Many Australian travel insurers have agreed to cover costs for Australians stranded due to last week’s political unrest in Thailand – despite policy terms that allow them to reject the claims.

After protests in Bangkok closed both of the city’s international and domestic airports, Thai PM Somchai Wongsawat declared a state of emergency only four days before a court ruling ousted him from power.

Though the ruling effectively let insurers off the hook, it’s understood most have agreed to settle claims.

Mondial Assistance, which claims to be Australia’s largest travel insurer, says a state of emergency declaration typically precludes cover under industry-wide policy exclusions for claims related to acts of war, rebellion, revolution or insurrection.

But Mondial has offered to waive the policy exclusion, “bringing welcome news to many Australian travellers who have had to extend their stay in Thailand,” the Allianz-underwritten insurer said.

An NRMA spokesman told insuranceNEWS.com.au the insurer will take a case-by-case approach but “broadly any NRMA Insurance travel customer who was not able to get out will be covered for their additional accommodation and travel expenses”.