The Air India crash that killed 241 people could result in India's biggest aviation insurance payout. From Tata’s Rs 1 crore ex-gratia to claims under the Montreal Convention, here’s how much passengers' families may receive and how aviation insurance works in such fatal tragedies.

Under the Montreal Convention, airlines are strictly liable up to 151,880 Special Drawing Rights (SDRs), an international asset class created by the International Monetary Fund, which is about Rs 1.7 crore, without needing to prove fault, says Sajja Praveen Chowdary, director at Policybazaar.

An Air India plane crash in Ahmedabad on Thursday has sent shockwaves across India. The London-bound Boeing aeroplane, carrying more than 200 passengers, crashed minutes after takeoff from Ahmedabad airport.