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Digital Iceland: Lower airfares for residents in rural areas (Loftbrú)

If a flight is cancelled, do people get a credit from the relevant airline?

If a flight is cancelled by an airline, the passenger is entitled to a full refund or changed booking at no extra cost. The right to use Loftbrú is then transferred back to the passenger and the passenger is only refunded the amount he/she paid to the airline.

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