Singapore Airlines’ (SIA) compensation offers to passengers who were on board the SQ321 flight that saw deadly turbulence last month has been deemed “insulting” by both a former senator as well as one of the families that took the flight.
The flight from London to Singapore led to one death and significant injuries among the 211 passengers and 18 crew on board. Reports indicate that the violent turbulence hurled individuals around the cabin, resulting in spinal cord, brain, and skull injuries.
In the wake of the incident, SIA has extended compensation offers to the affected passengers, with those who suffered minor injuries being offered $US10,000 each.
For passengers with serious injuries, the airline has proposed an advance payment of $US25,000 to address immediate medical needs, with further discussions promised for final compensation.
“Passengers medically assessed as having sustained serious injuries, requiring long-term medical care, and requesting financial assistance are offered an advance payment of $US25,000 to address their immediate needs,” the airline said in a statement, “This will be part of the final compensation that these passengers will receive.”
The compensation offers have been met with harsh criticism, in some quarters.
Former Australian senator and lawyer Nick Xenophon described the compensation as “mean and miserable,” arguing that the airline’s proposals fall short of international legal standards.
“The Montreal Convention which governs these incidents in the air – is very clear about what the caps are and what the damages ought to be,” Mr Xenophon told ABC Australia.
He added, “It’s very clear here that at the very least a seriously injured person should be offered first up – $US175,000 without any questions or liabilities being taken into account.”
One passenger, Keith Davis from Adelaide, echoed this sentiment. Mr Davis, whose wife Kerry Jordan sustained a severe spinal injury during the flight, condemned the airline’s offer as “beyond insulting.”
According to Mr Davis, his wife was thrown into the luggage doors and fell into the aisle, leading to life-altering injuries. The family was reportedly informed of the compensation offer through a Facebook statement from the airline.
“It is beyond belief — beyond insulting — it is an absolute joke — it’s not even worth discussing,” Mr Davis told ABC, highlighting the distress the offer caused his wife.
“I don’t know what [the offer] would cover – it doesn’t cover anything.” he added, revealing that his wife’s mobility has been limited to her arms, neck, and shoulders.
Aviation lawyer Peter Carter, meanwhile, advised affected passengers to seek legal counsel before accepting any compensation from the airline. He warned that passengers who accept the $US10,000 offer for minor injuries might inadvertently waive their rights to pursue further claims.
“Be careful what you sign is my advice, get legal advice from someone experienced in this area,” Mr. Carter told ABC, “People might think that they’ll get over what they’ve suffered but experience tells me that medical [professionals] need to evaluate these types of injuries so they know what they might face in the future.”
He also pointed out that the $US25,000 offer for serious injuries is merely an advance and cautioned that accepting the $US10,000 offer for minor injuries could lock passengers out of additional compensation.
“The people who sign up for the $10,000 offer are locked out, that’s the intention of it,” Mr. Carter said, “The insurer wants to get people out of the $200,000 damages column into the $10,000 damages column to minimise their overall payout.”
The debate over fair compensation may be more nuanced than it appears at a glance, with some observers considering the $10,000 offer for those with minor injuries as fair as it potentially exceeds what could be obtained through a lengthy legal process.
For these passengers, the offer might be generous, as legal claims for minor injuries might result in lower compensation when factoring in medical expenses, pain and suffering, and loss of income.
However, for passengers with serious injuries, the $10,000 flat offer could be a gamble.
Those with significant long-term impacts or higher potential claims might risk forfeiting substantial future compensation by accepting this initial amount. The caution advised by legal experts is likely aimed at those facing severe injuries, as settling quickly for SIA’s offer may preclude them from claiming further damages as their conditions evolve.