Why ASCI Compliance Matters More in 2026
The Advertising Standards Council of India (ASCI) has progressively tightened enforcement of creator content regulations since 2021. In 2025–2026, ASCI launched monitoring programs using AI tools to proactively identify undisclosed sponsored content on Instagram. Notices are being issued to both creators AND brands. Non-compliance risks include formal complaints, public naming, and referral to CCPA (Consumer Protection). Here's what you need to know.
What Counts as Sponsored Content Under ASCI
- Any content created in exchange for payment (cash or kind)
- Product gifting/barter content (even if no cash changed hands)
- Content promoting a brand where the creator is a shareholder, employee, or affiliate
- Affiliate link content where the creator earns commission
- Content promoting the creator's own brand/product (personal interest disclosure required)
Required Disclosure Formats
- Instagram's built-in "Paid Partnership" label OR explicit text disclosure in caption
- Acceptable disclosure labels: "Ad", "Sponsored", "Paid Partnership with [Brand]", "Collab", "#ad", "#sponsored"
- NOT acceptable: disclosure buried in a long list of hashtags, disclosure at the end of a long caption below a "more" fold, or tiny text overlaid on video
- Disclosure must be prominent, upfront, and in the same language as the content
Specific Rules for Specific Categories
- Health/medical claims: Creator content making health claims must not claim to cure, prevent, or diagnose conditions. "Helped with my skin" is acceptable; "Cures acne" is not.
- Financial products: Creators promoting financial products (mutual funds, credit cards, loans) must include regulatory disclaimers. SEBI has separate creator marketing regulations for investment-related content.
- Food and nutrition: Health and nutrition claims must be substantiated. "Natural" and "organic" claims must be verifiable.
Brand Responsibility
Brands share responsibility for creator compliance under ASCI. Every campaign brief should include explicit disclosure requirements. Brands should verify before payment that posts were correctly disclosed. Non-compliant creator posts that brands funded expose both parties to ASCI complaints. Building disclosure verification into your campaign workflow is essential for brands running at scale — this is built into CreloAI's campaign management process.