New Flight Cancellation Rule: Up to $900 Compensation

Tens of thousands of Israelis have already packed their bags for the Sukkot holiday, but the reality of the aviation industry shows that last-minute changes, delays and cancellations have become an inseparable part of the flying experience. Over the past year, airlines have canceled regular flights on an unprecedented scale, and operational chaos at Ben Gurion Airport has left thousands of passengers stranded. Before you rush to throw up your hands or settle for a modest voucher from the airline, you should know the full financial rights you're entitled to under Israel's Aviation Services Law.

When Does a Delay Become a Cancellation and What Are You Owed?

According to the law, a flight that departs eight hours or more after its scheduled departure time is automatically considered a canceled flight. In such cases, the airline cannot simply offer an alternative flight or a meal at the airport, it is legally required to pay you a fixed cash compensation, with no need to prove damages.

The compensation amount is determined by flight distance and goes directly into your bank account:

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Short flights (up to 2,000 km): such as Greece, Cyprus or Bulgaria – fixed compensation of 1,390 shekels per passenger

Medium flights (between 2,000 and 4,500 km): such as Western Europe, Georgia or the United Arab Emirates – fixed compensation of 2,220 shekels per passenger

Long flights (over 4,500 km): such as the United States, Thailand or the Far East – fixed compensation of 3,340 shekels per passenger

For example, a family of four whose flight to Barcelona or Rome was canceled or delayed by more than eight hours is entitled to receive cumulative compensation of 8,880 shekels net, an amount often far higher than the cost of the tickets themselves. It should be noted that the compensation is due even if you purchased a promotional ticket for just a few dozen dollars.

What About Hotel, Taxis and Food During the Wait?

Beyond the direct cash compensation, the airline is obligated to provide you with assistance services while you wait at the airport. These services include food and beverages according to the waiting time, two phone calls or access to email and internet, as well as hotel accommodation and transportation if the delay requires an overnight stay.

If the airline refuses to provide vouchers for a hotel or food at the airport, you are entitled to purchase them yourself, keep the receipts and submit a full reimbursement claim afterward. It's worth documenting everything, photograph the departure board showing the delay, save text messages and emails from the airline, and keep every receipt.

When Is the Airline Exempt from Payment?

Airlines often try to avoid payment by claiming "extraordinary circumstances beyond their control." However, the courts and the Civil Aviation Authority have clarified that routine technical malfunctions in the aircraft, crew shortages or congestion at the airport do not exempt the company from compensation.

Exemption from payment will be granted only in cases of extreme and unforeseen weather that prevented takeoff, a general strike in the economy, or exceptional security circumstances that led to closure of airspace. Even in these cases, the company is still required to provide assistance services, food, accommodation and transportation.

The Rule and Action You Must Remember

Received notice of a cancellation or significant delay? Don't throw away your boarding passes and don't delete messages from the airline. Photograph the departure board at the airport showing the delay, keep all receipts for food and taxi expenses, and send a formal demand letter to the airline within 21 days.

If the company refuses to pay without a justified legal reason, you can file a small claim and receive exemplary compensation of up to 11,390 shekels without proving damages. The updated law requires airlines to transfer the cash compensation directly to your bank account, even if your ticket cost only a few dozen dollars.

In the past year, nearly 20 million people flew through Ben Gurion Airport, and forecasts indicate continued growth in passenger traffic. As demand increases, it becomes all the more important to know the full rights you're entitled to as passengers.