Since I have never had a bag lost and the only delayed bag was delivered within a few hours, I have no idea on how airlines make compensation decisions. Any input on the following?

A) Short-term needs - When airlines offer a nominal fee for the first partial day to full day I assume no receipts are needed. How is that payment made to the inconvienenced flyer?

B. Reimbursement for items in lost bags - My assumption is that when the airline requests receipts they are asking for receipts for the items in the lost bags. Is that assumption correct?

C. Reimbursement for new items purchased in the interim - Do airlines reimburse for the amount (full or up to a given limit) paid for new items used until delayed bags are received. If so, is that reimbursement instead of or in addition to the reimbursement for the items in the lost bag.

D. If the "lost" bag is returned after the vacation was over, do they offer any reimbursement for the impact to the vacation (perhaps a punitive type fee?)

E. If the "lost" bag is found after a claim for the lost bag has been returned, what reimbursement if any do they make?

F. Is supplemental insurance effective in providing additional (to full value) coverage?

I realize that accurate answers might be airline specific but was interested in any general answers Fodorites might have.

I have never purchased supplemental travel insurance but am investigating the different types for my next trip. I do realize that there are different guidelines for domestic and international trips. I'm starting to look for answers for domestic trips first.

I can tell you that AA delayed my reciept of my luggage in ATL once... for 3 hours only.
I raised hell for about 2 minutes and got approval to spend 300.00 on toiletries and clothing to tide me over... I had a meeting 2 hours arfter arrival and planned to shower and change before the meeting. This had everything to do with my FF status.
I submitted my reciepts and I think they gave me cash at the counter when I returned to DFW.

Gracieb.. you have got obsessive compulsive disorder. Give it up. Focus your energy elsewhere. Nobody gives a shite about the lost bags anymore/anyway.

Our experience was with SouthWest. Husband and two friends (visiting from Europe) flew on an afternoon flight from LAX to Salt Lake City to ski at Snowbird. However, none of their luggage arrived with them (they did not carry on one thing!)

After being reassured by SWA that it would arrive late that night and be driven up the mountain to them by 8am, they proceeded to take the shuttle to the Cliff Lodge. If you know anything about this resort, you will know that there is NOTHING else to do at Snowbird but ski. They bought toiletries, underwear and other small items, but were not about to replace any ski clothes, since they thought their luggage would be there in time to ski.

The next morning the roads were closed due to avalanches, so the luggage didn't make it there until later that evening. They wasted one whole glorious, powdery day of their ski vacation.

Upon returning home, we wrote to SWA, enclosed the receipts for the items they purchased, and for the lodging. SWA sent a check to reimburse for the items purchased (under $100) and sent airline vouchers equal to the amount of one night's stay at the Cliff Lodge, which we thought was pretty fair compensation.

What if they lost a suitcase with the bride's gown and groom's clothing inside? Do you think that finding it three months later and sending it to the customer is sufficient?

And as far as "you shouldn't put valuables in checked baggage"....yes, you SHOULD be able to do that! It's called customer service, and responsibility, and we should demand more of it from the airlines.

I don't think anybody disagrees with the fact that a person should be able to put valuables in their luggage.
But the reality is that it's not the smartest idea when your unlocked bags (post 9/11 TSA request) go through hands of many strangers to get onto a plane, off a plane and onto a carousel.
Gracieb: Each airline has its own rule that usually can be found on the airline's website. So you can start your research there. And of course, each airline can bend its rule at its own discretion.