WorkflowCustomer Service & Disruption Recovery

EU261 Claims Management

EU261 claims management that pays or refuses each claim on the flight’s own record, with the evidence a court will ask for

Each claim paid or refused on the flight’s own record, with evidence a court accepts.

See one case, screen by screen ↓
demo418claimsread overnight from the web form, email and three claim agencies, with 9 flights’ days rebuilt from the records
demo17recordsfrom 6 systems behind one flight’s finding — a 4 h 10 min delay split into repair, air-traffic slot and taxi-in
demo64claimson one flight answered by one signed finding: 58 owed €600, 3 agency duplicates held, 3 outside the rule
target7daysfrom claim to decision letter, before an agency or a court takes it
In short

What is EU261 Claims Management?

EU261 claims management, also called EC261 claims handling, is how an airline validates and settles passenger claims for delay and cancellation compensation under EU261 and UK261: checking eligibility, finding the cause, deciding whether it was an extraordinary circumstance, working out the amount, paying the right person once and defending refusals. EU261 Claims Management does this with eight agents that rebuild each flight’s day from your own records and draft every decision with its evidence, while your claims handlers decide and sign.

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Updated

The problem

Why EU261 claims are lost in court and paid twice

EU261 claims management starts with one question the claim form cannot answer: why was the flight late? EU261 and UK261 owe €250–€600 (£220–£520) to every passenger who arrives three hours late for a cause within the airline’s control. The delay code says “41, aircraft defect”, but whether the cause was extraordinary sits in the technical log, the movement messages, the METARs, the air-traffic slot messages and the crew roster — five systems a claims handler cannot read for every claim.

So handlers decide from the delay code and a template. Refusals on technical faults and crew sickness come back as court claims the airline loses, with the other side’s costs. Passenger compensation claims arrive by the thousand, most of them through agencies that file in bulk, so the same passenger is paid twice, staff-travel tickets and sub-three-hour arrivals are paid because nobody checked, and two passengers from the same flight get different answers — and the court sees both letters.

typical$5B+a yearwhat EU261 costs airlines, according to IATA
typical€600a passengerowed on a flight over 3,500 km that arrives three hours late for a cause within the airline’s control
Where the hours go on one disrupted flight’s claims, in hoursestimated
By hand25 days
With the solution4 days
  • Reading claims and agency files, matching bookings and boarding6 → 0.5 d
  • Finding the cause in the ops log, technical log, weather, slots and crew roster5 → 0.5 d
  • Testing the cause against EU261, UK261 and the case law3 → 0.5 d
  • Distance, delay at the door, amount, duplicates and mandates4 → 0.5 d
  • Writing decision letters in each passenger’s language5 → 1 d
  • Preparing and countersigning the payments2 → 1 d

Estimated split for the claims from one long-haul flight, by hand and with the solution.

How it works

How a claim moves

Eight specialist agents rebuild the flight’s day, test the cause and draft the answer; the claims handler decides and signs.

What comes in
Claim inEU261 · UK261 · claim, flight records, case law
Agents at work
Claim readerbooking, boarding, payee
Then
Delay investigatorthe flight’s day
Then
Circumstance assessorcase law
Challengerthe passenger’s side
Then
Amount calculatordistance, door, €
Letter writerletter + evidence
Then
Payee agentpaid once
Case buildercourt, regulator
A person decides
Claims Handlerapproves, edits, refuses with a reason
What comes out
Signed decision
Letter with evidence
Paid once
One case, step by step

One EU261 claim, one flight’s day, one signed decision

Corvane Airways flight CV 95, Paris Charles de Gaulle to Chicago O’Hare on Saturday, October 3, arrived 4 h 10 min late. On Wednesday, October 14, Camille Arnaud asked for €600 through the web form. It is Thursday morning. Here is how her claim — and the 63 others from the same flight — gets answered, screen by screen, in the working solution.

  1. 01Thursday morning

    Today: what needs her, and what is ready to sign

    Nora Castellan · Claims Handler

    Nora’s home is a short list, not a dashboard. Overnight the agents read 418 new claims and rebuilt nine flights’ days. 37 claims need her — a duplicate, a mandate, a receipt or a cause to check — 212 are ready to sign, and 19 are due within 7 days against Corvane’s 14-day answer. Beside the list, what the agents found since 06:00, each finding with its record.

    “The hydraulic leak on N815CV is in the technical log at 07:05 — the delay code alone said only “41”. Not extraordinary, 96%.”

  2. 02One click

    The claim beside the flight’s day

    Nora Castellan · Claims Handler

    CLM-26-48213 opens with the facts in one strip: CV 95 CDG → ORD on Boeing 787-9 N815CV, 6,654 km, 4 h 10 min late with the doors open at 17:05 CDT, EU261 Art 7(1)(c), not extraordinary, €600. Below it, the Delay Investigator’s timeline from 17 records in 6 systems: schedule, aircraft movements, technical log, weather at both ends, air traffic and passengers, with the delay at the door split into 3 h 54 min technical repair, 12 min air-traffic slot and 4 min taxi-in. On the right, the conversation with the agents.

  3. 03Click the 07:05 dot

    The record itself, not a summary of it

    Delay Investigator

    Every point on the timeline opens the passage it came from. The 07:05 entry is technical log TLB 815-2291: “HYD QTY LOW R”, a leak traced to the right engine-driven pump pressure-line B-nut fitting, aircraft not dispatchable, fitting and seal kit required. The certificate of release to service follows at 13:38.

    “Read by the agents from the system of record, read-only · the highlighted passage is the one relied on.”

  4. 0409:15 to 09:17

    Not extraordinary — and a second agent argues the passenger’s side

    Circumstance Assessor · Challenger · Amount Calculator

    The Circumstance Assessor finds the leak not extraordinary at 96%: a fault found in service is part of normal operation, under Wallentin-Hermann and van der Lans. The Challenger then argues as an agency’s lawyer would, finds no hidden manufacturing defect, no airworthiness directive on the fitting and no spare aircraft that could have flown sooner, and agrees. The 12-minute slot is outside Corvane’s control, but without it the delay is still 3 h 58 min. The Amount Calculator gives €600, about $648, and does not deduct the €15 meal voucher, which was care.

    Six checks on the claim, all clear: booking matched, flew on it, revenue ticket, flight covered, not paid before, payee is the claimant.

  5. 0509:21

    She decides, with a reason code

    Nora Castellan · Claims Handler

    The Letter Writer asks: “Shall I set this claim to pay €600 to Camille Arnaud?” Nora opens Decide. The agents propose Pay €600; she picks APV-01, Pay as drafted, over Pay with an edit, Ask the claimant for information or Send to counsel, and signs as herself. The claim moves to payment batch PB-1015-B, and the letter goes when the batch is countersigned.

    “The letter is drafted in French and English. Nothing is paid until you decide.”

  6. 06One finding for all

    64 claims from CV 95, one answer

    Marcus Hale · Customer Relations Manager

    The cause is a fact about the flight, so it is decided once. CV 95 has 64 claims — 23 direct, 41 from three agencies: 58 owed €600 (€34,800 ≈ $37,584), 3 agency copies of direct claims, 2 staff-travel tickets and 1 passenger who did not fly. The finding goes to Marcus to sign with FLT-01 for all 58. A claim that arrives later inherits it and still gets its own checks. The manifest shows 219 more passengers covered but not yet claimed, and offering them compensation now is a manager’s decision with a reason code.

    “Claims that arrive later inherit the finding and still get their own checks.”

  7. 0708:31

    Paid once, to someone entitled

    Payee Agent

    This morning’s Velora Claims file had 214 rows: 205 matched, 6 duplicates of direct claims held, 3 unknown bookings. Four agency claims across Velora and Northgate Passenger Claims have no signed mandate, so nothing is paid on them until one arrives — one click requests all four, and the claims pause rather than being refused.

    “Nothing is paid to an agency without a signed mandate or assignment.”

  8. 0809:18

    A plain letter in her language

    Letter Writer

    Camille’s letter is drafted in French and English: CV 95 arrived 4 h 10 min late because of a hydraulic leak found on the aircraft that morning, a technical fault that is part of an airline’s normal operation and not an extraordinary circumstance; €600 under Article 7 of Regulation (EC) 261/2004 goes to the account she gave within 7 days; the €15 meal at gate K45 was care and is not deducted. Refusals carry their evidence annex — and the CV 99 refusal is held, because the Challenger is still reading the rotation plan.

    “A refusal is never sent without the records it relies on — this letter unlocks when the finding is signed.”

  9. 09Over the line

    Two signatures on large batches

    Tomás Rivera · Payments Controller

    Payments go by bank transfer in the passenger’s currency. Batch PB-1015-A — 84 payments on CV 52 and CV 140, €50,400 ≈ $54,432 — is over the $25,000 line and waits for Tomás to countersign. Every payee was checked for account holder, mandate and duplicates, and the three payments the bank sent back come to the handler as exceptions.

  10. 10Before the hearing

    Settle what will lose, defend what will win

    Ingrid Sørlie · Legal Counsel, Europe

    Four EU261 court claims are open. The Challenger expects to lose DSP-2598 in Paris (92%), a crew-sickness refusal from August, and DSP-2604 in the UK County Court (95%), an avionics fault refused as “safety”, and recommends settling both. DSP-2611 in Frankfurt, with a 12% chance of losing, can be defended: the air-traffic controllers’ strike notice is on file. The Case Builder assembles each court pack from the flight’s records; Ingrid decides each one.

    “The Challenger forecasts how a court would see each case; the Case Builder assembles the pack from the flight’s records. Counsel decides.”

Who it’s for

Built for everyone who answers an EU261 claim.

The same claims, seen by the five people who carry them — what their week looked like, and what it looks like now.

NC
Nora CastellanClaims Handler · European claims team
Claims Handler
Before
Works claims from the web form, email and agency files, looks up delay codes and writes letters from templates — paying in two minutes, refusing properly in an hour.
Now
Starts with what needs her, reads each claim beside the flight’s day with every record one click away, and signs with a reason code.
MH
Marcus HaleCustomer Relations Manager · signs flight findings
Customer Relations Manager
Before
Owns the queue, the 14-day answer and the agency relationships, and finds that handlers decided claims from the same flight differently.
Now
Signs one finding per flight for every claim from it, sees duplicates and out-of-scope claims held, and decides whether to offer compensation before agencies file.
IS
Ingrid SørlieLegal Counsel, Europe · contested causes and court claims
Legal Counsel, Europe
Before
Learns which refusals were weak when the summons arrives, then rebuilds the flight’s day for the local lawyer.
Now
Decides every cause below 85% confidence, sees a court-risk forecast on each case and gets the pack built from the same records.
TR
Tomás RiveraPayments Controller · second approver
Payments Controller
Before
Pays batches assembled by hand, and finds the agency copy of a direct claim after it has been paid.
Now
Countersigns batches over $25,000 with every payee checked for account holder, mandate and duplicates, and works the bank returns as exceptions.
JP
Jordan PikeSystems Administrator · connections, thresholds and rule versions
Systems Administrator
Before
Changes a rule or a threshold and hopes every handler applies it from the right date.
Now
Changes it once, with a manager’s approval; rules are versioned by flight date and every change lands in the audit trail.
Built on the engine

8 agents. Each with one job, and hard limits.

Eight specialist agents rebuild the flight’s day, test the cause and draft the answer; the claims handler decides and signs.

Claim Reader

Reads every claim from the web form, email, agency files and court papers; extracts claimant, booking, flight, bank details and mandate, and matches the booking, the ticket and the boarding scan.

  • Never contacts a claimant on its own
  • Never discards a claim
Delay Investigator

Rebuilds the flight’s day from movement messages, the technical log, weather reports, air-traffic slot messages and the crew roster, and splits the delay at the door into its causes by the minute.

  • Read-only on every operational system
  • Never changes a record or a delay code
Circumstance Assessor

Tests each cause against EU261, UK261 and the case law, checks whether reasonable measures were taken, and gives a verdict with a confidence.

  • Recommends; never refuses
  • Below 85% confidence, counsel decides
Challenger

Argues the passenger’s side as an agency’s lawyer would, from the same records and the case law, and forecasts how a court would see a refusal.

  • Cannot overrule; a disagreement goes to counsel
Amount Calculator

Works out the great-circle distance from origin to final destination, the arrival delay by the door-open time, the amount, any reduction, the currency and offsets agreed in writing.

  • Never deducts care or goodwill not agreed in writing
Letter Writer

Drafts each decision letter in the passenger’s language from approved templates, with the cause in plain words and the evidence annex on every refusal.

  • Never sends
  • A refusal without its annex cannot be sent
Payee Agent

Checks agency mandates and assignments, the bank account holder and duplicates across every channel, and prepares the payment batches.

  • Never pays
  • Batches over $25,000 need a second approver
Case Builder

Builds court and regulator packs from the flight’s timeline and the decision, drafts replies and tracks their deadlines.

  • Never files with a court or regulator; counsel signs
Claims Handler

Approves with a reason code and signs. The agents propose; a named person decides.

Ask in plain words

Ask the agents about any claim, flight or rule

Ask about any claim, flight, agency or rule — or tell the agents what to do. Answers come with their sources, and nothing is paid, refused or sent unseen.

Why is the CV 95 hydraulic leak not extraordinary?

The leak was found on a routine walk-round and logged at 07:05. The courts hold that a technical fault is extraordinary only if it comes from outside normal operation — a hidden manufacturing defect revealed by the manufacturer or an authority — and no directive covers the fitting.

Which court cases are we likely to lose?

Two: DSP-2598 in Paris (crew sickness, 92%) and DSP-2604 in the UK County Court (avionics fault refused as “safety”, 95%). The Challenger recommends settling both before the hearing.

Show the agency claims without a signed mandate

4 claims: 3 from Velora Claims (CV 1418 and CV 99) and 1 from Northgate Passenger Claims (CV 81). Nothing is paid to an agency without a signed mandate; you can request them in one step.

How much have we paid under EU261 and UK261 this month?

October 1–15: €917,728 ≈ $991,146 on 1,904 claims. 541 refusals, every one with its evidence annex.

Every screen

The working solution, as it ships.

13 screens from the working solution, on its sample data. Pick one to see it large.

TodayThe claims handler’s morning: 37 EU261 claims that need her, 212 ready to sign, 19 due within 7 days, and what the agents found overnight, each finding with its record.
The claim beside the flight’s dayA flight delay compensation claim beside a timeline rebuilt from 17 records — movements, technical log, weather, air traffic and passengers — with the delay at the door split by cause and the conversation with the agents.
The record behind each pointClick any point on the timeline and the technical log entry opens, read-only, with the passage relied on highlighted.
Extraordinary circumstances, tested twiceThe finding on extraordinary circumstances under EU261 with its case law and confidence, the Challenger’s view from the passenger’s side, and six eligibility checks on the claim.
Decide with a reason codeThe claims handler signs the decision herself: pay as drafted, pay with an edit, ask the claimant for information or send to counsel, with a note for the record.
One finding per flightOne finding for every passenger compensation claim from the flight: claims grouped by outcome, duplicates and out-of-scope tickets held, and who else on the manifest is owed.
Claim agenciesEU261 claim agencies’ files read the same morning: rows matched, duplicates of direct claims held, and claims without a signed mandate paused until one arrives.
Decision lettersLetters drafted in the passenger’s language, with the cause in plain words; each refusal carries its evidence annex.
A refusal held for its evidenceA refusal cannot be sent until its evidence annex is ready — this one waits while the Challenger reads the rotation plan.
PaymentsPayment batches in the passenger’s currency with the US dollar equivalent, payee checks, bank returns, and a second approver on every batch over $25,000.
EU261 court claims and riskCourt claims with the chance of losing, a recommendation to settle or defend, the response deadline, and refusals at risk before they are challenged.
Audit trailEvery action by people and agents on EU261 and UK261 claims, with the record it relied on, filtered by people, agents or decisions and exported as an evidence pack.
Your thresholdsThe counsel line, the countersign line, the bulk-approval sample, the hold on large claims and the 14-day answer clock — each change versioned and approved.
Governance

EU261 claims management built for court: cited, signed, on the record.

Every value opens its recordEach distance, door time, cause and amount cites the record or rule it came from — the technical log entry, the door sensor log, the slot message, the article or the judgment — and a click opens the passage relied on.
A person decides every claimThe claims handler approves, edits, refuses or returns each claim with a reason code — APV, REF or RTN — and an edit without a reason cannot be signed. The manager signs each flight finding.
Counsel takes the close callsAny finding below 85% confidence, or one the Challenger disagrees with, goes to legal counsel. A refusal against the agents’ finding needs a reason and goes to counsel too.
No refusal without its evidenceA refusal letter cannot be sent until its evidence annex is ready. The agents never send, file or pay, and they read operational systems read-only — they never change a record or a delay code.
Paid once, with two signaturesMandates, account holders and duplicates across the web form, email and agency files are checked before money moves, and a second person countersigns every batch over $25,000.
One trail, versioned rulesEvery action by people and agents is on an immutable audit trail with the record it relied on, and exports as an evidence pack. Rules are versioned by flight date; changes need a manager’s approval.
Configuration

Your thresholds, rules and clocks

The lines the agents act inside and the rules they apply, set by your team — every change versioned, approved by a manager and on the audit trail.

SettingDefaultChoose from
Counsel decides below85% confidenceAny value from 50% to 99%, with a reason · and whenever the Challenger disagrees
Second approver on batches over$25,000Changed from $20,000 on Oct 15 by Jordan Pike, approved by Marcus Hale
Bulk approval sample1 in 20, at least 3The person sees the sample before signing
Hold any single claim over€1,200More than two passengers on one claim
Answer every claim within14 daysCorvane standard CR-07 · warn at day 7 and day 12
EU261 and UK261 rule setsIn forceVersioned by flight date · CJEU case law to Oct 1, 2026 (41 decisions) · UK case law (17 decisions)
EU261 reform, Council position of June 2025Ready, offSimulate on last month’s claims · nothing changes until it is in force and a manager switches it on
Letter templates6 languagesEnglish, French, German, Spanish, Italian, Dutch
Connections

Works with the records your operation already keeps

Operations log and movement messagesmovements, delay codes, cancellations and the door sensor log, read only
Technical log and maintenance controlentries, deferrals and releases to service, read only
Crew rosterduty, reserves and sick calls, read only
Weather and air trafficMETARs and TAFs for every airport, slot messages and network notices
Reservations, tickets and boardingbookings, ticket types and boarding scans, read only
Claims inbox and agency feedsweb form, email, call center, agency APIs and bulk files
Payments and treasury ratesbatches to the bank after two signatures; EUR and GBP rates daily
What it changes

The difference, in numbers.

Every figure is labelled: a target the solution is built to, an estimate, a typical published result, or a proven one.

target
0
refusals sent without the flight’s records and the case law attached
Refused from a delay codetechnical faults lost in court
Refused on the recordevidence in every letter
target
1×
each passenger paid once, and one finding for every claim from a flight
Claims by handagency copies paid twice
Pay-once checksCV 95: 3 duplicates held
target
7days
from claim to decision letter, before an agency or a court takes it
Answered in 7 days
CV 95 claim received Oct 14, signed Oct 15

“demo” = seen in the working solution, on its sample data · “target” = the design goal, measured in the live solution · “estimated” = our estimate · “typical” = published figures (IATA, December 2024 — EU261 costs airlines over $5 billion a year; Regulation (EC) 261/2004 Art 7 and UK261 — €250/€400/€600 and £220/£350/£520 by distance). Case law named: Sturgeon C-402/07, Wallentin-Hermann C-549/07, Germanwings C-452/13, van der Lans C-257/14, Folkerts C-11/11. Corvane Airways, the claim agencies and the people named on this page are fictional — characters and sample data in the working solution.

Questions

What customer relations teams ask about EU261 claims management.

What is EU261 claims management?

EU261 claims management, also called EC261 claims handling, is how an airline validates and settles passenger claims for delay and cancellation compensation under EU261 and UK261: checking eligibility, finding the cause, deciding whether it was an extraordinary circumstance, working out the amount, paying the right person once and defending refusals. EU261 Claims Management does this with eight agents that rebuild each flight’s day from your own records and draft every decision with its evidence, while your claims handlers decide and sign.

Is a technical fault an extraordinary circumstance under EU261?

Usually not. The courts hold that a fault found in service is part of an aircraft’s normal operation, unless it comes from outside it, such as a hidden manufacturing defect revealed by the manufacturer or an authority (Wallentin-Hermann, van der Lans). The Circumstance Assessor tests each cause against the case law, the Challenger argues the passenger’s side, and counsel decides anything below 85% confidence.

How is the arrival delay measured for EU261 compensation?

At the moment the first door opens at the final destination, not the in-block time or a flight tracker. In the working solution, CV 205 doors opened 2 h 56 min late, so six refusals were drafted with the door log attached — while a passenger booked through to Denver who missed the connection arrived 4 h 35 min late and is paid.

How much compensation do EU261 and UK261 pay?

Airline delay compensation is €250, €400 or €600 under EU261 and £220, £350 or £520 under UK261, by distance. The Amount Calculator measures the great-circle distance from origin to final destination, shows the US dollar equivalent at the treasury rate, and never deducts care such as meal vouchers, or goodwill not agreed in writing.

How do airlines handle EU261 claims from claim agencies?

The Claim Reader imports each EU261 claim agency’s file or feed the same day and matches every row to a booking. The Payee Agent holds agency copies of claims the passenger also made directly, so each passenger is paid once, and pays nothing to an agency without a signed mandate or assignment — the claim pauses and the mandate is requested.

Does one finding apply to every claim from the same flight?

Yes. The cause is decided once per flight and signed by the customer relations manager, so two passengers on the same flight never get different answers on the cause. Every claim still gets its own checks — booking, boarding, ticket type, payee and duplicates — including claims that arrive after the finding is signed.

Can EU261 claims be automated without losing control?

Yes. EU261 automation here covers the reading, the investigation, the amount and the drafting; the claims handler decides each claim with a reason code, counsel decides contested causes, the manager signs flight findings and a second person countersigns batches over $25,000. The agents never send a letter, file with a court or pay, and a refusal cannot go out without its evidence annex.

How long does it take to go live?

The Agentic Solution Engine builds and deploys it from your requirements and documents — your claims policy, reason codes, letter templates and the systems behind each flight’s day — and it goes live once every quality gate has passed. Setup ends with a back-test on last month’s claims, so you see how the agents’ decisions compare with your team’s before anyone relies on them.

See it on
your delayed flights.

We’ll run EU261 Claims Management on last month’s claims and the records of the flights behind them.