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Rule 125: Excess Value Charges for Baggage
 
  1. Excess Value Charges
    Under the baggage liability limits of the Montreal Convention, the liability of the Carrier for each passenger for the destruction, loss, damage, or delay of checked baggage is limited to 1,519 Special Drawing Rights (SDRs) unless the passenger at the time the checked baggage is handed to the Carrier, declares a value in excess of 1,519 SDRs per passenger for the checked baggage.
    1. When such declaration is made, a charge of such excess value will be assessed by each carrier participating in the carriage at the following rates:
      Convention Charge Additional Amount of Liability
      Montreal US$1.00 per $100.00 Or Fraction Thereof for a maximum of 1131 SDRs
    2. If the passenger has paid the excess value charge, the carrier will be liable for destruction, loss, damage or delay of such checked baggage in an amount not exceeding the declared amount, unless the carrier proves that the declared amount is greater than the passenger’s actual interest in delivery at the destination. The declared amount, and the amount of the carrier’s liability, shall not exceed the total amount of declaration permissible under the carrier’s regulations, inclusive of the limitation of paragraph 1.a hereof. Nevertheless, the carrier may impose charges for pieces of baggage in excess of any free allowance the carrier may provide.
    3. This rule shall not entitle the passenger to declare such excess value for baggage in connection with carriage over carrier's route in relation to which the above rule does not permit such declarations, unless the carriage over such route forms a part of through carriage including other route in relation to which such declarations are permitted.
  2. Collection of Excess Value Charges
    Excess value charges will be payable at the point of origin for the entire journey to final destination; provided, that, if at a stopover en route, a passenger declares a higher excess value than that originally declared, additional value charges for the increased value from the stopover at which the higher excess value was declared to final destination will be payable.

    EXCEPTION: Excess value charges will be payable only to the point to which the baggage is checked or to the point of transfer to another carrier if such point precedes the point to which baggage is checked.
  3. Excess Value Charges on Re-routings or Cancellations
    When a passenger is rerouted or his carriage cancelled, the provisions which govern with respect to the payment of additional fares or the refunding of fares shall likewise govern the payment of excess value charges. No refund of excess value charges will be made when a portion of the carriage has been completed.