DGCA Mandates Free 48 Hour Cancellation Window, Faster Refunds, Free Corrections, and Better Protection

India’s aviation regulator, the Directorate General of Civil Aviation (DGCA), has introduced a landmark set of passenger-friendly reforms that will come into effect on 26 March 2026. At the heart of the new framework is the introduction of a compulsory 48-hour “look-in option”, a cooling-off period that allows passengers to cancel or amend their flight bookings without incurring any additional charges, provided the ticket was booked directly through the airline’s own website.

During this window, travellers may change their flight or cancel it entirely without penalty, save for any difference in fare applicable to a revised booking. The reform marks a significant departure from the status quo, under which airlines have long been permitted to apply cancellation and amendment fees from the moment a ticket is purchased. The DGCA stated that these amendments, issued under Section 3 of Civil Aviation Requirements, were introduced specifically to address what it described as “widespread passenger grievance” over delayed or withheld refunds and opaque fee structures.

However, the look-in option does carry notable restrictions. It will not be available for domestic flights departing within seven days of the booking date, nor for international flights departing within 15 days. Once the 48-hour window has elapsed, the standard cancellation charges will apply, and passengers will no longer be entitled to amend their ticket without incurring fees.

Name Corrections and Transparency at the Point of Sale

Alongside the look-in option, the DGCA has introduced a rule addressing one of the most persistent irritants in air travel: the cost of correcting a passenger’s name. Under the new norms, airlines are prohibited from levying any additional charge for a name correction if the error is identified and reported by the passenger within 24 hours of booking, provided the ticket was purchased directly through the airline’s website.

This rule targets the frustration experienced by countless travellers who have booked a ticket in haste, noticed a typographical error shortly afterwards, and then been presented with a disproportionate administrative fee to rectify it. The new provision removes this charge entirely within the designated window, placing the emphasis on swift self-correction rather than financial punishment.

Equally important is the DGCA’s new requirement for transparency at the point of sale. Airlines must now display all applicable cancellation charges clearly at the time of booking, ensuring that passengers are fully aware of the financial consequences of cancellation before they commit to a purchase. This provision is intended to eliminate the practice of burying fee information in terms and conditions that few passengers read, and to empower travellers to make genuinely informed decisions.

Refund Timelines and the Role of Travel Agents

The revised regulations also set out clear and enforceable deadlines for the processing of refunds, addressing a long-standing source of passenger frustration in the Indian aviation market. For tickets purchased using a credit card, airlines are required to process the refund to the cardholder within seven days of cancellation. For cash transactions, the refund must be made immediately at the airline’s office where the ticket was originally purchased.

For tickets booked through travel agents, brokers, or third-party portals, airlines are required to complete the refund process within 14 working days. Crucially, the DGCA has made clear that the responsibility for processing refunds lies squarely with the airlines, regardless of the channel through which the ticket was sold. Since travel agents and portals act as appointed representatives of the airlines, the onus of issuing refunds cannot be shifted on to the intermediary. This provision should provide significant relief to passengers who have previously found themselves caught between airlines and agents, each directing them to the other in the hope of avoiding accountability.

Medical Emergencies and the Broader Context of Reform

The new rules also introduce more compassionate and clearly defined provisions for passengers who must cancel due to a medical emergency. Where a ticket is cancelled because a passenger, or a family member travelling on the same booking reference, is hospitalised during the travel period, airlines may now offer either a full refund or a credit shell. In other medical cases, refunds will be processed only after the airline receives a fitness-to-travel assessment from its own Aerospace Medicine specialist or a specialist empanelled by the DGCA.

These reforms come at a moment of considerable scrutiny for India’s aviation sector, which has seen significant passenger growth alongside mounting complaints about service standards and financial transparency. The DGCA’s intervention signals a regulatory shift towards placing passenger rights at the centre of the industry’s operating framework.