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Business News

Travel chaos worsens amid government shutdown

todayNovember 4, 2025

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(NEW YORK) — Travelers with plans to fly amid the government shutdown are searching for refund policies related to flight delays or cancellations, as well as information on what resources are available to them if a booking is significantly impacted by the continued ripple effects and possible airspace closures.

Here’s what travelers facing potential snafus need to know in order to rebook or get a refund with ease.

Refund policies for flight delays or cancellations

The Department of Transportation set out new rules regarding refunds last year, which are required by law for purchased airline tickets and fees for related services, making them automatic, prompt, in the form of the original payment and for the full amount.

According to the policy, travelers also have the option to accept alternative arrangements or travel credits if their original travel is impacted.

“If you chose to take a significantly delayed/changed flight or an alternative flight offered by the airline, you are not entitled to a refund under DOT rules,” the department’s website notes.

Canceled flights

A ticketed passenger is “entitled to a refund if the airline cancelled a flight, regardless of the reason, and the consumer chooses not to travel,” the DOT website states.

Experts say travel insurance is crucial: Here’s how it actually works

Clear disruption definitions

The DOT website currently states that consumers are also “entitled to a refund if the airline significantly delays a flight or significantly changes a flight and the consumer chooses not to travel.”

“Significant disruptions” are clearly defined across all airlines as a delay of three hours or more for domestic flights and six hours or more for international flights.

Previously, the duration that constituted a significant delay varied across most airlines. Some considered 90 minutes to be significant, while others considered it to be upward of four hours.

Baggage delay refunds

If a bag is delayed for more than 12 hours (or 15-30 hours for international flights), travelers are eligible for refunds on bag fees.

“To calculate how many hours your bag has been delayed, use the time you were given the opportunity to deplane from a flight at your final destination airport as the beginning of the delay and the time you picked up the bag from the arrival airport or the bag was delivered to a location that you and the airline have agreed on as the end of the delay,” the DOT website states.

In order to receive the baggage fee refund, passengers must file a “mishandled baggage report” with their airline, the agency states.

Refunds for unfulfilled ancillary services

If airlines don’t deliver on ancillary services such as Wi-Fi or lounge access, travelers can request refunds for those services.

Airlines are required to provide live customer service communication channels around the clock, whether through live chat or phone support.

Department of Transportation response to travel impacts amid shutdown
Transportation Secretary Sean Duffy said Tuesday that his department might be forced to shut down airspace in certain parts of the country if the government shutdown, now in its 35th day, continues into next week.

“You will see mass flight delays. You’ll see mass cancelations, and you may see us close certain parts of the airspace, because we just cannot manage it because we don’t have the air traffic controllers,” he said.

Air traffic controllers are considered essential workers and are exempt from being furloughed during the shutdown. More than 13,000 air traffic controllers are expected to work without pay for the duration of this current shutdown, according to the DOT.

The agency has said it will continue to share operational updates amid the federal shutdown, despite the lapse in funding. Airport updates, including information on delays, closures and ground stops, can be found on the agency’s website.

Copyright © 2025, ABC Audio. All rights reserved.

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Written by: ABC News

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