The case of baggage lost occurs when the baggage is not delivered to the passenger within 21 following days ather his/her arriving at the destination airport. If the baggage si delivered before the 21th day, the baggage in not a case of lost but of delayed baggage.
In such case You are entitled to get a compensation. The passenger has to report the loss to “lost and found office” P.I.R. (Property Irregularity Report) and then, within a short time, claims the compensation to the airline company. It’s important to inform as soon as possible the air companies in order to avoid deadlines within which it has to be claimed the compensation.
The compensation is limited up to about 1.200 euros unless to prove a specific airline company responasbility.
Of course, if the passenger needs to buy something has to keep all receipts relating to expenses incurred (e.g. linens, toothpaste , shampoo, clothes ect) in order to prove the patrimonial damages and to obtain the refund.
It’s better not to insert valuable items inside the baggage unless you assure them with-in the check-in. In this case, in the event of lost baggage, the passenger can obtain the compensation up to the declared and assured value.
If your flight is part of an "all inclusive" holiday package, the event of lost baggage can affects the success of the holiday. In such cases, the tour operator may be required to compensate You for for not material damage compensation.