A misleading TV advertisement has landed TAL Direct, trading as InsuranceLine, with a $10,200 fine from the Australian Securities and Investments Commission (ASIC).

The promotion for income protection depicted a couple just returned from Bali, where the wife suffered an infected bite that caused her to miss five weeks’ work.

The voiceover says: “And this is Kylie and Tom’s Income Protection Plus that she took out last year, just in case something like this happened. It’ll keep their bank balance healthy while Kylie’s recovering.”

ASIC was concerned the ad implied a person off work for five weeks would be entitled to a benefit for the entire period.

In fact, such claims are subject to a minimum waiting period of at least 14 days, and up to 90 days depending on the policy chosen.

The ad also suggested benefits would be paid into the claimant’s bank account during the five weeks, but the product specified claimants would be paid a month in arrears.

ASIC considered the ad’s “fine print” was insufficient to correct the misleading impression.

“In this case, the benefits portrayed by the advertisements could not be obtained by consumers due to the way the product operated,” Deputy Chairman Peter Kell said.

“Promoted benefits of a product must be consistent with what the product will in practice provide.”

InsuranceLine immediately stopped broadcasting the ad after hearing of ASIC’s concerns.