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Costa Cruises offers passengers $14,000 compensation

Costa Cruises is offering uninjured passengers from the wrecked Costa Concordia ship a lump sum of11,000 euros (USD $14,546) per person to compensate for mental trauma and lost baggage.

The cruise ship carrying about 4,200 people sank off the coast of Italy on January 13. Seventeen people have been confirmed dead and 16 are missing.

Costa Cruises, operated by Costa Crociere S.p.A and owned by the British-American-owned Carnival Corp., said that the payment proposal is the result of negotiations between the cruise line and consumer associations, including travel industry associations.

The families of the deceased and guests who were injured and required medical treatment on site will be covered under a separate proposal that will take into account their individual circumstances.

The compensation package for Costa Concordia guests who have returned home includes:

  • A lump sum of 11,000 euros (USD $14,546.02 at January 29’s exchange rate) per person as indemnification, covering all patrimonial and nonpatrimonial damages, including loss of baggage and personal effects, psychological distress and loss of enjoyment of the cruise vacation;
  • Reimbursement of the value of the cruise, including harbor taxes;
  • Reimbursement of air and bus transfers included in the cruise package;
  • Full reimbursement of travel expenses to reach the port of embarkation and return home;
  • Reimbursement of any medical expenses resulting from the cruise;
  • Reimbursement of expenses incurred on board during the cruise.

Costa said this compensation package is higher than the current indemnification limits provided for in international conventions and laws currently in force. The 11,000 euro lump-sum payment is offered to all Costa Concordia passengers, including nonpaying children, regardless of their age.

“Costa also has pledged not to deduct from this sum any amount paid by any insurance policy stipulated by guests,” the company wrote in a statement. “In addition, the company will return all goods stored in cabin safes, where retrieval is possible.”

The company has pledged to provide a program for psychological assistance to any guests that request it.

You might also be interested in: Carnival reports it self-insures for loss of use of sunken Costa Concordia vessel 

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