India on Thursday changed the rules that govern the liability of airlines in case of death of a passenger on board, or bodily harm to the passenger.The government made new rules on compensation in cases of fatality while travelling, baggage loss, delay in arrival and other categories.Below are the new rules:What has the govt done The Ministry of Civil Aviation has revised the maximum compensation that airlines are legally required to pay passengers in cases of death, injury, baggage loss, flight delay and cargo damage. The revision was notified on April 1, 2026, and updates the liability limits contained in the Third Schedule of the Carriage by Air Act, 1972.Who can benefit The rules have been made effective retrospectively from December 28, 2024. Anyone who has suffered under any category of liability on or after December 2024 will benefit.What has changedThe notification revises liability limits expressed in Special Drawing Rights (SDR) — an international unit of account maintained by the International Monetary Fund whose value fluctuates against the Indian rupee on a daily basis. The approximate rupee conversions given below are indicative only and will vary based on the prevailing SDR-to-rupee rate on the date of any actual claim.Compensation for death/bodily harm(Rule 21(1)The guaranteed compensation limit in case of death or bodily injury to a passenger has been raised from 1,28,821 SDR to 1,51,880 SDR — an increase of approximately 17.9 per cent. At an approximate conversion rate, this translates to a rise from roughly Rs. 1.43 crore to nearly Rs. 1.69 crore per passenger.Compensation for delay of passengers (Rule 22 (1)The compensation ceiling for losses suffered by a passenger due to flight delay has been increased from 5,346 SDR to 6,303 SDR — approximately from Rs 5.95 lakh to nearly Rs 7 lakh.Compensation for loss, damage, delay of baggage (Rule 22(2)For checked-in or cabin baggage that is lost, damaged, or delayed, the compensation limit has been raised from 1,288 SDR to 1,519 SDR — approximately from Rs. 1.43 lakh to around Rs. 1.69 lakh per passenger.Compensation for loss or damage to cargo (Rule 22(3)The compensation limit for air cargo has been raised from 22 SDR to 26 SDR per kilogram of goods lost or damaged.