and find out your exact welcome offer amount – all with no credit score impact. If you’re approved and choose to accept the Card, your score may be impacted.
  • Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year.
  • Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year.
  • Earn 3X Membership Rewards® points per dollar spent on flights booked directly with airlines or on AmexTravel.com.
  • Earn 2X Membership Rewards® points per dollar spent on prepaid hotels and other eligible purchases booked on AmexTravel.com.
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  • $120 Uber Cash on Gold: Add your Gold Card to your Uber account and get $10 in Uber Cash each month to use on orders and rides in the U.S. when you select an American Express Card for your transaction. That’s up to $120 Uber Cash annually. Plus, after using your Uber Cash, use your Card to earn 4X Membership Rewards® points for Uber Eats purchases made with restaurants or U.S. supermarkets. Point caps and terms apply.
  • $84 Dunkin' Credit: With the $84 Dunkin' Credit, you can earn up to $7 in monthly statement credits after you enroll and pay with the American Express® Gold Card at U.S. Dunkin' locations. Enrollment is required to receive this benefit.
  • $100 Resy Credit: Get up to $100 in statement credits each calendar year after you pay with the American Express® Gold Card to dine at U.S. Resy restaurants or make other eligible Resy purchases. That's up to $50 in statement credits semi-annually. Enrollment required.
  • $120 Dining Credit: Satisfy your cravings, sweet or savory, with the $120 Dining Credit. Earn up to $10 in statement credits monthly when you pay with the American Express® Gold Card at Grubhub, The Cheesecake Factory, Goldbelly, Wine.com, and Five Guys. Enrollment required.
  • Explore over 1,000 upscale hotels worldwide with The Hotel Collection and receive a $100 credit towards eligible charges* with every booking of two nights or more through AmexTravel.com. *Eligible charges vary by property.
  • No Foreign Transaction Fees.
  • Annual Fee is $325.
  • Terms Apply.