Air India Crash: Interim Compensation Released to Families of 147 Victims

The recent Air India crash that claimed a total of 260 lives has led to the release of interim compensation to the families of 147 deceased passengers. The airline's parent company, Tata Sons, has also pledged an ex-gratia payment of Rs 1 crore for each of the deceased. The crash was the worst aviation disaster involving an Indian airline in four decades, and the compensation and legal proceedings will be governed by international or national aviation laws and the airline's own policies.

Key Takeaways:

• Air India has released interim compensation to the families of 147 of the 229 deceased passengers and 19 who lost their lives at the accident site.
• The airline has also verified the documents of 52 other families, and the interim compensation will be released progressively to them.
• The exact compensation and legal proceedings vary depending on the jurisdiction and whether the flight was domestic or international.
• Airlines typically maintain liability insurance that covers passengers or their families in the event of injury or death, regardless of the cause of the accident.
• The Montreal Convention governs most international flights, and airlines are strictly liable for damages up to a certain threshold -- currently around SDR 128,821 or approximately Rs 1.50 crore per passenger.
• Liability claims related to passenger deaths are expected to reach approximately $350 million, though the final amount may vary depending on the number and nature of claims filed and the jurisdictions involved.
• The Tata group airline has so far released the Rs 25-lakh interim compensation to the families of 147 of the 229 passengers who perished in the crash and 19 who were killed at the accident site.
• The crash claimed a total of 260 lives, including 229 passengers on board the Boeing 787-8 aircraft, 12 flight and cabin crew personnel, and 19 persons on the ground.
• Apart from compensation, the Rs 500-crore AI-171 Memorial and Welfare Trust set up by Tata Sons will support the rebuilding of the BJ Medical College hostel infrastructure that was badly damaged in the accident.

Statistics:

• 147 families of deceased passengers received interim compensation.
• 52 families' documents have been verified for interim compensation.
• Total claims expected from the crash: around Rs 4,000 crore (approximately $470 million).
• Aircraft hull cost: around $80 million.
• Engines valued at: around $45 million.
• Liability claims for passenger deaths: approximately $350 million.

Sources:

• IE Online Media Services Pvt. Ltd.
• Contify.com
• Air India