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The popular holiday hotspots responsible for Australia's worst flight delays

Plus, the massive loophole in Australia's upcoming airline watchdog laws.

Travel Insider
Overseas flight delays have become the single biggest grievance for Australian travellers. Picture by Manuel Torres Garcia
Overseas flight delays have become the single biggest grievance for Australian travellers. Picture by Manuel Torres Garcia
Sarah Falson
June 30, 2026

If you had to guess which country causes the most flight delays for Aussie holidaymakers, you'd probably pick a chaotic transit hub.

But new data reveals our absolute favourite holiday destinations are actually the worst offenders.

From Bali to the bright lights of New York, overseas flight delays have become the single biggest grievance for Australian travellers.

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Between 2023 and 2025, Indonesia and the US topped the charts for delay-related insurance claims, leaving passengers stranded for an average of 14.5 hours.

Worse still, while it's costing us 22 per cent more out of pocket to survive these delays, Australia's upcoming aviation reforms are set to leave travellers empty-handed when it comes to automatic compensation.

Where were we delayed the most?

Indonesia was Australia's favourite destination country in 2025 - and it was also responsible for the most flight hold-ups.

Southern Cross Travel Insurance data shows Indonesia accounted for 17 per cent of all delay-related claims from 2023 to 2025.

The United States followed, responsible for 16 per cent of claims, followed by Japan, Italy, the United Kingdom and Thailand.

Delays can cost travellers in extra accommodation, meals, transport and more. Picture by Oskar Kadaksoo
Delays can cost travellers in extra accommodation, meals, transport and more. Picture by Oskar Kadaksoo

Australians who made travel insurance claims for flight delays were held up 14.5 hours on average during the period, according to the insurer.

The longest wait stretched to 72 hours.

Delays can cost travellers in extra accommodation, missed flight connections, disrupted travel plans, meals and transport.

The average cost for delay-related claims rose 22 per cent to $1282 in 2025.

The loophole in Australia's new Aviation Bill

A new survey from luggage shipping service Send My Bag found flight delays were the most frustrating part of flying for almost two-thirds of travellers who had flown in the past 12 months.

Almost 40 per cent of respondents said airlines aren't doing enough when flights are cancelled, and a slightly lower percentage said airlines aren't doing enough when passengers experience delays.

Just over a third of respondents who were delayed received compensation, while almost two-thirds received nothing at all.

Australia's Aviation Consumer Protection Bill, which is currently moving through the Australian Parliament following a Senate committee review in June, will introduce a range of stronger passenger protections.

Just over a third of survey respondents who were delayed during the past 12 months received compensation. Picture by Pim de Boer/Unsplash
Just over a third of survey respondents who were delayed during the past 12 months received compensation. Picture by Pim de Boer/Unsplash

However it falls short of introducing automatic compensation for delayed flights.

In the UK, a specific delay length automatically triggers a specific cash payout. But Australians will still have to prove their delay and fight for compensation.

Send My Bag founder Adam Ewart said while the bill is "a genuine step forward", it "still misses the issue Australians care about most".

"Flight delays are the number one frustration for travellers, yet we're still asking passengers to fight for compensation instead of receiving it automatically," Ewart told Explore.

"In Europe, a three-hour delay can put money back in your pocket. In Australia, you'll still be filling out forms and hoping for a favourable outcome. Australians deserve better."

What the new aviation rules actually mean for you

The Bill will establish a new Aviation Consumer Ombudsperson who customers can go to if something goes wrong.

For the first time, airlines will have to meet minimum standards under the new Bill.

Airlines will have to meet minimum standards under the new Aviation Consumer Protection Bill.Omar Prestwich
Airlines will have to meet minimum standards under the new Aviation Consumer Protection Bill.Omar Prestwich

"The new Aviation Consumer Protections Charter sets enforceable minimum standards covering booking, check-in, cancellations, delays, lost and damaged baggage, and accessibility services," Ewart said.

"Non-compliance attracts civil penalties. Airlines can no longer make it up as they go."

In addition, refunds, rebooking and care obligations will become legal minimums, not optional gestures.

"Until now, what you received when a flight was cancelled depended entirely on which airline you were flying with and how generous they were feeling that day. That inconsistency ends here," Ewart said.

Sarah Falson
Words bySarah Falson
Sarah is ACM’s travel producer. She believes regional travel is just as fun (if not better) than staying in the big cities and loves any travel experience to do with nature, animals and food!.

My all-time favourite destination is ... Cornwall. From the giant seagulls to the blustery beaches, Cornish pasties and fishing villages, it stirs something romantic and seafaring in me.

Next on my bucket list is … Mongolia. I want to go somewhere really unique that feels totally foreign and challenges my way of life.

My top travel tip is … Don’t plan too much. Walk the streets and let it happen. And make sure you check out what’s within a few blocks of your hotel - sometimes the best local food is found that way.