The latest report card from the Department of Transportation gives dismal grades to US airlines, especially in the baggage department.

A higher percentage of bags have been mishandled by every US airline listed in the August Air Travel Consumer Report. Delta and United lost more bags than any other airline.

The lost baggage rate for American Airlines was worse than any other airline. The airline has lost 300,590 bags this year.

The DOT ranked American at the top with a mishandled baggage rate of 0.70%. Since the beginning of the year, US airlines have lost over one million bags.

One American Airlines passenger told Insider's Grace Dean that she lost her luggage in Germany, even though the airline doesn't fly there.

Understaffed airlines and third party baggage contractors have struggled to handle the increased travel demand.

The mishandled baggage rate for Delta dropped from 0.71% to 0.61%. During the first half of the year, the airline mishandled more luggage than it did during the same period last year.

Allegiant Air, Hawaiian Airlines, Frontier Airlines, Southwest Airlines, and Spirit Airlines had the lowest mishandled baggage rates for the first half of the year.