According to a report by Simple Flying, American Airlines is changing its existing policy that provides a flat 40% refund for passengers who experience cabin downgrades. This regulatory adjustment comes after a complaint was filed with the United States Department of Transportation (DOT) regarding the airline's refund practices.
Under the airline's previous policy, passengers who were downgraded from their booked cabin classes received a flat percentage refund of their ticket price. With the newly updated policy, American Airlines will now calculate refunds for downgraded passengers using the average fare as a baseline, rather than simply refunding a flat percentage of the ticket cost.
