Overbooking occurs when an airline sells more seats for a flight than are physically available. Airlines use historical data to predict how many passengers will not show up, aiming to fill the plane completely. Anton Radchenko, an aviation expert and CEO of flight compensation company AirAdvisor, explains: 'Overbooking isn't a mistake. Airlines do it deliberately and legally, calculating that a percentage of passengers won't show up.'
When the calculation is wrong and too many passengers arrive, some are denied boarding — known as being 'bumped'. The law treats this situation like a long delay or cancellation. Alicia Hempsted, Travel Insurance Expert at MoneySuperMarket, notes that discovering your flight is overbooked can be incredibly stressful, particularly if you are travelling with family or working to a tight schedule.
Some airlines, such as Jet2 and Ryanair, never overbook. However, any airline — including those two — can bump passengers for operational reasons, such as a last-minute switch to a smaller aircraft, crew scheduling issues, or weight restrictions. This happened recently when a Frontier Airlines passenger was denied boarding at Harry Reid International Airport in Las Vegas after the airline switched the aircraft operating his flight to Denver.
How airlines decide who to bump
In the UK, airlines generally offload passengers who checked in last. Passengers travelling with cabin baggage only are also more likely to be bumped, because this avoids the complication of pulling bags from the hold. A warning sign is when your boarding pass has no seat number. If you receive one, it is important to know what comes next.
Under aviation rights rules, airlines are entitled to overbook. It is legal. If too many people turn up, airlines are supposed to first seek out volunteers who agree to give up their seats. The law states: 'When an operating air carrier reasonably expects to deny boarding on a flight, it shall first call on volunteers to surrender their reservations in exchange for benefits.' If nobody volunteers, airlines may deny boarding against passengers' will.
Compensation for bumped passengers
In the UK and Europe — or anywhere in the world if you are flying on a British or EU airline — you should be rebooked on any carrier that can get you to your destination as soon as possible. You are also entitled to compensation on a sliding scale, depending on how long the flight is or how delayed you will be. This ranges from £110 for a short-haul trip when you arrive more than two hours late, up to £520 for a long-haul journey touching down four or more hours behind schedule.
The airline may also be required to reimburse reasonable expenses such as meals, refreshments and, where necessary, accommodation incurred as a result of the disruption. Alicia advises asking about this as soon as possible, because 'if they aren't able to provide you with food vouchers, it's important that you keep receipts or document additional costs, which you can use to reclaim some costs later'.
Why you should not volunteer your seat
If you volunteer to be bumped, you are swapping your statutory compensation for whatever the airline offers at the gate. According to Anton Radchenko, it is usually worth less. If you are forcibly bumped, UK airlines are obligated to compensate you, and in the EU you must be compensated and rescheduled onto a new flight. Most passengers do not realise that volunteering your seat for a voucher is a different deal entirely. 'Know what you're entitled to before you get there, and don't sign away your rights for a voucher,' Anton advises.
Do not panic and book yourself another flight without speaking to the airline first. 'If the airline is responsible for arranging alternative transport, making your own arrangements may complicate proceedings and make it more difficult to recover those costs,' Alicia explains.
Travel insurance and overbooking
Travel insurance does not typically cover overbooking as standard, although some policies or add-ons may provide cover for certain associated losses. Alicia says customers should not assume they will automatically be covered. 'Whether your claim will be accepted depends on your individual policy, so double-check your policy wording on travel delays, missed departures, and alternative transport,' she says. 'In the situation where the airline asks for volunteers to give up their seats, don't agree without first establishing what the airline and your insurance will cover. Passengers who voluntarily give up their seat in exchange for benefits offered by the airline may not be entitled to the same statutory compensation rights as those who are involuntarily denied boarding, so you will need to negotiate your own benefits package instead. A voluntary arrangement may also be treated differently by your insurer, depending on your individual policy, and this can affect your cover.'
