Separate legal frameworks govern insurance cover for domestic, intl flights: Govt

The exact amount of maximum payouts, benefit types, and policy conditions are based on individual arrangements between the airline and its insurer

The ministry of civil aviation said that insurance coverage for domestic and international air passengers is governed by separate legal instruments.

Insurance for domestic flights is regulated under Carriage by Air Act, 1972, whereas intnl flights are by Montreal Convention, 1999. (Representative file photo)

Replying to a question by CPI(M) MP John Brittas in the Rajya Sabha on Monday, civil aviation minister Kinjarapu Rammohan Naidu, clarified that insurance for domestic flights is regulated under the Carriage by Air Act, 1972, whereas international flights are governed by the Montreal Convention, 1999, to which India is a signatory. The provisions of the Convention have been incorporated into the same Act through specific clauses.

The statement further noted that both frameworks prescribe liability limits for compensation in cases of death, bodily injury, delay in carriage, or destruction, loss, or delay of baggage. Airlines are required to maintain insurance to adequately cover their liability for both domestic and international operations.

The exact amount of maximum payouts, benefit types, and policy conditions are based on individual arrangements between the airline and its insurer. The requirement for maintaining such coverage is ensured by the Directorate General of Civil Aviation (DGCA) through the Civil Aviation Requirements (CAR), which are followed while issuing Air Operator Certificates to Indian carriers.

The Montreal Convention, 1999, is an international treaty that standardises rules relating to the liability of airlines in cases of death, injury, baggage loss, and delays during international air travel. It replaced earlier frameworks like the Warsaw Convention and aims to ensure uniformity and greater protection for passengers. Under this convention, airlines are strictly liable for damages up to a specified threshold (currently 128,821 Special Drawing Rights or SDRs) and must maintain adequate insurance to cover such liabilities.

In India, the Carriage by Air Act, 1972, governs the legal framework for air transportation. It applies to domestic flights. The act sets liability limits for various scenarios, including bodily injury, loss or damage to baggage, and flight delays. While the Montreal Convention governs international flights, domestic operations fall under national provisions within the same Act, enforced by Indian authorities like the DGCA.