Sometimes airlines need to cancel flights due to inclement weather or other unexpected circumstances. When this happens, the airline will usually try to put passengers on a later flight.
American flight regulations do not require airlines to refund passengers for canceled flights, but EU regulations require airlines to refund passengers when their flight is canceled or delayed for more than five hours.
If a passenger needs to change travel plans and cancel their own reservation on a flight, he must notify the airline as soon as possible. Most airlines, if given enough notice, will charge a cancellation fee and will refund a portion of the ticket price.
If you anticipate needing to cancel a flight, it's a good idea to buy refundable tickets or purchase flight insurance. Many airlines will issue full refunds in the event of flight cancellation due to bereavement.
Sometimes airlines overbook their flights and need to ask passengers to switch to a flight leaving later in the day or the next day. In these cases, airlines will often offer a travel voucher to passengers who volunteer to be put on a later flight.
If a passenger is involuntarily bumped from a flight, the airline must make alternate travel arrangements for the person. If the traveler is delayed for more than a few hours, he must be compensated.