United spokesperson Maddie King said in a statement to Fox News the airline "will be providing full compensation for the price of their ticket for all passengers on United Flight 3411".
Megan McCarthy, a spokeswoman for the airline, declined to say if the payment would be in cash, frequent-flier miles or other forms.
Blumenthal is now asking the federal Department of Transportation for a formal investigation into the incident. How many of these passengers were forcibly removed? On Thursday, the city's aviation commissioner is expected to address a city council committee about the incident.
A video posted online showing the incident sparked outrage across the US and the world.
Dr Dao has reportedly filed an emergency petition to preserve records related to the incident, according to the Chicago Sun-Times.
"The family of Dr. Dao wants the world to know that they are very appreciative of the outpouring of prayers, concern and support they have received". Those documents are often the first steps toward a lawsuit.
A new video obtained by People Magazine shows an exchange the police had with the passenger they dragged off a United Airlines flight.
Dao is also represented by lawyers from Golan Christie Taglia.
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White House press secretary Sean Spicer on Tuesday weighed in on the controversy, calling the video of the man being dragged off the plane Sunday evening "troubling".
At first, the airline asked for volunteers, offering 400 dollars (£320) and then when that did not work, 800 dollars (£640) per passenger to relinquish a seat.
Chicago Aviation Commissioner Ginger Evans will also speak.
"Anyone who saw that video had the same reaction: This was completely unacceptable at every level", Emanuel said.
United Airlines' CEO on Wednesday said the carrier will not allow police to remove a passenger from an aircraft again in situations like the one that occurred Sunday, when a bloodied passenger was dragged off an airplane at O'Hare International Airport.
In his most recent statement, the CEO took full responsibility for the actions of his staff and promised that nothing like it would ever happen again.
More than 90 percent of passengers bumped from a flight on a major U.S. airline a year ago volunteered, according to the U.S. Department of Transportation.
But once passengers are in their seats, "that incentive program needs to change", Munoz said.
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