Airlines don’t have to offer refunds

The Commerce Commission has received 15 complaints relating to flight cancellations since the coronavirus outbreak began wreaking havoc with air travel.

But whether customers get a ticket refund is up to airlines and the terms and conditions of the airfare, the consumer watchdog has warned. Since early February airlines have been cutting capacity, suspending routes and slashing costs to minimise the impacts of the Covid-19 pandemic on their business.

Travellers have been scrambling to rebook flights, or postpone or cancel travel at a time when airline contact centres have been swamped, leaving many inquiries unanswered.

Air NZ, along with many airlines, says it is offering fare flexibility, refunds and credit.

Blenheim resident Peter Jerram said he was still waiting for answers from Air NZ as to whether he would get a refund or credit for an airfare he and his partner could not use due to coronavirus-related disruptions.

Jerram said the couple were on holiday in Tasmania and were due to fly home on March 21 on Air NZ flights. The TasmaniaMelbourne-Wellington-Blenheim flight cost $1300.

On March 18, Air NZ cancelled the Melbourne-Wellington leg, and substituted MelbourneAuckland. But that meant the Tasmania-Melbourne flight would not land in time for the Melbourne-Auckland connection.

Jerram said he tried numerous times to amend the flights with Air NZ online and over the phone. Eventually they booked a $1400 airfare with Virgin and made it home two days earlier than planned. They spent the next two days trying to cancel their pre-existing flights and get a refund or credit.

A Commerce Commission spokeswoman said the 15 complaints were being assessed.

Many airlines and tourism operators were offering refunds or the value of the fare held in credit, she said. ‘‘However, where the cancellation is because of a government travel ban, consumers are unlikely to be entitled to a refund under the Consumer Guarantees Act.’’ The act does not apply to travel or other bookings purchased or made overseas.

‘‘Consumers should check the terms and conditions of their contract with an airline or operator, which should outline the remedies available.’’ People should also check their travel insurance.

Many airlines ... are offering refunds or the value of the fare held in credit.

Commerce Commission