Remove that ‘NDIS approved’ label at once, the NDIA says.
The National Disability Insurance Agency says it has zero tolerance for false and misleading advertising following a new report from the Australian Competition and Consumer Commission (ACCC) that said NDIS participants are being targeted by deceptive providers.
The ACCC investigated NDIS providers who wrongly advertised products and services as NDIS approved, funded or endorsed, such as massage chairs, meal delivery services and all-inclusive holidays.
“The Agency has zero tolerance for misleading or deceptive advertising tactics used by providers and retailers to sell their products or services,” a NDIA spokesperson told HSD.
There is no such thing as “NDIS approved” or “100% NDIS funded” products, the spokesperson said.
“Advertising like this is unlawful. The NDIA does not endorse products, and any providers misusing the NDIS name or logo will be referred to the ACCC for regulatory action.
“The NDIA takes allegations of providers charging for services that were not delivered extremely seriously.”
The spokesperson said the NDIA was actively investigating allegations and working closely with partners to detect and respond to non-compliant and fraudulent behaviour.
“The NDIA Fraud Fusion Taskforce – established in November 2022 – has seen the rate of successful prosecutions nearly double.
“NDIS support lists have also been introduced to show participants what can and can’t be funded by the Scheme.
“We welcome the ACCC’s work alongside the Agency and the NDIS Quality and Safeguards Commission to ensure participants get a fair go.”
Since a targeted campaign focused on the online provider marketplace began in August 2024, the NDIA has referred:
- 604 instances of likely Australian Consumer Law breaches to the ACCC;
- six integrity matters to the Fraud Fusion Taskforce;
- 112 instances of likely breaches of the NDIS Provider Code of Conduct to the NDIS Commission.
Action resulting from these referrals has led to ACCC enforcement outcomes, including Thermomix being penalised $79,200 and Bedshed penalised $39,600 last May for misleading NDIS endorsement claims.
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The NDIA said it has strengthened its ability to detect and prevent misuse of short-term respite funding.
A 10-month campaign using system enhancements and improved payment integrity functions implemented as part of the government’s Crack Down on Fraud program has removed non-compliant providers from the sector, the NDIA said.
Thousands of non-compliant providers have since left the market (a 37% decrease in providers operating between June 2024 and February 2025); claims have fallen from $1 billion pre-campaign to $750 million post-campaign); and short-term respite claims totalled $136 million in the September 2025 quarter compared with $248 million in the same quarter in 2024.
In 2023, the ACCC, NDIA and NDIS Commission set up the Fair Pricing and Australian Consumer Law Taskforce to address overcharging, misleading conduct and consumer law breaches among NDIS providers.
The NDIA has reviewed more than 100,000 NDIS claims and rejected more than $86 million worth of claims since 2024, and is reviewing 20,000 high-risk claims every month.