As Tata Sons pledged Rs 1 crore per victim to families of those killed in the crash of Air India flight AI171 on Thursday, attention is now turning to Air India’s legal obligations under the Montreal Convention—an international treaty that mandates a minimum compensation of Rs 1.4 crore per life lost, regardless of fault.
The Boeing 787 Dreamliner, en route to London Gatwick, crashed shortly after takeoff near Ahmedabad’s Sardar Vallabhbhai Patel International Airport. The aircraft went down in the Meghaninagar area around 2 pm.
Of the 242 people on board, only one has survived, reported Hindustan Times.
India is a signatory to the Montreal Convention, 1999, which governs airline liability in cases of death or injury on international flights. Under its terms, airlines must pay up to 128,821 Special Drawing Rights (SDRs)—a type of international monetary reserve—per deceased passenger, irrespective of fault.
At current exchange rates, this amounts to approximately Rs 1.4 crore per passenger.
Air India has announced compensation of Rs 1 crore for each life lost in the crash, alongside covering the medical expenses of any injured individuals and pledging support to rebuild the B J Medical College’s hostel.
“Additionally, we will provide support in the building up of the B J Medical’s hostel. We remain steadfast in standing with the affected families and communities during this unimaginable time,” Tata Sons chairman N. Chandrasekaran said in a statement.
The minimum compensation Air India may have to pay under international law totals to about Rs 337 crore.
Families are also entitled to seek higher compensation if they can prove the airline was negligent. While the SDR-based amount is mandatory, legal battles often hinge on circumstances like airline conduct, mechanical oversight, or lapses in safety protocols.
Travel insurance can also play a supplementary role—if the passengers had such policies. Standard travel insurance includes coverage for lost baggage, trip delays, and medical emergencies.
Specialised flight accident policies may offer accidental death benefits ranging from Rs 25 lakh to Rs 1 crore, along with compensation for permanent disability, emergency evacuation, hospitalisation, or daily disruption allowances.
These benefits vary depending on the insurer, coverage selected, and whether passengers purchased the plans.
Beyond international norms, courts also consider multiple factors in determining final payouts. These include the deceased’s age, health, dependents, income, education, and economic background.
Air India had been directed by the Supreme Court to pay over Rs 7 crore in compensation to the family of a passenger who died in the 2010 Mangaluru Air India Express crash. The compensation amount, initially determined by the National Consumer Disputes Redressal Commission and upheld by the apex court, was based on the victim’s employment as a regional director at a UAE-based firm and his projected entitlements, reported The Week.
As the investigation into the AI171 crash continues, grieving families await a bureaucratic process where loss is translated into documentation, mourning into legal filings—and each life into a number.
