Increased Passenger Liability Limits Commence 1 October 2019

24 September 2019

Liability limits for the death of or injury to passengers on domestic Australian flights will increase on 1 October 2019.

The Civil Aviation (Carriers’ Liability) Act 1959 governs the compensation payable for injury and death of passengers and loss of or damage to baggage which occurs during commercial carriage by air within Australia. Increased limits are imposed by new Regulations which take effect on 1 October 2019.

The following table shows the changes to the maximum amounts recoverable under the new regime:

 
 
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Part IVA of the Act requires carriers to maintain adequate insurance and operators will have to carry insurance under the relevant endorsement with a limit of $925,000 per passenger for death or injury.

The domestic regime which is under Part IV of the Act applies directly to carriage within Federal jurisdiction and complementary State Acts apply Part IV to intrastate carriage which falls within State power under the Constitution. The regime applies only to commercial operations.

Although Part IV of the Act is directed to domestic carriage, it also applies to the very rare cases of international carriage to a country which is not party to any relevant Convention. In such a case the Regulations impose an increased limit of 480,000 SDRs (approx. $960,000) for Australian carriers.

Ben Martin Mark Mackrell Partner Partner T: +61 2 9230 9435 T: +61 2 9230 9415 E: ben.martin@nortonwhite.com E: mark.mackrell@nortonwhite.com

Keira Nelson Partner T:+61 2 9230 9440 E: keira.nelson@nortonwhite.com



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