New Zealand’s new Therapeutic and Health Advertising Code (the Code) applies to all therapeutic and health advertising from 1 July 2026 – new advertising has been subject to the new Code since 1 April 2026.
The Code1 makes a number of key updates to the previous version, including to make clear its application to social media. This article summarises the key changes those wishing to advertise health and therapeutic products and services should be aware of.
Overview of the New Zealand Therapeutic and Health Advertising Code
New Zealand has a relatively permissive approach to advertising of therapeutic products, being one of only two developed countries allowing direct-to-consumer advertising of prescription medicines. High-level requirements for advertising medicines and medical devices are set out in the Medicines Act 1981, with the Dietary Supplements Regulations 1985 prohibiting misleading and therapeutic statements regarding supplements.
The Code is issued by the Advertising Standards Authority (ASA), which is the self-regulatory body responsible for setting requirements for advertising in New Zealand. Failure to comply can result in a complaint to the ASA, which can request that the advertiser, agency and/or media company publishing the advertisement remove it. Where the Code overlaps with legislative requirements, regulatory action may also follow any breach.
The new Code retains the core framework of the previous code but seeks to update obligations, particularly in relation to digital and social media advertising. Key changes include:
- expressly expanding the scope of the Code in respect of digital and social media advertising;
- enhanced requirements around substantiation of claims;
- expanding obligations in respect of vulnerable audiences;
- new provisions around endorsements, testimonials and user-generated content; and
- new guidelines around sponsorship.
We address these changes in further detail below.
How advertising is covered by the Therapeutic and Health Advertising Code
The previous code stated that it covered “all words and visual depictions in all advertising for therapeutic products (medicines and medical devices), natural health products and dietary supplements, health services and methods of treatment”. The new Code expands this to also include “conveyed context”, highlighting that implication may be sufficient for material to be covered. It also makes clear that the Code, along with the Advertising Standards Code, applies to health/therapeutic advertising placed in any media, including:
- the advertiser’s own media channels;
- social media channels, including Facebook, Instagram, Snapchat, TikTok, YouTube and X;
- user-generated content as well as content by influencers and content creators;
- videos, apps and “advergaming”;
- streaming services, including subscription-based and on-demand; and
- native advertising, websites, podcasts and webinars.
This is in addition to more conventional media such as radio, television and newspapers, as well as unaddressed mail, brochures and point-of-sale material.
The ASA has therefore made clear that it expects to regulate advertising regardless of the form it takes. The Code also makes clear that responsibility for compliance is shared amongst all parties to an advertisement, including advertisers, agencies and media organisations, and that each may be expected to respond in the event of a complaint.
Updated substantiation requirements for advertisers
The new Code continues to provide that statements and claims must be valid and able to be substantiated, with substantiation existing prior to the claim being made. The new Code goes on to provide that advertisements for natural health products or complementary health care products (including dietary supplements) must not reference studies making therapeutic purpose claims, although advertisers may hold such studies as internal substantiation, as long as the advertisement itself does not imply a therapeutic purpose claim. This will help to ensure compliance with requirements that such products not make therapeutic purpose claims under the Medicines Act 1981.
How the Therapeutic and Health Advertising Code addresses vulnerable audiences
The new Code has expanded provisions relating to vulnerable audiences, with advertisements required not to take advantage of consumers or cause distress. Specific examples include:
- creating inappropriate purchase urgency;
- promoting unrealistic body image or mental wellbeing;
- encouraging an unhealthy lifestyle;
- applying undue pressure to conform; and
- exploiting emotional vulnerability.
Factors increasing vulnerability include mental or physical health issues, age, limited health literacy or access to healthcare, social isolation, bereavement and financial issues.
How the Therapeutic and Health Advertising Code regulates endorsements, testimonials and user-generated content
Under the previous code, government, professional or independent body endorsements were permitted with prior consent (although the Medicines Act does not permit healthcare professionals to endorse medicines/medical devices).The new Code now provides that advertisements must not claim or imply endorsement from healthcare professionals or health service providers, and organisations must not claim or imply endorsement by government agencies, professional bodies or independent agencies.
For patient or consumer testimonials (where not prohibited by law), the new Code continues to require that these be “authenticated, genuine, current and typical”. It also confirms that any payment received (whether money or another exchange of value, products or services) must be acknowledged.
The Code also includes additional guidance on user-generated content. Where user-generated content is included in advertisements, advertisers and their representatives (including influencers and content creators) are primarily responsible for ensuring compliance with relevant legislation and the Code. In addition, user-generated content which tags a brand or appears on the brand’s profile will be subject to the Code – where material does not comply with the Code, advertisers must untag their brand or remove it. Advertisers are also cautioned that reacting to comments/posts by users where these make unsubstantiated claims may cause issues if it suggests that the advertiser is in agreement with the comment.
Updated guidelines on sponsorship advertising
The new Code provides additional guidelines on sponsorship advertising, including that sponsorship advertising must only mention the advertiser’s name briefly and in a subordinate manner. No more than 15% of the space or time available is suggested as a guide, while noting that this may not always be possible and that consideration will be given to the overall look and feel of the advertising.
How Businesses can prepare for the new Therapeutic and Health Advertising Code
With the new Code now in force for all advertisements, including existing campaigns, advertisers should:
- check their existing advertising materials across all channels against the Code;
- review social media and user-generated content moderation processes to ensure that these are compliant, including processes for untagging brands from content which makes unsubstantiated claims;
- consider whether agreements with influencers and content creators require updating; and
- revisit endorsement and testimonial practices in light of the new guidance.
If you have any questions about this article, please get in touch with the contacts listed or your usual Bell Gully adviser.
Disclaimer: This publication is necessarily brief and general in nature. You should seek professional advice before taking any action in relation to the matters dealt with in this publication.
