I have a similar situation with BMI, had a 5 hour delay and then left stranded ad heathrow at 11.30pm having missed my connecting flight... made worse by promises of hotel accomodation and help. Customer services met the flight and directed me to the customer service desk, cleverly on the other side, and of course it was closed and no one was there. Am seriously p***d off!

i fly over 60 times a year and never been treated like this!

So, i have done some research which may help you with KLM:

Under the eu regulation despite the ruling in november 2009, there is no compelling of a company to pay out for the delay.
However, the montreal convention states that they should reimburse you for expenses caused by the delay. You cant claim for stress and lost business etc but should get back the extra costs if you had any.

I am in the middle of wrangling with BMI.

You could also try IATA who have guidelines on this.

Let me know if you want any more information!

Some airlines are decent and pay out (good experience with Austrian Airlines in the past), but essentially we are unprotected as passengers.

Good luck!