Air Canada expands who can get reimbursed after cancelled flights

(CANADA) Air Canada has widened who can get money back for travel problems during the August 2025 labour disruption, allowing many more passengers to claim reimbursement for hotels, meals, ground transport, and even alternate flights when Air Canada couldn’t rebook them in time. As of August 23, 2025, the airline says the expanded policy covers trips disrupted between August 15 and August 23, 2025, and applies no matter the fare type, including non‑refundable tickets and Aeroplan bookings. The move follows days of cancellations and long delays during a peak travel stretch, leaving thousands of people—families, international students, temporary workers, and visitors—stuck far from home or important appointments.

Under the new rules, passengers can also request a refund for the unused portion of their ticket or choose a Future Travel Credit in their AC Wallet. Crucially, Air Canada will consider reimbursement for alternate transportation—including flights on other airlines, as well as bus, ferry, or car—if the airline could not rebook within five days of the original departure. The airline says to expect processing times of four to six weeks due to high claim volumes and urges customers to submit complete receipts to avoid delays.

Policy changes at a glance

According to analysis by VisaVerge.com, the changes go beyond what many travelers expected during a labour disruption, and they set clearer rules about what costs Air Canada will cover and when. The policy, based on updates issued between August 17 and August 21, 2025, includes the following:

Who qualifies

• Anyone with an Air Canada or Air Canada Rouge flight scheduled to depart between August 15–23, 2025 that was cancelled or significantly delayed.
• Passengers who received a notice that Air Canada couldn’t rebook them, or who were offered replacement flights departing more than five days after their original booking.
• Applies to all fare types, including non‑refundable tickets and bookings made with Aeroplan points.

What expenses are eligible for reimbursement

• Hotel stays, meals, and ground transportation tied to the disruption.
• Reasonable alternate travel, including other airlines, bus, ferry, or car, if Air Canada couldn’t rebook within five days.
• Alternate flights should be in the same or a lower cabin than the original.
• All claims must include receipts; without receipts, processing may be delayed or denied.

Refunds and credits

• Refund of the unused portion of the ticket for travel in the affected window, regardless of fare type.
• Option to receive the value as a Future Travel Credit (AC Wallet).
• For non‑refundable fares outside the exact dates, keeping the value as a future credit may be available.
• Aeroplan points bookings can be cancelled and redeposited; fees may apply depending on the fare rules.

Rebooking rules and flexibility

• Rebooking allowed on Air Canada, WestJet (within 72 hours), or other airlines (within five days), subject to booking-class availability.
• Must keep the same origin and destination, though alternate airports within 200 miles are allowed.
• If you choose to switch to another airport by choice, Air Canada won’t cover travel to or from that new airport.
• Waitlisting is allowed if your fare type permits it.

The airline also reminds travelers who booked through a travel agent or online travel site to work with that original channel for changes and claims. For direct bookings, Air Canada directs customers to use its action portal at www.aircanada.com/action to submit reimbursement requests and upload receipts.

How to claim and rebook

For many people whose plans unraveled in mid‑August, the most pressing question is how to get paid back. Air Canada has laid out a basic flow:

1. Check if your disrupted trip falls between August 15 and August 23, 2025.
2. Gather all receipts for hotels, meals, taxis or rideshare, and any alternate travel you booked yourself.
3. If Air Canada couldn’t rebook you within five days, keep proof of that (the airline’s email or app message works).
4. Go to the Air Canada Customer Relations portal and submit your claim with receipts and a short explanation of what happened, including dates and flight numbers.
5. If you booked through a travel agent or an online agency, contact them first; they may need to initiate the request.
6. Watch for email updates. With heavy claim volume, Air Canada says reviews may take four to six weeks.

For rebooking, Air Canada allows new itineraries on its own flights and on other carriers within fixed time windows: WestJet within 72 hours and other airlines within five days. The airline requires the same origin and destination, though nearby airports within 200 miles are allowed.

• If you choose a different airport for convenience, you’ll need to cover any extra ground travel.
• If your fare rules allow waitlisting and the cabin is full, you can request to be waitlisted.
• Passengers who prefer not to travel during the disruption can ask for a refund for the unused portion of the trip.
• Others may prefer a Future Travel Credit (AC Wallet), especially if they plan to fly soon on Air Canada.
• Aeroplan members can cancel award trips and redeposit points; fees may apply depending on the fare.

Regulatory rights and what this means for travelers

Beyond Air Canada’s expanded reimbursement, Canadian rules give passengers additional rights when problems are within an airline’s control.

Under the Air Passenger Protection Regulations (APPR), travelers may be eligible for separate compensation, and airlines must reply to written compensation claims within 30 days. Passengers have one year to file those claims. Full details: https://otc-cta.gc.ca/eng/air-passenger-protection-regulations.

This matters because the August 2025 labour disruption created several types of cases. Some delays and cancellations may fall within the airline’s control under APPR; others may not. Air Canada is clear that its expanded policy is an exceptional measure tied to this event and timeframe, and it may go beyond legal obligations in some areas—for example, reimbursing certain self‑booked alternate travel when rebooking wasn’t possible within five days.

If you think APPR compensation also applies to your case, you can pursue that in addition to Air Canada’s reimbursement for out‑of‑pocket costs. Keep separate records for each claim and be clear about what you’re asking for.

Who particularly benefits

• Newcomers moving to Canada: study permit start dates, job onboarding, or landing appointments can be preserved when last‑minute costs arise.
• Cross‑border families between Canada and the U.S.: if Air Canada couldn’t rebook within five days, same‑cabin or lower‑cabin tickets on other carriers—or buses and ferries—may be reimbursable.
• Students, temporary workers, and visitors with tight budgets or fixed schedules who faced sudden cancellations and delays.

Practical tips to speed claims

• Keep every receipt and ensure it’s legible.
• Add a short note for each document explaining what the cost covered and the date.
• If you booked a new flight on another airline, include proof that Air Canada couldn’t rebook you within five days (for example, the airline’s email).
• If you changed airports within 200 miles, note whether Air Canada suggested it or you chose it—Air Canada doesn’t cover extra ground travel if you chose it.
• If you used Aeroplan points, include your Aeroplan number and specify whether you want a refund, redeposit of points, or both.

Reactions and next steps

Consumer groups have welcomed Air Canada’s broader reimbursement stance, calling it a meaningful step to help travelers during acute disruption. Industry watchers say the move may encourage other carriers to clarify rules for mass events like labour actions. Regulators at the Canadian Transportation Agency are reviewing passenger protection rules after recent disruptions and continue to encourage travelers to file complaints if they believe their APPR rights were not respected.

Air Canada stresses these measures are temporary and tied to the August 2025 period. Travelers should check the airline’s site for updates, as policies may change with conditions. The airline’s central resource for this event is the action portal: www.aircanada.com/action. That page links to customer relations, claim forms, and media contacts.

While the airline asks for patience on timelines, it also says complete, well‑documented claims will help speed up decisions.

For many affected travelers, the next few weeks will be about paperwork and waiting. For a student who had to buy a last‑minute ticket to reach campus, or a worker racing to a first day on the job after a missed connection, getting those funds back can make the difference between starting fresh and starting in debt. With the expanded reimbursement policy, and APPR rights still available where they apply, passengers have multiple paths to recover costs from the August 2025 disruption.