Who Pays In Case Of A Plane Crash? All About Travel Insurance After Ahmedabad Tragedy
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An Air India plane with 242 passengers crashed after takeoff from Ahmedabad, causing casualties. Know about travel insurance and what happens in the case of a flight mishap.
A London-bound Air India plane carrying 242 passengers and crew crashed moments after taking off from the Ahmedabad airport on Thursday afternoon. Several casualties were feared. The tragic Air India crash in Ahmedabad has raised pressing questions about passenger safety and the financial aftermath of such disasters.
The Boeing aircraft, which could be seen losing altitude quickly, crashed in Meghaninagar area near the Ahmedabad international airport around 2 pm.
From airline liabilities to travel insurance payouts, here's a breakdown of how compensation works after a plane crash — and what every air traveller should know.
Airline Liability: What Are Airlines Legally Bound To Pay?
In India, airline liabilities in the event of death or injury are governed by international conventions such as the Montreal Convention, 1999, to which India is a signatory.
Under this, airlines are liable to pay:
Up to 128,821 special drawing rights (SDRs) (around Rs 1.4 crore) per passenger in case of death or bodily injury, irrespective of fault.
Compensation beyond that limit is also possible if the airline is proven negligent.
For international flights, this compensation becomes mandatory under the Convention, but Indian domestic airlines often follow similar standards under DGCA guidelines.
Many comprehensive travel insurance policies offer:
Experts, however, said the benefit goes only to policyholders who actively opt for and purchase a travel insurance plan before flying. Many Indian flyers still overlook this option, especially for domestic flights.
What If A Traveller Didn't Buy Travel Insurance?
If you didn't buy separate travel insurance, you may still be eligible for:
Some passengers are covered under group insurance plans offered by tour operators or employer-sponsored travel policies.
Legal Battles: When Compensation Isn't Straightforward
In several past incidents, families of crash victims have had to wait months or even years for compensation, especially when:
The crash is under investigation
Liability is disputed
The passenger did not have any travel insurance or nominee details
In such cases, families may have to approach consumer courts, civil courts, or grievance redressal bodies like the Insurance Ombudsman.
Why Insurance is Non-Negotiable
The Ahmedabad crash is a grim reminder that air travel, though statistically safe, is not risk-free. The financial and emotional impact on families can be devastating, and insurance can at least ease part of the burden, the expert said.
Things every traveller should do:
N Chandrasekaran, chairman of Air India, said, 'With profound sorrow I confirm that Air India flight, AI 171 operating Ahmedabad-London Gatwick was involved in a tragic accident today. Our thoughts and deepest condolences are with the families and loved ones of all those affected by this devastating event. At this moment, our primary focus is on supporting all the affected people and their families. We are doing everything in our power to assist the emergency response teams at the site and to provide all necessary support and care to those impacted."
An emergency centre has been activated and support team have been set up for families seeking information, he added.
tags :
Air India
Location :
New Delhi, India, India
First Published:
June 12, 2025, 15:10 IST
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