Holiday makers from Oxfordshire who are travelling abroad are being urged to double check their insurance cover.

A major problem with policies providing holiday cover has been revealed after The Management Company (London) Ltd went out of business.

Documentation showed that policies had been placed with Lloyds of London, but this is now disputed between Lloyds and The Management Company.

Some consumers who tried to make claims have been left out of pocket and up to 200,000 UK policy holders could be affected.

David Sibbert, chief Trading Standards officer for Oxfordshire County Council, said: "Many people may be making last-minute bookings and taking out travel insurance without reading the small print or checking the sort of cover provided.

"If you have any travel insurance, either an annual plan or a short-term policy taken out with your travel agent, and the documentation refers to Lloyds of London, you need to check it is valid."

Steve Playle, the head officer for financial services at the Trading Standards Institute, added: "Proper holiday insurance is absolutely vital, not just in cases of lost baggage, but if you fall ill and need to seek medical treatment."

Lloyds of London can be contacted via 0800 912 5971 or www.lloydsoflondon.com